Shares in Singapore-based drinks group Fraser & Neave Ltd (F&N) have surged to almost a six-year high.

On Monday morning, F&N's shares were up 50 cents or 5.3% at S$9.95 (US$5.69) after hitting a high of S$10.10 earlier.

In a report by the news agency Reuters, analysts had no other explanation for the surge of interest in F&N other than the stock being undervalued.

F&N is a Coca-Cola bottler in Singapore and Malaysia with interests in brewing and property. The company also owns a 37.9% stake in Asia-Pacific Breweries which produces the leading Singaporean beer, Tiger.