Boustead Singapore

[LionFlyer]

You are welcome to your view. I am vested for more than 10 years and it is a significant part of my portfolio (>40%).

[Dosser]

Shares made a small jump on news that Boustead is expected to put COMO on the market:

https://www.businesstimes.com.sg/propert...king-price

COMO always looked to me like a poor fit for the rest of the company, and a concern given my relatively large weighting in Boustead. The market obviously liked the news as well.

[weijian]

Shares made a small jump on news that Boustead is expected to put COMO on the market:

https://www.businesstimes.com.sg/propert...king-price

COMO always looked to me like a poor fit for the rest of the company, and a concern given my relatively large weighting in Boustead. The market obviously liked the news as well.

Hi Dosser,

IIRC, COMO was a result of seizing the collateral (land) or capitalizing their "private credit" loan and then build a hotel site on the land.

Personally, I think this is type of modus operandi will be able to extract more value, compared to a bank whom will never do anything beyond auctioning off the collateral of a failed loan. Now that the land has some building, a COMO branded hotel managed by a professional team and wellness commercial activity in it, it is definitely a good thing for OPMIs that the investment property is monetized.

If we were to look at the current Boustead businesses, they are relatively diverse with little synergies between them. So, I don't think there is really a "poor fit" per say with regards to FF Wong's entrepreneurship spirit.

[EnSabahNur]

"If we were to look at the current Boustead businesses, they are relatively diverse with little synergies between them. So, I don't think there is really a "poor fit" per say with regards to FF Wong's entrepreneurship spirit."

What happens when FF Wong leaves the company?

[weijian]

"If we were to look at the current Boustead businesses, they are relatively diverse with little synergies between them. So, I don't think there is really a "poor fit" per say with regards to FF Wong's entrepreneurship spirit."

What happens when FF Wong leaves the company?

Hi EnSabahNur,

FF Wong has 2 sons each with ~20years experience working at the company. The unfortunate thing is FF Wong still holds the executive chairman/CEO at the age of 80. We can only speculate that he loves toiling at the company he founded. In the meanwhile, OPMIs will hope that acorns can still prosper under mighty oaks.

Both sons have had clear duties for some time, with the elder one in charge of engineering/geospatial and younger son at BP. So it is tempting to think while trying to unlock some value from the conglomerate discount, splitting BP out is also some sort of succession plan. If there is a possibility to my thought above, then it is clear that FF Wong has a plan.

[Curiousparty]

FF Wong, at 80, remains at the helm of Boustead, with his two sons managing distinct responsibilities—engineering/geospatial for the elder and Boustead Projects (BP) for the younger. Despite this, succession remains unclear, and recent moves add to the confusion.

BP’s 2015 spin-off seemed like a logical step to unlock value and test the younger son's leadership. However, its reintegration into Boustead in 2023 raises questions: What is FF Wong trying to achieve? Was the spin-off a failed experiment, or has the strategy evolved due to changing market dynamics?

The reintegration suggests a shift toward consolidation—perhaps to strengthen the group’s position or ensure tighter control under Wong’s leadership. This could reflect either strategic adaptability or a delay in transitioning leadership.

For OPMIs, the narrative remains puzzling, oscillating between value unlocking and consolidation. Whether the moves are part of a broader plan or reactive adjustments, the hope is that the outcomes will eventually align with shareholder interests.

[CY09]

The reintegeration of BP is more of a value move. Despite the spin off, BP constantly was at a huge discount to its RNAV. So for FF Wong seeing such a discount, it was natural to sweep in to buy off the company for a cheap.

[EnSabahNur]

https://boustead.sg/sites/boustead.sg/fi...IB%201.pdf

Hong Kong and Singapore, 12 March 2025 - Unified Industrial (UI) and Boustead Projects Limited (BPL)’s real estate business, under SGX
Mainboard-listed Boustead Singapore Limited, today announced the formation of a vertically-integrated Pan-Asian logistics real estate
development, investment and fund management platform called UIB.

The transaction brings together the capabilities of the two businesses across acquisition, development, leasing, and asset management,
combining UI’s established North Asia presence with BPL’s Southeast Asian business to cover key markets across Asia.

Operating under the new name UIB, the platform will target real estate opportunities in high growth sectors, particularly in logistics and data
centres, both of which are experiencing growing demand driven by e-commerce, digitisation and regional supply chain realignment in the
Pan-Asia region.

With a broader geographic footprint and expanded expertise, serving a larger base of institutional investors, tenant network and strategic
partners, UIB will have US$3.5 billion of assets under management across Japan, China, Singapore and Vietnam. The creation of UIB will also
drive strategic synergies important for long term value creation within the business.
“Today’s announcement reflects a shared ambition to create a leading logistics and industrial real estate franchise in Asia, leveraging the
established brands of UI and BPL in their respective markets,” said Josh Olsan, Chief Executive Officer and Founder of UI. “UIB will bring
differentiated origination capabilities and critical know-how that strengthens our ability to serve institutional investors and unlock value.”

Wong Yu Wei, Deputy Chairman of BPL added, “Boustead Projects has been on the lookout for suitable opportunities to scale up our real
estate and fund management business. The creation of UIB allows us to combine forces as partners and ramp up the business, integrating
our respective capabilities to further expand across key Asian markets. Leveraging our joint expertise in the industrial space across multiple
sectors and regions, and with access to new capital, we are better able to pursue larger strategic opportunities and look forward to
establishing an enlarged presence in the fund management business space.”

The creation of UIB continues the successful growth of UI following the investment by Macquarie Asset Management’s flagship real estate
opportunistic fund series Macquarie Real Estate Partners (MREP), in 2021.
James Kemp, Head of Real Estate, Asia Pacific at Macquarie Asset Management and the Chairman of UIB commented: “We are pleased to be
able to bring together UI and BPL. Our investment in UI followed our strategy of identifying real estate capability in sectors and markets in
which we have strong conviction and then working to institutionalise and grow those businesses. This transaction continues this approach.

“UI has an established and growing business in North Asia and is ready to expand beyond these markets. BPL, with its equivalent development
led real estate capability in Southeast-Asia, is an ideal partner to do this with and we are excited to be participating in this next stage of
growth as UIB.”

To effect the transaction, UI will acquire the economic interest in BPL’s real estate business for scrip in UIB. Final close of the transaction
remains subject to certain closing conditions and references above to UIB’s geographic footprint and assets under management represent
the expected position at final close.”

[weijian]

BP always had a few problems - (1) its 2 funds (BIF and Vietnam) are too small and, (2) lack of access to institutional capital to help it to scale, (3) It has to put its share of capital to help its customers to build the real estate via a buyback-and-lease.

I reckon we can always depend on FF Wong to weave some sort of magic. So he has sold most of BP's operations and real estate assets to a fund. And this fund has an investment bank (known for minting millionaires) from Down Under who is more than capable to gather new capital from LPs to solve all of BP's "problems". Great move by the maverick!