Property Hunter Magazine Issue 64 2015 | Page 108

WEST MALAYSIA PROPERTY NEWS S P Setia To Be Selective With Launches In 2015 P roperty giant S P Setia Bhd will be selective in launching new projects this year as buyers take a cautious approach. WHY BUY AT A PROPERTY EXPO? Backed by a massive unbilled sales of RM11.1 billion, S P Setia will look towards delivering properties sold in the past and launch more mid-ranged products, said acting president and chief executive officer Datuk Khor Chap Jen. “We will be selectively launching projects with product types that will fare well in 2015. These launches will be focused in areas with established infrastructures and amenities. The demand for property is still very strong as proven by our recent almost sold-out launches of Caffra and Serrata,” said Khor in an e-mail interview with StarBiz. The launch saw 100% and 95% take-up rate of Caffra and Serrata on the first day of launch. “For S P Setia, our focus for this year is on delivery. With a total unbilled sales of RM11.1 billion as of October 31 2014, we are kept busy this year in ensuring we deliver our products according to the standard that is expected of the brand. Fulton Lane in Melbourne and 18 Woodsville in Singapore will be completed by mid2015, two months and four months ahead of schedule respectively,” said Khor. The large amount of S P Setia’s unbilled sales is expected to deliver fundamental support to the company’s financial performance and share price, 108 www.PropertyHunter.com.my Perspective of Battersea project in London by S P Setia which over the past few months has been trending upwards. PNB is the major shareholder of S P Setia as well as Sime Darby. Analysts said talk of a takeover of S P Setia in a corporate exercise involving Sime Darby Bhd has seen a wave a buying for the stock, which in recent years has been underperforming its peers in the property index. Analysts said news of the corporate exercise was lifting the shares of S P Setia but noted that a wave of buying calls were made after the launch of the second phase of the Battersea project in London. Buying of S P Setia’s stock underpinned by the corporate exercise recently lifted its shares to close to an 18-month high. Its shares have dipped a little since then but are up about 26% over the past one year compared with the Bursa Malaysia Property Index, which is 5.25% higher over the same period. Shares of S P Setia hit a recent high of RM3.64 on January 20 after a report that the property arm of Sime Darby was in the midst of taking over S P Setia. The report said the proposal was mooted by a few senior management of S P Setia about a couple of months ago and conveyed to the top brass of Permodalan Nasional Bhd (PNB) and Sime Darby. “People are also waiting to see what they are going to do regarding the management of S P Setia,” said an analyst. There have been a number of changes at the top management of S P Setia after founder and former president and CEO Tan Sri Liew Kee Sin left the group. Khor assumed his current position starting this yea