Summary: SingTel will have to offer its BPL content to rival StarHub customers after the Ministry for Communications and Information (MCI) rejected its appeal for a stay of the Media Development Authority (MDA) ruling for the cross-carriage of the closely followed football content. However, the subscription comes with a price - new subscribers will have to fork out S$59.90 (before GST) for the stand-alone package, while existing mioTV subscribers can continue with the existing pricing of S$34.90 (before GST). While we may see some migration of subscribers from mioTV to StarHub's cable TV platform, we do not expect a huge number. For now, we maintain our NEUTRAL rating on the sector. While we also maintain our HOLD rating on SingTel, we are putting our Hold rating on StarHub under review. (Carey Wong)

First REIT: 2Q13 results within expectations

Summary: First REIT (FREIT) reported its 2Q13 results which were within our expectations. Gross revenue surged 43.4% YoY to S$20.1m due largely to contribution from its four newly acquired properties in Indonesia (two acquired in Nov 2012 and two in May 2013). Distributable amount to unitholders rose 4.0% YoY to S$12.7m but DPU fell 4.1% YoY to 1.85 S cents. However, if we strip out an exceptional distribution in 2Q12, FREIT's distributable amount to unitholders and DPU would instead have increased by 26.6% and 16.4%, respectively. As FREIT had already made an advance distribution of 0.99 S cents on 26 Jun 2013 (prior to the issuance of new units for payment of its acquisitions), only the remaining 0.86 S cents will be paid to unitholders. For 1H13, gross revenue rose 34.2% to S$37.6m and constituted 45.2% of our full-year projection. DPU (after stripping out the special distribution highlighted earlier) increased 12.9% to 3.59 S cents, or 45.5% of our FY13 forecast. We expect 2H13 to be stronger on a HoH basis due to a full-quarter of contribution beginning 3Q13 from the two hospitals acquired in May 2013. We will provide more details after the analyst briefing. Meanwhile, we maintain our HOLD rating and S$1.20 fair value estimate on FREIT. (Wong Teck Ching Andy)

Lian Beng: Construction order book at S$1.3b

Summary: Lian Beng announced FY13 (ended 31 May 2013) PATMI of S$39.4m - down 23.4% - this is mostly due to an absence of a S$7.9m gain from an investment property sale in FY12. FY13 topline, however, increased 13.6% to S$505.6m on higher revenue recognition from its construction and ready-mixed concrete segments. We note that Lian Beng's construction books as at end May 13 are at a very healthy level of S$1.3b, which is expected to underpin firm revenue numbers over the next 2-3 years. We would speak with management regarding FY13 results later today and, in the meantime, our rating and fair value estimate is under review. (Eli Lee)

Swiber Holdings: Wins US$435m contracts; sets up Islamic Trust Certificates

Summary: Swiber Holdings announced that it has clinched contracts worth about US$435m, US$330m of which were secured under the Swiber group and about US$105m under a joint venture company. Work will commence immediately and is expected to be completed by 2015. Meanwhile an SPV of the company has also established a US$500m multicurrency Islamic Trust Certificates Issue Programme; proceeds from new issues will be used to refinance existing borrowings and fund capital expenditure, amongst others. Recall that the company had said that it was exploring options to establish Islamic Trust Certificates in Jun. Maintain BUY with S$0.86 fair value estimate. (Low Pei Han)