USA day 3 part 2 - Griffith Observatory

23-Jun - Second half of the day was spent visiting the Griffith Observatory. We rode the subway to the Sunset/Vermont Red Line Subway station before transferring to the LADOT shuttle bus which brings us all the way up the Hollywood mountain to the observatory. Griffith Observatory is a facility in Los Angeles, California sitting on the south-facing slope of Mount Hollywood in Los Angeles' Griffith Park. It commands a view of the Los Angeles Basin, including Downtown Los Angeles to the southeast, Hollywood to the south, and the Pacific Ocean to the southwest. The observatory is a popular tourist attraction with an extensive array of space and science-related displays.

View from the top of the mountain

Griffith Observatory

Sunset view

Display showing different phases of planets

Los Angeles night view

Displays showing different planets in our solar system

USA day 3 part 1 - Warner Bro VIP Studio Tour

23-Jun - Woke up early in the morning to make our way down to Warner Bro Studio for the VIP tour that we have signed up before we embarked on our USA trip. The tour will first start the journey through the historic Warner Bros. back lot.  From Midwest Street’s quaint town square to Hennesy Street’s urban city exteriors, to the Jungle’s forested lagoon, you’re sure to recognize these locations from some of today’s and yesterday’s most popular films and television series. Visitors will also get to walk on to the set of a hit television show and visit the costume and prop departments, including browsing a rare collection of costumes, props, sets, scripts and correspondence in the Warner Bros. Museum, Hollywood’s only studio museum!  In addition, the tour will get to see Stage 16- the tallest sound stage in North America and even take a photo placing you into your favorite WB movie with the magic of Green Screen!

Let the tour begin =D

The place where they shot the famous Spiderman upside down kissing scene

Rosewood High School from Pretty Little Liars

Came across a "residence" squirrel searching for nuts in the morning

Iconic sound stages where you see in opening movies produced by Warner Bro

Scooby Doo figurine

Harry Potter!

"The tumbler" from The dark Knight (2008)

Bike used in Matrix Reloaded

Anyone recognize which famous TV series this set belongs to?

Scary stage prop

Bugs Bunny and Daffy Duck welcoming visitors to the studio

The famous Warner Bros Tower

Having heard rave reviews of In-N-Out Burger, we decided to stop by one for our lunch. Just as others have reviewed, the food is good and relatively cheap as you can choose the type of food you want for your meal. There is no combo deal and the burgers and drinks are sold separately.

OUE Hospitality Trust

Short Summary:

OUE Hospitality Trust is a stapled group comprising OUE H-REIT and OUE H-BT. OUE H-BT will be dormant as at the Listing Date. OUE H-REIT is established with the principal investment strategy of investing, directly or indirectly, in a portfolio of income-producing real estate which is used primarily for hospitality and/or hospitality-related purposes, whether wholly or partially, as well as real estate-related assets. OUE H-REIT’s initial asset portfolio is strategically located in the heart of Singapore’s renowned shopping district of Orchard Road, and comprises Mandarin Orchard Singapore and Mandarin Gallery.

 

The Deal:

Offering Price: S$0.88

The Offering: 434,598,000 Shares (Include 51,136,000 Offering Shares to Singapore Public)

Cornerstone Investors: 247,220,000 Cornerstone Shares

 

Forecast Dividend Yield:

2013: 7.36%

2014: 7.46%

*Based on issue price of $0.88, 1,308,600,000 units after IPO.

 

 

Dividend Policy:

Distributions from OUE H-REIT are computed based on 100.0% of the OUE H-REIT’s Taxable Income for Forecast Period 2013 and Projection Year 2014 and at least 90.0% of its Taxable Income thereafter on a quarterly basis to the Stapled Security holders.

 

Strength

-Opportunity to invest in a portfolio of premier assets which are strategically located in the heart of Singapore's renowned shopping district of Orchard Road.

-Beneficiary of Singapore's economic, tourism, hospitality and robust retail sector growth.

-Stable distributions with downside protection via long term master lease agreement.

-Strong Acquisition Pipeline - Crowne Plaza Changi Airport / 100%, Meritus Mandarin Haikou / 100%, Meritus Shantou China / 80%.

-Sponsor to hold at least 42.7% of the trust post IPO. There is alignment of interest between sponsor and unit holders.

 

Weakness

-The hospitality and hospitality-related industries are susceptible to cyclicality and other factors outside the control of OUE H-Trust and the Managers.

-The hospitality industry is highly competitive and the performance of OUE H-Trust may be affected by increasing supply of hospitality assets in Singapore.

-Downturns in the retail industry will likely have a direct impact on OUE H-Trust’s revenues and cash flow.

-OUE H-Trust is reliant on Mandarin Orchard Singapore for a substantial portion of its Gross Revenue.

-Renovation work, repair and maintenance or physical damage to Mandarin Orchard Singapore may disrupt the operations of OUE H-REIT.

-High Gearing of 33.77%

 

In my opinion, this IPO is worth a try given its decent 7+% yield. Given that the tourism sector in Singapore will continue to grow in the foreseeable future, the trust looks set to achieve its forecast yield rate. However, as the trust depends on Mandarin Orchard for a substantial portion of its Gross Revenue, if anything do happens (Eg: Haze, SARS, financial crisis) and tourists starts avoiding Singapore, the performance of the trust will be severely impacted. For me, I personally do not like trusts dealing with hotel as I see them as a high risk item. Finally, this trust has a good and strong acquisition pipeline, so unit holders are rest assured that this trust will likely grow in value with time. In summary, I personally will not be applying for this IPO, but given its decent yield and strong acquisition pipeline, this IPO is worth a try.

 

Some useful information:

[18 Jul 2013], [6.00 p.m.] : Opening date and time for the Public Offer.

[23 Jul 2013], [12.00 noon] : Closing date and time for the Public Offer.

[24 Jul 2013]: Balloting of applications under the Public Offer, if necessary.

[25 Jul 2013], [2.00 p.m.]: Commence trading on a “ready” basis.

 

Rating for investment: 6/10

Disclaimer: You may use the above information as a guide, but please invest based on your own judgment.

SPH Reit

Short Summary:

SPH REIT is a Singapore-based real estate investment trust established principally to invest, directly or indirectly, in a portfolio of income-producing real estate which is used primarily for retail purposes in Asia-Pacific, as well as real estate-related assets. The initial portfolio of SPH REIT consists of Paragon (a premier upscale retail mall and medical suite/office property located in the heart of Orchard Road, Singapore’s most famous shopping and tourist precinct) and Clementi Mall (a mid-market suburban mall located in the centre of Clementi town, an established residential estate in the west of Singapore).

The Deal:

Offering Price: S$0.90

The Offering: 308,884,000 Shares (Include 83,982,000 Offering Shares to Singapore Public)

Cornerstone Investors: 251,000,000 Cornerstone Shares

 

Forecast Dividend Yield:

2013: 5.58%

2014: 5.79%

*Based on issue price of $0.90, 2,500,995,200 units after IPO.

 

 

Dividend Policy:

100% of its Specified Taxable Income from the Listing Date to 31 August 2014. Thereafter, at least 90% of Specified Taxable Income.

 

Strength

-Exposure to a high quality retail property portfolio anchored by Paragon, one of Singapore’s most iconic retail malls.

-Unique exposure to Singapore’s robust retail sector and strong health care services sector through Paragon Medical.

-Real estate exposure to Singapore’s premier shopping and tourist precinct, Orchard Road.

-100% committed occupancy.

-Right of first refusal to acquire The Seletar Mall, slated for completion by December 2014.

-Alignment of interest between the Sponsor and Unitholders (SPH to hold at least 70% stake in SPH REIT immediately following the IPO).

 

Weakness

-SPH REIT is reliant on Paragon for a substantial portion of its Gross Revenue.

-The market values of the Properties may differ from their values as determined by the Independent Valuers.

-Clementi Mall which will be receiving Income Support may not achieve the same revenue once the Income Support expires.

-The Properties may require capital expenditure periodically beyond the Manager’s current estimates and SPH REIT may not be able to secure funding.

-Renovation work, repair and maintenance or physical damage to the Properties may disrupt the operations of SPH REIT and collection of rental income or otherwise result in an adverse impact on the financial condition of SPH REIT.

-SPH REIT may face increased competition from other properties.

-Any loss of major tenants or any breach by major tenants of their obligations under the lease agreements could have an adverse effect on SPH REIT.

-Epidemic diseases in Asia and elsewhere may adversely affect SPH REIT’s operations.

-Gearing of 27.40%

 

In my opinion, I will not be applying for the IPO given such a low yield in the 5.8% range. There are other better yielding reits around on SGX, such as Mapletree Industrial (around 7% yield currently) and Sabana (aound 8% yield currently). On a side note, comparing SPH Reit with other comparable retail reits listed in Singapore, I will say they are in the mid range yield. For investor who have a low risk appetite and wants stability, SPH Reit is the one for you, but do take note that US federal has been hinting on a possible interest rate hike next year, so reits who rely heavily on borrowings will have an impact on their distributable income.

 

Some useful information:

[17 Jul 2013], [6.00 p.m.] : Opening date and time for the Public Offer.

[22 Jul 2013], [12.00 noon] : Closing date and time for the Public Offer.

[23 Jul 2013]: Balloting of applications under the Public Offer, if necessary.

[24 Jul 2013], [2.00 p.m.]: Commence trading on a “ready” basis.

 

Rating for investment: 5/10

Disclaimer: You may use the above information as a guide, but please invest based on your own judgment.

USA day 2 - Six Flags Magic Mountain

22 Jun - Celebrity Hotel, where we will be staying for the next 3 days, is a small cozy boutique hotel. Located just off the Dolby Theatre, it is just a short walk from famous attractions such as the Hollywood walk of fame. Guest staying in the hotel will be treated like a celebrity, with its own kitchen and dressing table.

Artistic advertisement for spa in a nearby building

Wasting no time, we set off for our first coaster amusement park of the trip, Six Flags Magic Mountain. As we did not buy the fast pass, we have to be careful in selecting the rides to queue. In the end, we go with our gut feeling and choose the coasters which are huge, tall and looks exciting to ride on.

Introducing Tatsu - 3,602 feet of blazing track. 62 miles per hour. 263 feet in plunges. Ready to take on Tatsu?

Green Lantern, First Flight is a rather interesting ride. Though it looks compact and friendly, it can really give its riders a scare! A GREEN LANTERN must be someone who has the fortitude and willpower to overcome great fear.  Face your fear through 825 feet of twisted vertical track.

Up next, Goliath. Got a need for speed? Goliath has your answer. Towering 255 feet above earth, this massive steel superstructure hits speeds of 85 mph, making it one of the fastest and tallest roller coasters around.  Enjoy a 3-minute, high-speed adventure over 4,500 feet of steel track.

The newest coaster to the park, and we are there on its opening day! Full Throttle is a one-of-a-kind dual launch coaster which will take the coaster experience to the next generation as riders face a never-been-done-before launch up and over a Top Hat that traces the outside of a world-record loop — all while travelling through the Park’s distinct mountainous terrain.

After experiencing all these awesome coasters, what's the coaster at Singapore Universal Studio? =p

USA day 1 - Transiting Narita to Los Angeles



After 6 years wait, *mds* and I are finally back to the USA. It certainly brings back memories, the time spent there and we will be re-visiting some of the places we have been before. With much anticipation, we boarded the plane SQ12 bound for Los Angeles, which will be transiting in Narita. It will be a long 17+ hours flight....

 

Japan beautifully wrapped biscuit - Yummy

 

Finally arrived in Los Angeles on a bright sunny day. First stop, a visit to the Kodak Theater, which now has been renamed Dolby Theater.

Taking pictures with the famous Hollywood sign

Visiting the Farmers Market, but we went straight to the boutique apparel shops instead to scout out their fabulous deals! LOL

I just love USA apparel shops for their ridiculously cheap deals

USA flag blowing in the wind while having a relaxing dinner at the patio on a cool evening. Wish I can enjoy this everyday!

KrisEnergy Ltd

Short Summary:

KrisEnergy Ltd. (the “Company”) is an independent upstream company focused on the exploration for, and development and production of oil and gas in Southeast Asia – with 14 contract areas in four countries spanning the entire exploration-to-production life cycle.

The Deal:

Offering Price: S$1.10

The Offering: 151,993,000 Shares (Include 19,900,000 Offering Shares to Singapore Public)

Cornerstone Investors: 94,161,000 Cornerstone Shares

Forecast Dividend Yield:

2012: No Forecast

2013: No Forecast

*Based on issue price of $1.10, 1,046,153,200 units after IPO, loss after tax of $22.266 million in 2012.

Dividend Policy:

Do not intend to declare dividend as the company is making a loss for the past 3 years
 

Strength

-Portfolio provides a balanced mix of assets by allowing the company to capitalize upon the cashflow generation from their producing assets in order to fund development and exploration activities and evaluate our exploration upside potential.

-Experienced Team (Founders have worked together since 1997, including the establishment, listing and divestment of Pearl Energy)

-Experienced And Recognized Controlling Shareholders (Keppel Corporation, bought a 20% stake for $115 million in Jul 2012 and announced in Jul 2013 to excersize a call option to buy another 16% from controlling shareholder; First Reserve, leading private equity energy specialists with >US$20 billion under management)

-Portfolio ideally positions the company to benefit from the increasing demand for oil and gas in Asia and Southeast Asia due to the economic development in these areas.

-Dedicated On-The-Ground Presence (Intending to further open offices with local technical and professional staff in countries in which the company have a significant presence. The company believe this gives them competitive advantage over their peers and allows them to respond quickly and efficiently to business opportunities.

-Exploration and appraisal success rate over the last three years in excess of 60%.

 

Weakness

-Making a loss for the past 3 years.

-The company conduct the majority of their operations through joint operations and have limited control over the activities in contract areas that the company do not operate.

-Reliance on the discovery and development of additional reserves to replace produced reserves.
-May only be profitable in 2015 after more area under development come into production.

In my opinion, this IPO is worth a try. They have the same founder as the Pearl Energy which went into privatization a few years ago on SGX, earning the shareholders a whopping 178% return in 3 years. The founders have a strong experience and track records in the region, which means they know what they are doing. Of their current assets, 3 of the fields are going to come online in production in the next 2 year, with another 4 of them in the next 3-4 years. They are backed by major players such as First Resources, and Keppel, our homegrown rig builder, is increasing its stake to 36%. This certainly shows the potential of this company. I particularly like the business model of the company, using the profits generated from their current production field and re-invest into exploration and development of other raw field. So far, they do have results to show, as their loss have been decreasing in the last 3 years.

 

Some useful information:

[12 Jul 2013], [9.00 p.m.] : Opening date and time for the Public Offer.

[17 Jul 2013], [12.00 noon] : Closing date and time for the Public Offer.

[18 Jul 2013]: Balloting of applications under the Public Offer, if necessary.

[19 Jul 2013], [9.00 a.m.]: Commence trading on a “ready” basis.

 

Rating for investment: 6/10

Disclaimer: You may use the above information as a guide, but please invest based on your own judgment.