2nd Chance Properties

[CityFarmer]

I don't think gearing is an issue here - if it was, they wouldn't have invested their excess cash into over $40 million worth of listed equities (namely SGX listed REITs). The cash raised is probably earmarked for property investment or taking up equity stakes in property development JVs. Meanwhile, they could always park it inside REITs equities.

(Not Vested)

I agreed with you gearing is never an issue for SecondChance.

But with reducing gearing ratio, it will allow the management to raise fund via bank debt quickly if any opportunities arises e.g. a dive in properties market