Acquisition in the offing for Centurion, say analysts

Singapore

CENTURION Corporation looks likely to be making an acquisition soon, analysts at its results briefing surmised, citing its strong cash flow with no imminent debt due and its S$65 million medium term note (MTN) issuance last month without a clear use for the money.

"What is the cash for? It's actually pretty obvious to the market that it's either for acquisitions or to refinance existing debt, but that debt is expiring in 2016," an investment analyst from Maybank Kim Eng, John Cheong, said.