KUALA LUMPUR (March 11): TA Securities has valued Prolintas Infra Business Trust (Prolintas Infra BT) at RM1.06, based on a target yield of 6% for the financial year ending Dec 31, 2025 (FY2025).

The research house, which does not have a rating for the stock, in a note on Monday said its target yield of 6% is reasonable, given the trust group’s consistent revenue streams from long-term concessions, coupled with high barriers to entry and limited competition.

“Additionally, the trust group presents promising growth opportunities and holds a shariah-compliant status.

“Comparatively, listed shariah REITs currently offer FY2025 distribution yields ranging from 4.6% to 6.2%,” it said.

TA Securities said Prolintas Infra BT had provided its net profit forecast for FY2024, with net profit and distributable income amounted to RM8.3 million and RM68.7 million respectively.

“For FY2025 and FY2026, we forecast distributable income to increase by 2.1% and 3.7% respectively, underpinned by traffic volume growth of 3.3% and 3.5% in the corresponding years,” it said.

Prolintas Infra BT is set to be listed on March 25.

Read also:
PNB values four highways at RM1.05 bil for trust IPO, expects 6.7% yield
Prolintas Infra Business Trust starts taking orders for up to RM445.3m IPO
PNB poised to raise RM1.5 bil from listing of highways