Following Ascendas Real Estate Investment Trust’s (A-REIT) announcement of its acquisition of 11 data centres in Europe, CGS-CIMB Research analysts Lock Mun Yee and Eing Kar Mei have reiterated their ‘add’ rating for the counter with a higher target price of $3.30 from $3.25 previously.
The analysts note that the acquisition is expected to be value accretive to A-REIT’s distribution per unit (DPU), with an initial property yield of 6% (post-transaction-cost yield of 5.7%).
SEE:Data centre portfolio to strengthen Ascendas REIT
For more insights on corporate trends...
Sign In or Create an account to access our premium content.
Subscription Entitlements:
Less than $9 per month
Unlimited access to latest and premium articles
3 Simultaneous logins across all devices
Bonus unlimited access to online articles and virtual newspaper on The Edge Malaysia (single login)
