Keppel Infrastructure Trust Releases FY Unaudited Results Keppel Infra
OREANDA-NEWS. The Directors of Keppel Infrastructure Fund Management Pte Ltd, as Trustee-Manager of Keppel Infrastructure Trust, advise the following results of Keppel Infrastructure Trust for the full year ended 31 December 2014.
These figures have not been audited.
FY 2014 RESULTS HIGHLIGHTS
1. Group revenue for FY 2014 was USD 65.5 million. Operation and maintenance income was USD 49.3 million, 1.4% lower compared to FY 2013.
2. Profit after tax for FY 2014 was USD 12.7 million, resulting in earnings per unit (EPU) of 2.02 cents for the year, which was 10.2% lower compared to FY 2013.
3. Cash generated from operations was USD 56.4 million for FY 2014, 7.8% higher compared to FY 2013.
4. Net asset value per unit as at 31 December 2014 was USD 0.94 compared to USD 1.00 as at 31 December 2013, mainly due to the distribution payment of 7.82 cents per unit during the year.
5. Distribution per unit (DPU) for 2H 2014 will be maintained at 4.69 cents. Together with the distribution of 3.13 cents per unit for 1H 2014, total distribution for FY 2014 is 7.82 cents per unit, translating to a distribution yield of 7.3% based on the market closing price of USD 1.065 on 31 December 2014.
Total distribution payable for FY 2014 is USD 49.2 million, similar to the distribution paid for FY 2013.
6. On 18 November 2014, KIFM, in its capacity as trustee-manager of KIT, had entered into two separate conditional transactions (the "Proposed Transactions"). The first transaction is the acquisition of a 51% stake in Keppel Merlimau Cogen Pte Ltd which owns a 1,300 MW combined cycle gas turbine generation facility on Jurong Island, Singapore. The purchase consideration is around USD 510 million which will be financed by an equity fund raising and/or debt. The second transaction combines KIT and CitySpring Infrastructure Trust ("CIT") at their respective market capitalisations of USD 658 million and USD 753 million, based on their respective volume weighted average price for the 180-day period ended on 13 November 2014. Each KIT unitholder will receive 2.106 CIT units for every KIT unit held. KIFM will be the trustee-manager of the combined trust.
KIT's total assets will increase from over USD 600 million currently, to over USD 2 billion upon completion of the KMC Acquisition and to over USD 4 billion after completion of the combination with CIT, making the combined trust the largest Singapore infrastructure-focused business trust listed on the SGX-ST.
The Proposed Transactions are subject to various approvals, including unitholders' approval.
7. Mr Khor Un-Hun, CEO of Keppel Infrastructure Fund Management Pte Ltd, the Trustee-Manager of Keppel Infrastructure Trust, said, "Keppel Infrastructure Trust continues to uphold stable, predictable and reliable distributions to our unitholders.
"In 2014, we expanded our investment mandate to cover a wider range of infrastructure assets, and agreed to provide the National Environment Agency with additional incineration capacity at the Senoko Waste-to-Energy Plant, which is expected to improve its operating cash flow.
"In addition, the proposed combination of Keppel Infrastructure Trust and CitySpring Infrastructure Trust and acquisition of a 51% stake in Keppel Merlimau Cogen Pte Ltd will create the largest Singapore infrastructure-focused business trust listed on the SGX. Besides offering unitholders exposure to an attractive portfolio of diversified core infrastructure assets that generate regular, predictable and long term distributions, the larger scale and liquidity of the combined trust will enhance access to capital markets and enable it to pursue meaningful growth opportunities."
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