Depreciation is a bigger amount as it is based on the entire cost of the solar project while loan repayment is based on the loan taken which may be on 60 -70% financing. In any case, the Bankers always play safe.

Depreciation charge is a non cash flow item which does not involve cash payment. LSS4 is making losses due to depreciation charges but net cash flow should be positive and able to pay the loan principal.

xiaoeh, the syndicated loan is for the solar project of which the bankers must have assurances that the cash flows generated from the solar project are certain to be able to service its loan. Therefore, the syndicated loan should not be a concern to Jaks especially when we are trying to determine the severity of Jaks' near term future cash flow deficits.

Prior to the release of 2023 annual report, it was not known to me that there is a RM200m loan included in the total borrowings of RM500m. I was doing a cash flow projection of Jaks for the next 6 years before the JHDP loans are fully repaid. The future cash flow deficits are projected to be very severe and hence expectation of numerous PP and RI to deal with the cash deficits. If the syndicated loan is excluded from the cash flow projection, the severity of negative cash flow is substantially reduced.

Alibone, I gave my detailed analysis to DK for comment. He agreed that the negativity of the cash flow deficit is alleviated substantially when the RM200m syndicated loan is excluded. However, he is still concerned with the collectivity of the receivables given the significant write offs in the prior years. Nevertheless, he agrees that the risk reward is attractive now and he is considering subscribing for the private placements.

Definitive agreement will be signed by this month

https://klse.i3investor.com/web/blog/detail/righton/2024-05-07-story-h-181900615-WHY_DO_I_THINK_JAKS_IS_A_BARGAIN_NOW

Only for those who have earlier followed my strategy "sell now buy back later" and sold at 0.19-0.20, I wish to inform that I m buying back now.

Definitive agreement to acquire Eramas Global Group

Likely before end of this month

get ready for definitive agreement ..........

https://seoagencychina.com/coconuts-in-china-huge-demand-from-distributors/#:~:text=Market%20Share%3A%20In%20China%2C%20blended,87%20million%20yuan%2C%2017.07%25.

The definitive agreement is very likely to be signed next month and submitted to the SC before June.

Between 0.585 to 0.675

https://klse.i3investor.com/web/blog/detail/righton/2024-03-24-story-h-185587948-WHAT_AN_EARLY_BIRD_SHOULD_KNOW_ABOUT_SCGM

Thai coconut public company was listed in Sept 2023 at 5.50 baht and the share price has already doubled.

I expect the definite agreement to be signed soon as the proposal has to be submitted to the SC before end of June. Otherwise, the proposal needs to be recomputed base on quarterly report ended 30 June 2024.

SC stipulates that the applicant needs to have an uninterrupted profit of three to five full financial years, with an aggregate after-tax profit of at least RM20 million as well as an after-tax profit of at least RM6 million in the most recent financial year.

The size of the worldwide Coconut market achieved USD 18510.92 Million in the year 2022. Anticipated expansion at a Compound Annual Growth Rate (CAGR) of 13.56%. The global Coconut market is projected to attain the valuation of USD 39703.85 Million throughout the forecast period.

Thai Coconut Public Company Limited (SET: COCOCO) has announced its 2023 consolidated financial statement through the Stock Exchange of Thailand.
COCOCO reported a net profit of Baht 539.68 million, an increase by Baht 233.01 million or an increase by 75.98 % compared to the previous year, because of the company’s increased sales revenue from expanding the international market, especially from increased sales of coconut water products in China.

Read More: https://www.kaohooninternational.com/markets/536899

Coconut business is booming globally

you should know that the latest qtr results of Thai coconut public company increased by 75%

Fixing the new share issuance at 0.615 tantamount to setting IPO price at 0.615. Would you subscribe to IPO of a fast growing coconut company ?

All i know is the business growth is very good.

https://klse.i3investor.com/web/blog/detail/righton/2024-03-21-story-h-185647492-WHY_HEADS_OF_AGREEMENT_HOA_FOR_SCGM

https://klse.i3investor.com/web/blog/detail/righton/2024-02-23-story-h-188239466-WHY_DO_I_THINK_RTO_OF_SCGM_IS_A_CERTAINTY

https://www.irplus.in.th/Listed/COCOCO/en/news-set-announcement/2024/2/7169917

Thai Coconut public company earnings for Yr 2023 improves 43% over Yr 2022

http://www.news.cn/food/20230829/744754af3f974bdd8ff0e69aca01b299/c.html

China coconut market is expanding rapidly.

Yes, successful injection of coconut business into SCGM will be a windfall for the existing shareholders. Given the information I have, it is already at the stage of seeking SC approval. The new controlling shareholders will ensure the successful listing of their coconut business. Delisting of SCGM will results in losses to them.

Better switch to SCGM

https://klse.i3investor.com/web/blog/detail/righton/2024-02-18-story-h-188366229-MY_OPINION_OF_SCGM

https://klse.i3investor.com/web/blog/detail/righton/2024-02-18-story-h-188366229-MY_OPINION_OF_SCGM

Alibone, you are right. Chin Kok Tian and Yan Hua Lan are husband and wife, and Tan Ah Tek is their long time partner. As shown in CTOS report, they are major shareholders of Eramas group.

https://jinan.dzwww.com/xinwenzhutu/shenghuo/202308/t20230821_12583409.htm

https://www.youtube.com/watch?v=OFg7jW7kKLY

https://www.youtube.com/watch?v=OFg7jW7kKLY. Golden bull award

Bear in mind that SCGM is currently a PN16 Cash company. If SCGM failed to regularize its business within the given time, it will be delisted and all money in the designated bank account will be distributed to the shareholders. Any proposal needs to be approved by shareholders in an EGM and designated persons are not allowed to vote. Therefore, existing shareholders can reject the proposal if it deemed unattractive.

It will be a reverse take over. So it is a whole new company going forward. Much like a new IPO except no new share offering. I think its valuation can mirror that of Vita coco and Thai coconut Public company.

Brutus, the F&B owners will be the new bosses of SCGM. So, no worries about managing the new businesses.

Alternatively, you may use the price big boss acquired from old bosses, 0.65

In the event that nothing materialised, SCGM will distribute NTA 0.62 back to its shareholders. So, that is the safety line.

Below NTA 0.62

You don't see opportunity like SCGM everyday !

Huge demand for coconut in China

https://seoagencychina.com/coconuts-in-china-huge-demand-from-distributors/

Huge demand for coconut in China

https://seoagencychina.com/coconuts-in-china-huge-demand-from-distributors/

They are waiting for approval from the securities commission.
xiaoeh

Just to follow up
any development for SCGM?

19 minutes ago

Coconut demand in China https://seoagencychina.com/coconuts-in-china-huge-demand-from-distributors/

Brutus, You are welcome. What do you think ?

You may like to switch to SCGM

https://klse.i3investor.com/web/blog/detail/righton/2024-02-14-story-h-212401861-DO_YOU_LIKE_THE_TASTE_OF_COCONUT

https://klse.i3investor.com/web/blog/detail/righton/2024-02-14-story-h-212401861-DO_YOU_LIKE_THE_TASTE_OF_COCONUT