Hong Leong Asia - DBS Research 2026-04-22: Accretive Acquisition Of A Singapore Household Brand In Architectural Products

• Hong Leong Asia announced the acquisition of Yong Tai Loong (YTL) for S$90.7mil, which has now been completed and positions the business as a wholly owned subsidiary.

About Yong Tai Loong

• - Read this at SGinvestors.io -

Immediately EPS accretive to HLA

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• The transaction is ~18.6% EPS-accretive (pro forma EPS rising from 15.08 to 17.89 cents excluding one-offs), but ~5.7% NTA-dilutive (falling from 131.77 to 124.25 cents) due to the premium paid.
• Funding was supported by a mix of debt, internal cash, and the remaining S$13.1mil from its 2018 rights issue, which has now been fully utilised (total S$201.1mil proceeds fully deployed).

Our views.

• Read more at SGinvestors.io.

Above is an excerpt from a report by DBS Group Research.
Clients of DBS may access the full PDF report @ https://www.dbs.com/insightsdirect/.

Previous report by DBS:
2026-03-30 Hong Leong Asia - Rising Costs Remains A Concern But Have Mostly Been Passed On.

Price targets by 2 other brokers at Hong Leong Asia Target Prices.

Listing of research reports at Hong Leong Asia Analyst Reports.

Relevant links:
Hong Leong Asia Share Price History,
Hong Leong Asia Announcements,
Hong Leong Asia Dividend Payout Dates & Corporate Actions,
Hong Leong Asia News