As World Health Orgnization (WHO) announced Covid-19 outbreak as a pandemic, glove stocks naturally became attractive to KLSE investors.
Followed by healthcare related equipments such as face masks, PPE, hospital beds and inter-related medical equipments and finally the most offensive product is Sanitizers.
Even 100-year old electrical companies such as General Electric Company (founded 1892) are innovating their productions into hand-sanitizers to accommodate this climate and its strong public demands.
The lighting and controls company has partnered with biofuel company Green Plains, Inc. to manufacture hand sanitizer at its Cleveland, OH plant.
GE Current, a Daintree company and Green Plains Inc. have partnered to produce hand sanitizer for use in retail and manufacturing locations across the United States. In response to the COVID-19 situation, Current and Green Plains are teaming up and coordinating their resources to produce high-quality, FDA-recommended hand sanitizer to assist with the reopening of the economy.
Green Plains, one of the largest biofuel producers in the U.S., is supplying some of its FDA-approved, FCC-Grade alcohol for usage in hand sanitizer manufacturing. The company’s facility in York, NE, originally a beverage grade facility, manufactures FDA-approved, FCC-Grade alcohol that is distilled specifically to produce cleaning products and disinfectant.
In mid-April, Current, a lighting and intelligent controls company, was challenged to obtain hand sanitizer supplies for its own manufacturing facilities, and decided to repurpose its Specialty Chemical and Materials (SCM) plant in Cleveland, OH, to produce a small batch. There was a parallel encouragement from customers and communities to explore additional volume. While Current and Green Plains had never done business together, both companies collaborated to develop a rapid response plan to convert the SCM facility to a high-volume hand sanitizer manufacturing facility.
Given the urgency of large-dispenser sanitizer requirements from Current’s customers, suppliers, and channel partners, the SCM production and maintenance personnel immediately started the process of converting the manufacturing lines for alternative usage. Green Plains responded by establishing dedicated supply chain logistics, which allowed the facility to start its first line within two weeks of the initial discussion.
The SCM facility is currently supplying 16,000 gallons/week to retail and manufacturing establishments across the U.S., with a plan to double the capacity in another four weeks. It is also working on introducing a gel formula for customers.
“We always strive to be a good partner for our suppliers and customers, and that is more important now than ever,” said Manish Bhandari, CEO of GE Current, a Daintree company. “I am immensely proud of our teams for coming together to provide a small but much needed contribution in this crisis.”
Remarks: The above picture shows FERMPRO's old storage tank facilities before they were refurnished and changed into new storage tanks and new accessories facilities with new storage pipings.
The above picture show the end commercial and consumer products made by FERMPRO (subsidiary of NYLEX) and market exclusively by their parent company, ANCOM BHD.
In Pic (From Left):
20 litres for Industrial,
Spray bottle for household,
4 litres for retail.
Remarks:Sole agent exclusively by Ancom Berhad
Manufacturer is FERMPRO wholly owned subsidiary of NYLEX.
The above picture showing the full client list of Entopest Environmental Services Sdn Bhd / subsidiary of Ancom Bhd (official qualified licensed fumigator, a legal recognition awarded by the Malaysian - Ministry of Agriculture Awards the license upon the completion of intensive course on all aspects of fumigation requirements by the Ministry of Health.
Credentials - wide spectrum of clients (Tier One Clients) from:
i. Hypermarkets - Tesco, AEON, MYDIN, Giant.
ii. Banks - Maybank.
iii. Universities - Taylor's University, UPM, Garden International School.
iv. Corporate offices - Amway, Goodyear, KLK Oleo, Gamuda, Sunway, Gas Malaysia.
v. Hotels - Le Meriden, Renaissance Hotel, Grand Hyatt, The Mines Hotel.
vi. Restaurant Chains - Texas Chicken, Old Town, Secret Recipe.
vii. Logistics/Warehouses - TASCO/NYK Nippon Yusen Kaisha Group, Sanyku Group Japan.
viii. Medical & Healthcare - Ministry of Health Malaysia, Gleneagles Hospital, Caring, Guardian.
The above pic shows Entopest is offering full sanitizing services that are compliant to the US FDA regulations for industrial and commercial usage that are highly effective against
Corona viruses.
The above picture shows a snapshot from one of Petronas stations in Malaysia. In fact, all Petronas station toilets have
Entopest Hygiene sanitizing facilities.
In short, it caters for all segments of market - from domestic to commercial uses.
NOTE: GLOVES, FACE MASKS & ISOLATION UNIFORMS ARE DEFENSIVE WEAPONS AGAINST COVID-19.
ONLY SANITIZER WITH MAIN INGREDIENT ETHANOL CAN KILL 99.9% GERMS.
The price of Nylex RM0.945(closing 01 JUNE 2020) is still at near basement of this cycle price.
We are not surprised that this stock like
HEXZA can go limit up,
as HEXZA went limit up on 4 May, 2020 and
close RM1.21 (+RM0.30)
The glove stocks have gone from the low from March 2020 to May 2020 astronomical prices.
In KLSE, you have noticed that there are very big volumes of buyers, and also big voumes of sellers on the glove stocks.
The reason is that the buyers are issuing buy orders with the understanding will go higher.
However, little did you know that the current big sellers are the ones who have bought stocks prior to March 2020 (pre-COVID19 season) and are currently selling at a MASSIVE PROFIT!
And after this, guess which stocks will they be putting their massive gains of big RM stocks into?
Answer: The Sanitizers.
The Specific Answer: ANCOM/4758 & NYLEX/4944
New NYLEX Investors will mimic the ranging bull as the price soars to max limit (limit up) price from Tuesday, 9 June 2020 onwards.
Reasons:
(i) Hexza /3298
manufactures ethanol that is the basic ingredient of hand sanitizers, commercial sanitizers.
(ii) Nylex /4944
Another potential candidate for limit up
Only 2 big manufacturers of ethanol, food grade, chemical grades in KLSE
Hexza is in Tasek, Ipoh at the main road juncture to Penang- old main trunk road. (size 10 acres)
Fempro (subsidiary of Nylex) is based in Chuping, Perlis (size is 11 acres). Almost the same size as Hexza.
Also , there are a proliferation of facemask and sanitizer retail companies due to Covid19.
Many of these newbies are just starting- up and they have not even purchased their lands for building the factories for
their respective manufacturing processes.
For Ancom, it is already a long established player and manufacturer in the sanitizer field.
Ancom 48.95% subsidiary company,
Nylex already has a specific - Fermpro factory that daily is producing Ethanol for many years.
And there is low entry level for face mask productions.
There is high financial barrier to enter for Ethanol - big plant for production.
To manufacture ethanol, the company essentially
MUST first secure a big piece of land of at least 10 acres size.
Not only that , it MUST be located at source of sugarcane as it is the feed stock for ethanol production.
So, Fermpro factory is located in Chuping,
is the perfect location as Chuping town ,Perlis.
As Chuping town has the biggest sugar cane plantation in Malaysia.
Now, Ancom is adding value to ethanol by converting and packaging it for sale as the end product- SANITIZER.
With average cost of RM25 to RM30 for a 500ml bottle of sanitizer.
Just imagine, the gross profit from Fermpro
5 million litres of ethanol will amount to BIG,BIG, BIG RM.
______________________________________________
You would not need to use the above 3 equipments as we have done research for you.
Just to illustrate the value of ethanol (alcohol-based hand sanitizers) right now in this pandemic, compare it with our local hand wash that has almost the same usage -- to disinfect your hands.
With the same volume metric of 500ml, Tesco Everyday Value Goat's Milk Handwash is retailing at RM2.55 (RM0.0051/ml) compared to alcohol-based sanitizers such as Summer Naturale Instant Hand Sanitizer retailing RM38.00 (RM0.076/ml). Or even Cool Spray Sanitizer at RM9.50 for 100ml (RM0.095/ml).
This goes on to show that alcohol, ethanol-based ingredient does indeed command a high profit margin.
1. Ancom Berhad - is the holding company of Nylex (Malaysia). Berhad and Ancom Logistics Berhad, both are listed on the Bursa Malaysia Securities Berhad Main Board and ACE Market respectively.
2. Entopest Environmental Services Sdn Bhd (wholly-owned subsidiary of Ancom Berhad).
3. Fermpro Sdn Bhd (subsidiary of Nylex Berhad) Nylex Malaysia Berhad.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
greedy44444
buy buy buy...tomorrow become a millionaire next week become a bankrupt
2020-06-09 01:27