Hot stock: Manulife US Reit hits 2.5-month high on heavy trading, analyst upgrade

UNITS of  Manulife US Real Estate Investment Trust (Reit) jumped as much as 31 per cent on Monday (Nov 6) amid heavy trading, extending gains recorded on Friday.

The heavy trading came as investors digest the Reit’s business update on Friday. The Reit’s manager announced that it is on track to conclude negotiations with lenders by the end of 2023, along with the potential introduction of a sponsor support package which could help with the Reit’s liquidity. 

Separately, DBS Group Research upgraded the Reit to “buy” from “fully valued” as it senses a trading opportunity for investors. The Reit’s units could re-rate as discussions to resolve its debt covenant breach will likely approach a resolution, analysts said.