Cache Logistics Trust: Posts a DPU of 2.234 S cents in 1Q13, up 7.1% yoy. Distributable income rose 18.3% to S$15.8m, on the back of a 13.3% rise in gross revenue to S$19.1m and a 12.4% increase in net property income to S$18.1m. As at 31 Mar 13, Cache's portfolio included 12 logistics warehouse properties in Singapore and China, with a total gross floor area of approximately 4.83m square feet. Overall portfolio occupancy was maintained at 100%, with a weighted average lease to expiry (WALE) of 3.7 years.

Results in line with expectations. The 1Q13 DPU is in line with our expectations, accounting for 26.3% of our full year estimates. Acquisition of Precise Two completed on 1 April, for total cost of S$57m at an NPI yield of 8.7% on a six-year master-lease. With this acquisition, total investment properties will exceed S$1b. Maintain BUY with a target price of S$1.52 (from S$1.45) based on DDM (required rate of return: 6.5%, terminal growth: 2.0%) to value Cache (UOBKH)

From Business Times. Cache Logistics Trust’s private placement to raise S$84.2m has been oversubscribed overnight and it has since closed its orderbook. The issue price has been fixed at S$1.24 per new Unit, at the bottom end of its earlier provided range. Proceeds will be used to fund the proposed acquisition of the Precise Two property at

Singapore, 19 March 2013 – ARA-CWT Trust Management (Cache) Ltd., the manager (" Manager" ) of Cache Logistics Trust (" Cache" ), is pleased to announce that Cache has exercised the call option as provided for in the call option agreement signed and announced on 6 February 2013, and has entered into a sale and purchase agreement with Precise Development Pte. Ltd. (" Precise Development" ) to acquire the property known as Precise Two, located at 15 Gul Way, Singapore 629193 on 18 March 2013.

In addition, the Manager raised S$86.8 million overnight from a placement at an issue price of S$1.24 per New Unit, drawing strong demand from new and existing Unitholders. The net proceeds raised will primarily be used to fund the acquisition of Precise Two, potential acquisitions and/or pare down debt and general corporate and working capital.

UOBKH on Cache

Cache Logistics Trust (Cache) has announced the proposed acquisition of Precise Two, a newly completed three-storey ramp-up logistics warehouse, for S$55.2m. The valuation of the property by Knight Frank is at S$55.15m. Total estimated cost of the transaction is S$57.3m, including 1% acquisition fees and other professional fees and expenses. Gearing to rise to 35.3%, from 31.7%, if the acquisition is fully funded by debt. This is still within the comfortable gearing level of 30-35%. However, management has indicated that it will explore funding options closer to April when Cache is due to exercise the call option to purchase the property.  Maintain BUY with a target price of $1.52 (from S$1.47), based on DDM (required rate of  return: 6.5%, terminal growth: 2.0%).