Construction demand in Singapore is expected to remain
strong this year, between S$26 billion and S$32 billion, boosted
by public sector projects, said the Building and Construction
Public sector demand is expected to contribute about 53
percent of overall industry demand, or S$14 billion-S$17
billion, boosted by strong public housing and infrastructure
Construction firms such as BBR Holdings Ltd,
Yongnam Holdings Ltd and crane company Tat Hong
Holdings Ltd could benefit.
Major public sector projects to be awarded this year include
various contracts for the construction of Singapore's new
Thomson train line, and the expansion of the Kallang Paya Lebar
Expressway and Tampines Expressway interchange.
However, BCA expects private sector construction demand to
moderate to S$12 billion-S$15 billion this year, hurt by slower
domestic economic growth and continued global economic
"The private sector is likely to take a more cautious stance
in terms of new construction investments. Private residential
construction demand is projected to continue to soften in view
of the anticipated continual slow economic growth in 2013," BCA
said in a statement.
1241 (0441 GMT)
(Reporting by Charmian Kok in Singapore;
firstname.lastname@example.org)(Reuters Messaging: Editing by
G.Ram Mohan; email@example.com)
11:25 STOCKS NEWS SINGAPORE-CIMB, OCBC raise CapitaMalls
Asia's target prices
CIMB Research raised its target price for CapitaMalls Asia
Ltd to S$2.05 from S$1.99, and kept its 'neutral'
rating, to account for its acquisition of a shopping mall site
in China and higher share price for one of its part-owned
By 0258 GMT, shares of CapitaMalls were 0.5 percent higher
at S$2.16. They have gained 11.3 percent since the start of the
year, compared with the benchmark Straits Times Index's
1.1 percent rise.
CapitaMalls acquired a shopping mall site in Wuhan, China
for S$128.4 million, its fourth in that city. CIMB said this was
in line with the company's strategy to expand in its core
The brokerage also lifted its revalued net asset value
slightly for CapitaMalls because of the higher share price for
its unit CapitaRetail China Trust.
OCBC also raised its target price for CapitaMalls Asia to
S$2.55 from S$2.16 and kept its 'buy' rating.
"We continue to favor CapitaMalls for executing sharply on a
well thought-out strategy: active capital deployment into its
growth market China through deepening its operational presence
in key cities, such as Shanghai, Beijing, Chengdu and Wuhan,"
(Reporting by Teo Jion Chun in Singapore; Editing by Gopakumar
Warrier; firstname.lastname@example.org)(Reuters Messaging: