Brokers' take

Cache Logistics Trust | Buy (maintained) June 17 close: S$0.78 Target price: S$0.77 RHB Research Institute, June 17

In April, Cache Logistics Trust announced that the Inland Revenue Authority of Singapore granted tax transparency on S$7.4 million, out of the total S$8.2 million settlement sum it received from CWT Pte Ltd (CWT) over lease disputes on 51 Alps Avenue. Of this sum, Cache will pay out around S$2.9 million, which is the estimated rental shortfall that it has retained since Q4 2016.

The balance will then be evenly distributed over the remaining period until Aug 2021. The above top-up amount will result in a one-off Q2 distribution per unit (DPU) uplift of about 0.25 Singapore cent.