Investor & Media Relations
Effective communication with the financial community and media is an indispensable part of any corporate strategy. During times of uncertainty in the global financial markets, fundamental investor relations (IR) and media communication practices are even more important than ever. We believe that communications with investors and the media should be consistent, responsive and credible at all times.
In recognition of its corporate transparency efforts, CMT took the runner-up award for ‘Most Transparent Company' (REITs category) at the Securities Investors Association Singapore (SIAS) Investors' Choice Awards in 2009. CMT also clinched a Certificate of Excellence at the IR Magazine Awards 2009 (South East Asia). At the Singapore Corporate Awards 2009, CMT won the prestigious Gold award for ‘Best Annual Report - REITs & Business Trusts'. This Gold award recognises the most outstanding annual report based on criteria such as transparency, adequacy of disclosure and presentation of information.
Investor Relations Activities
CMT's management team meets existing and potential investors frequently at one-on-one or group meetings, local and overseas conferences, corporate days and post-results investor luncheons. In 2009, some of the conferences that we took part in included the Citigroup Asean Corporate Day (Singapore), Nomura Global Real Estate Forum (Tokyo), CLSA Investors' Forum (Hong Kong) and Asian Convertible Bonds Conference (Singapore).
During the year, we met or held conference calls with about 290 institutional investors based in Singapore, Hong Kong, Japan, United Kingdom, United States, various European countries and Australia. We also reached out to retail investors by participating in SIAS' Asian Investment Conference, which aimed to educate investors on financial and investment markets. Retail investors also had the opportunity to learn more about CMT at an Investors Open Day event that we organised in August. Currently, 19 local and foreign brokerage firms have research coverage on CMT.
Approximately 14,000 registered Unitholders owned CMT units as at 31 December 2009 and about 58.78% of the units were held by institutional investors. The CapitaLand Group owns a combined interest of about 29.90% of the units in issue while retail investors constitute the remaining 11.32%.
We host combined analyst and media results briefings every six months to provide an update on CMT's half-year and full-year financial and operational performance. The briefings are webcast ‘live' and viewers of the webcasts can send in questions online to be addressed by CMT's management team on the spot. In accordance with our commitment to deliver accurate, timely and transparent information to Unitholders and the general public, the results announcements are made within 30 days from the end of each quarter.
General information on CMT including annual reports, property portfolio details and investor presentations are updated regularly on the website for investors and the general public. Mall tours are occasionally conducted for analysts and investors who are keen to visit CMT's properties to better understand the performance of the various malls and the asset enhancement initiatives which were completed.
Successful Rights Issue
At the beginning of 2009, CMT was the first S-REIT to announce plans for a rights issue to refinance its debts and reduce CMT's gearing. To allay Unitholders' concerns over the exercise, we communicated the rationale and merits for the rights issue with investors and met them on local and overseas roadshows. On 2 March 2009, we held an extraordinary general meeting (EGM) to seek Unitholders' approval for the proposed rights issue. The resolution was unanimously passed by Unitholders. The rights issue was eventually over-subscribed by 1.16 times, demonstrating investors' confidence in CMT.
