Happy Invest
Is Xingquan a Good Bet? Koon Yew Yin (Comment Here)
As you know, Xingquan was trading at between 2 sen to 5.5 sen in early June 2017. I bought a total of 50.5 million shares at an average price per share of 3.5 sen. I bought almost all the shares traded.
As you also know, Xingquan has been selling between 10-13 for some time and I have been accumulating it. Last year annual report shows that I have accumulated 36.4 million shares. Now I have a total of 86.9 million shares and my average price per share is 6.85 sen.
Is 6.85 Sen Per Share a Good Bet?
I recall that CIMB was the under writer at Rm 1.70 for its IPO about 7 years ago and the auditors was and still is SJ Thornton of Singapore. I remember its retired senior partner a Chartered Accountant, is my cousin who is also 84 years old like myself.
You can see in its latest accounts that its NTA is Rm 1.90 per share with a lot of cash in the bank. I cannot believe the company could simply cooked the books to bluff the highly respected auditors for so many years.
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I visited Xingquan’s factory in Fujian. It used all its money from the IPO to build a large factory with hostel accommodation for 2,000 workers. These assets must have appreciated many folds.
The Question is Can I Trust CIMB and the Auditors?
I noticed that most of the shareholders complained that the company gave them very little dividend at every AGM and they do not believe the audited accounts is true. If only the company gives out a little more dividend the share price would be different.
It has been selling about 10 sens for quite a long time and I have been buying.
A few months ago when Securities Commission issued notice to Xingquan to submit the 3rd accounts or it would be suspended, its price dropped to 2 sen and I bought almost all the shares traded. I bought a total of 50.5 million shares at an average price of 3.5 sen.
According to Bursa announcement, Xingquan did not submit its 3rd quarter accounts in time because its accountant’s contract was not renewed. As a result, many shareholders rushed to dump their holdings.
The company announced that it is looking for a suitable accountant to be able to submit its 3rd quarter accounts.
It is only natural, one day the controlling shareholder will sell all the company’s assets to benefit themselves and all the shareholders. Its audited accounts shows that its NTA is Rm 1.90.
I can imagine the amount I will make from my 86.9 million shares, costing me 6.85 sen per share. I will be laughing all the way to my bank.
In any case, there is always some risk in buying any share. I think Xingquan is a good bet.
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Discussions
Be the first to like this. Showing 50 of 76 comments
Icon. Don't think like investor loh! Remember koon said he is businessman. Think like businessman now! If businessman want to list his company, how many money need to spend? On top of tables plus under the table one?
Think like businessman now OK? If got deal, it is good deal for the one who takeover loh
2017-09-05 23:24
Uncle stated that he has visited Xingquan factory at China. So, some thing is brewing. He knew something? I am highly respect him if he won this battle. It is very interesting to know the end result!
By the way, look like Red-Chips are starting the "goreng" game...
2017-09-05 23:28
He will need another 33.1% to reach 51%. Count the money see. Or another 82.1% of485mil shares, that is another around 20mil ?? Even his existing shares go to toilet, for his wealth, that is tiny loh. As good as one month fixed deposit interest only maybe
2017-09-05 23:33
uncle koon really that kaya? it will be so sad if it burns up =(
8billion FD @3.3% = 264million p.a.
= 22million per month
wah~
ok i go sleep liao
2017-09-05 23:36
Icon8888, good one. Can't agree more.
pang72, this KYY has been forgetting things. He already admitted it was a mistake to invest in Xingquan. It has been established as a fact the management put up a show when investors visited the factory. It's all fake! The workers, the receptions, the shops, the plans and the money.
His cousin probably same level as him.
2017-09-06 00:23
They stopped updating their website long time ago. The mastermind has moved on (for other projects), wake up, uncle Koon.
2017-09-06 00:40
If Xingquan is relisted, I would take it, as a gentleman's honour, that those who have condemned him so freely, will refrain from buying it - how tempting it might be. I think KYY will enjoy this more than going to the bank.
2017-09-06 02:23
At price close to zero, it will be an interesting arbitrage play if BSKL and shareholders have legal channel to seize the assets or bring justice to the directors. And auditors. And Perhaps the promoters too?
2017-09-06 02:35
Or BSKL and the shareholders just gonna happily roll over and die? Seem like no one has been penalized for the public rape except the shareholders.
2017-09-06 02:43
CharlesT, good analysis, we need fact and figure like what you just did to tear off the mask of the old man.
This old man is really too ego and he always thought the forumer here are idiot.
2017-09-06 08:31
As you know, Xingquan was trading at between 2 sen to 5.5 sen in early June 2017. I bought a total of 50.5 million shares at an average price per share of 3.5 sen. I bought almost all the shares traded.
As you also know, Xingquan has been selling between 10-13 for some time and I have been accumulating it. Last year annual report shows that I have accumulated 36.4 million shares. Now I have a total of 86.9 million shares and my average price per share is 6.85 sen.
I am very curious on the above especially on his so called average cost of 6.85 cents per share (total 86.9M shares).
As at 30 Sep 2016 (Annual Report 2016) he owned ard 47.5M shares (under his name, YSP, KZY etc) or 9.8% shares while as at 20 Oct 2015 (Annual Report 2015) he owned ard 14.2% shares or 48M shares. Thus his shareholdings is quite consistent at RM48M+ during last 2 years. I think his average cost shall be ard RM0.70-RM0.80 for this batch(his first entry price in 2014/2015 was at least Rm1.50+)
He claimed he bought a large batch of 50.5M shares at 3.5 cents before the shares suspended in June 2017 and now is holding ard 86.9M. Ok maybe he sold 10M+ shares earlier (thus reducing from 48M to 36.4M), still his average cost shall be as follows:
1) Old batch of 36.4M at Rm0.70 to Rm0.80 (ard Rm25.48M to Rm29.12M)
2) New batch of 50.5M at Rm0.035 (RM1.7675M)
So total shall be ard Rm27.2475M to Rm30.8875M
Divided by 86.9M shares, his average cost shall be ard RM0.3135 to RM0.355
No way to be at Rm0.0685..Unless he did a write off on impairment loss on his investment in Xinquan?
06/09/2017 08:28
2017-09-06 08:32
Uncle hints you that red chip is in focus.You should look for tbe red chip with similarity as Xingquang which is.....
C
2017-09-06 08:35
Or just do a simple reverse calculation:
Total : 86.9M at so called average cost of 6.85 cents = Rm5.95265M
1) New batch of 50.5M at Rm0.035 (RM1.7675M)
2) Old batch of 36.4M at Rm0.1149 (RM5.95265M- RM1.7675M=RM4.185M/ 36.4M shares)
Old batch at RM0.1149? U did a mark to market loss basing on it's market price then?
2017-09-06 08:48
It's certainly that Impairment Losses in portfolio has been provided before getting such a low average purchase prices as stated now.
2017-09-06 11:31
oklah, ask u all sialang xingquan, you all go buy HUAAN instead.. how to be top class investor like tht
2017-09-06 11:33
Wah, if he further write off his average cost to RM0.01 then when (if) Xinquan resumes trading n opens at Rm0.10+ one day in future he may make 10 times profit n becomes Superinvestor again...
Salute!!
2017-09-06 11:34
That's the way to manipulate returns by telling the whole world later that he is a god in punting..lol
2017-09-06 11:38
KYY is generous enough for us to make some $ together with him..not like cold eye...diam diam saja
2017-09-06 21:25
Anything wrong for cold eye diam diam? Does he responsible for anyone's money here?
What if he act like KYY telling the whole world what he has purchased, I believe many people will jump in without looking at reports or understanding the business.
Whatever the price movement subsequently, the whole world will condemn/curse him whenever he sells the shares.
Cold Eye was the Editor in chief of Nanyang ShangPao & every stock investors know him via the books he wrote. He openly hoped to keep low profile for security reason.
2017-09-06 22:59
Posted by yewyin33 > Sep 7, 2017 06:05 AM | Report Abuse
I am sorry that I made a mistake in calculating my average cost. Xingquan was listed in 2009 and CIMB was the under writer at Rm 1,75 per share. It's 2009 annual account shows that I did not hold any shares.
As you know its price has been falling quite rapidly since the company was listed. I started buying it in 2010 when the price fell below Rm 1.00 and 2010 annual account shows that I had a total of 17,005 million shares.I estimate my average price should be about 70 sen.
As I said, I have a total of 86.9 million shares. 17.005 divided by 86.9 = 19.6 per cent. Some of you who are still quite smart can calculate my average price.
One commentator said that I was promoting Xingquan so that people would buy so that I could sell. How could I do that because the company has been suspended.
My only reason for writing the article is to teach investors how to evaluate risk in selecting stocks to buy. What is a good bet?
I was willing to buy 50.5 million shares, almost all the shares traded in the few days when SC gave notice of suspension to Xingquan at the price between 2 - 5 sen. My average purchase price was about 3.5 sen.
I think it is a good bet to buy at 3.5 sen when its audited account shows that its NTA is Rm 1.90 and the company is cash rich with no bank borrowings. I have seen its factory with 7 blocks of low rise flats to accommodate 3,000 workers. The land was given by the Chinese Government for a song. The assets should worth a lot more by now.
In any case, the game is not yet over. An official from CIMB told me that Datu Wu, Xingquan CEO told her that he is making preparation to comply with the rules of SC in order to relist the company. If the company is listed again, I think the price will go higher than 3.5 sen and I will be laughing all the way to my bank.
That is what I mean by a good bet.
THIS IS MY LAST COMMENT. GOOD LUCK!
2017-09-07 06:31
As you know its price has been falling quite rapidly since the company was listed. I started buying it in 2010 when the price fell below Rm 1.00 and 2010 annual account shows that I had a total of 17,005 million shares.I estimate my average price should be about 70 sen.
As I said, I have a total of 86.9 million shares. 17.005 divided by 86.9 = 19.6 per cent. Some of you who are still quite smart can calculate my average price.
He finally realised we are not really stupid losers....
2017-09-07 06:32
CharlesT, you are so geng. You made KYY cannot sleep for whole night and force to come out another article to clarify that his calculation is wrong.
Faster screenshot and save all the article, if not 2-3 months later, when Xinquan confirm to be delisted, KYY will delete all his post about Xinquan and maybe he will start shout that he has bought HUAAN at 3.5sen, and within 1 months surge up to 35sen, he made 1000% return, while KLCI only up 0.4% for that period...blar.. blar.. blar.
2017-09-07 08:10
Well done to all who have talked "facts" & "truth"
For me, I don't know how to laugh if the share that I invested went all the way from above RM1.50 to 3.5 cents, even though it go higher than 3.5 cent later.
Posted by yewyin33 > Sep 7, 2017 06:05 AM | Report Abuse
In any case, the game is not yet over. An official from CIMB told me that Datu Wu, Xingquan CEO told her that he is making preparation to comply with the rules of SC in order to relist the company. If the company is listed again, I think the price will go higher than 3.5 sen and I will be laughing all the way to my bank.
2017-09-07 08:42
What led to Xingquan's suspension? Not able to release their accounts in time despite given a few chances to do so.
When a coccroach appears, more cockcroaches will soon appear.
The integrity of the management of Xingquan is questioned.
You cannot expect a good deal from people with questionable integrity.
In the absence of insider information, betting on Xingquan is risky.
2017-09-07 14:17
Just like Maxwell, said the company has net cash of over 100 mil. one day and next day says spent all the 100 mil on advertisement assets and now no money. What a joke! The auditor says nothing and SC do nothing!!!
2017-09-07 22:08
CALCULATED BETS LOH....!!
UNCLE KOON USE TO SCORE ALL "A" IN MATHS LOH...!!
CANNOT BE TOO FAR WRONG IN ITS CALCULATION MAH...!!
2017-09-08 13:04
Blacksails Just like Maxwell, said the company has net cash of over 100 mil. one day and next day says spent all the 100 mil on advertisement assets and now no money. What a joke! The auditor says nothing and SC do nothing!!!
07/09/2017 22:08
Repeat
2017-09-08 13:05
Stockraider, it makes more sense to believe that people once getting older, they will be losing their ability to think & calculate over time
2017-09-08 13:07
another mistake in calculation of his first 17m shares acquired at 0.70 in 2010/2011..price never went below rm1 in 2010/2011...
2017-09-08 13:08
I THINK CALCULATION WISE UNCLE KOON HAS NOT LOST HIS TOUCH LOH...!!
IT IS WHETHER...THE LISTED CO...CAN FORCE...A LIQUIDATION OF ITS 100% SUBSIDIARY IN CHINA LEH ??
IF SUE...WHETHER CHINA COURT WILL CONSIDER LEH ??
2017-09-08 13:10
cash is king..
if however the cash is in "units", then its like hell notes...
2017-09-08 15:18
personally if you are filthy rich, you can afford to bet, because you can afford to lose all anyhow.
people like me will try to avoid being trap in such suspended counter. reason is simple if i get trap here i have no fund for others. how to recover ?
diff being big fish vs small fly......haiz... :(
2017-09-08 15:50
OTB asking people to commit suicide.. bloody bastard old cock..so cruel..you go die lah. M fucker!!!!
2017-09-13 09:36
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Why only xinquan? Most other locally listed chinese companies also has tons of cash
2017-09-05 22:56