Stocks to watch: CDL, BRC Asia, Food Empire, Sri Trang Agro-Industry, Sri Trang Gloves

[SINGAPORE] The following companies saw new developments that may affect trading of their securities on Wednesday (May 14).

City Developments Limited (CDL) : The property player will be repurchasing 10 per cent of its preference shares – or about 26.8 million shares – at S$0.78 a share, it announced on Tuesday. CDL has offered to repurchase these shares through the off-market equal access manner, with each pref share holder entitled to sell 10 per cent of such shares held as at 5.30 pm on Jun 2. However, pref share holders may tender shares over 10 per cent of their holding if others do not accept their full entitlement. The offer will be open for acceptance to pref share holders for 10 calendar days from the date of the letter. CDL said there will be no implications for takeovers or mergers arising from this scheme, as these shares do not carry voting rights, and will be scrapped. CDL shares were trading 0.8 per cent or S$0.04 lower at S$4.81 at Tuesday’s market close, before the pref shares repurchase announcement. The pref shares last changed hands at S$0.995.

BRC Asia : The steel solutions provider reported on Tuesday a 9 per cent year-on-year increase in net profit for the first half to S$42.1 million, from S$38.5 million in the year-ago period. Revenue fell 6 per cent to S$715.6 million from S$758.3 million in the year before. The decline in revenue comes amid broad-based softness in steel prices, but delivery tonnage remains stable, reflecting continued demand and the group’s ability to maintain its market share amid volatility, the mainboard-listed company added. Shares of BRC Asia closed flat at S$3.11 on Tuesday.