GuocoLeisure chairman ramps up stake in latest buying spree

This is a positive sign, say analysts.

GuocoLeisure’s major shareholder, non-executive board member and former executive chairman Quek Leng Chan scooped up 132,600 shares of GuocoLeisure yesterday, paying SGD0.95/share and raising his overall stake in the company to 66.7%.

According to RHB, the purchase is a positive signal and comes after as this is the first time Quek is buying stock in GLL after the last buying spree in 2012 when he scooped up millions of stock from 60-69.5 cents range.

“We remain positive on the stock and believe that the stock can narrow its discount with its SOTP valuation as its hotel transformation drive forward earnings growth,” stated RHB.

Here’s more from RHB:

Since that time, GLL has appointed a new CEO, Mike Denoma, and embarked on a transformation of its hotel business, including a major retrofit of key hotels and a re-branding exercise.

While the transformation is still a work in progress, re-launched and retrofitted hotels such as the Charing Cross and Piccadilly has seen sharp improvement in Tripadvisor’s London hotel rankings, moving to 4th position and 50th position respectively.

The current year will see completion of renovation of the 692-room Marble Arch. Meanwhile, GLL is exploring options for the Tower London, whether to re-develop the property into a mixed project or go ahead with retrofitting the hotel.

We expect the benefits of the AEI exercise to flow through in the course of the next 2 years from improved rates and occupancy. Separately, the refinancing of its legacy £138m, 10.75% mortgage debentures since end 2014 has resulted in a sharp 68% decline in 3QFY15 financing cost to USD2.6m.

The people you want to reach are already in this room.

Every quarter, SBR lands on the desks of the founders, CFOs, and directors running Asia's most consequential companies. Every day, they open our newsletter and read our website. It's a room that took twenty years to build — and it's the one most of our partners are trying to get into.

The good news is that the door is open. We work with companies on thought leadership articles, sponsored content, industry summits across Southeast Asia, regional awards programmes, podcasts, and media placements in print and digital. The shape of the right partnership depends on what you're trying to do, which is why we'd rather start with a conversation than send a rate card.

If you have something this room should know about, tell us. We'll tell you honestly whether we can help, and how.

No rate cards until we understand the brief. It's a better use of everyone's time.

Book a meeting

| Or download the media kit (PDF)

240,000 senior readers quarterly in print Top 1,700 Singapore companies reached

7 markets across Southeast Asia