THE INVESTMENT APPROACH OF CALVIN TAN
MP CORP - NOW ONLY 3 SEN? What is Its Real Value: Its Impediments & Any Hope of Recovery? Calvin Tan Research
calvintaneng
Publish date: Wed, 20 Jun 2018, 11:10 PM
calvintaneng
0 1,803
Hi Guys,
I have An Investment Approach I which I would like to all.
I have An Investment Approach I which I would like to all.
Dear Fellow Investors of i3 Forum,
Today MP Corp closed at the all the low of only 3 sen
With Total Paid up Capital of 287 million shares the Total Value of Mp Corp is now
287,000 x Rm30 = Rm8.610,000
or Rm8.61 Millions
SO FOR ONLY RM8.61 MILLIONS YOU CAN OWN THE ENTIRE COMPANY
The Main Trigger for This Total Panic Sell Down was the imminent suspension of MP Corp share trading on Monday June 25th - leading to suspense and uncertainty.
So many are selling in panic and fear.
It would be crazy to buy in the face of torrent selling.
AND BOUGHT I DID. MY TONG SAMPAH GOT FALLEN MP CORP SHARES AT 4 Sen, 3.5 sen & 3 sen. AND I LOOK FORWARD TO BUY MORE TOMORROW
HAS CALVIN GONE BESERK OR MAD?
Let me tell you my reasons
1) The Debt of Mp Corp consists of Two Main Factors
a) RHB BANK of which Mp Corp owed about Rm145 Millions
b) AMANAH ANOTHER RM206 MILLIONS IN PAYABLES
SO THE COMBINED DEBT OWED IS RM351 MILLIONS
NOW RHB HAS SUED & CAUSED MP CORP TO BE SUSPENDED BY BURSA FOR FAILING TO PAY UP
BUT PLEASE FOLLOW CALVIN IF YOU WILL AS WE LOOK INTO THE ANNUAL REPORT OF MP CORP YEAR 2017
IT STATED THAT MP CORP HAS
1) WISMA MPI VALUED AT RM256 MILLIONS
2) 485 LANDS IN TAMAN NUSA DAMAI WITH BOOK VALUE OF RM234,337,000 or RM234 MILLIONS
SO ON SURFACE PERUSAL
THE COMBINED ASSET VALUE OF MP CORP IS RM256 Mil & Rm234 MIL
OR 490 MILLIONS
SO DEBT TO EQUITY IS ALMOST 71%
IF COURT AUCTION AT FORCE SALE VALUE WILL NOT BE ENOUGH TO COVER THE DEBT. THEN THERE WON'T BE ANYTHING LEFT FOR SHAREHOLDERS?
LET US SEE
485 ACRES LAND VALUED AT RM234 MILLIONS
HOW MUCH PSF?
SO 234,337,000 divides by 485 ACRES = RM483,169 PSF
HOW MUCH PSF?
SO DIVIDES 483,169 by 43,560 ft
= RM11.09 PSF
IS THAT THE REAL BOOK VALUE OF THOSE LANDS
TO SEE ITS REAL VALUE NOW GO TO SEE 2017 ANNUAL REPORT OF MP CORP
7. Land Held for Property Development (Cont’d)
Group 2017 ....................................
Analysed as: Freehold land, at cost 102,627,000
Development expenditure .................110,428,000
Total Book Value ...............................213,055,000
NOW READ VERY CAREFULLY
THE REAL COST OF THE 485 ACRES LAND IS RM102.627 MILLIONS
AND WHAT IS DEVELOPMENT EXPENDITURE?
IT MEANS THAT MP CORP HAS DONE
LANDSCAPING: CUT UNDULATING HILL, REMOVE STONES AND ROCKS & DEBRIS FROM THE LAND
DRAINAGE: LAYING OF UNDERGROUND DRAINPIPES & OTHER AVENUE FOR CONNECTING NECESSARY UNTILITIES
(DAIMAN BOSS TOLD US THAT IN TODAY'S COST LANDSCAPING IS NO LESS THAN RM20 PSF FOR RAW JUNGLE LANDS)
NOW LET'S GET A BREAK DOWN OF MP CORP LAND COST & DEVELOPMENT EXPENDITURE COST
COST OF LAND IS RM102,627,000 for 485 Acres
So Per Acre Cost is RM211,602
PSF COST? = RM4.85 PSF (YES THIS IS THE COST OF LAND ALONE)
NOW FOR LANDSCAPING COST
IT IS MORE THAN LAND PURCHASE COST AT RM110,428,000
HOW MUCH PER ACRE = RM227,686
PSF COST FOR LANDSCAPE = RM5.22
SO THE LAND COST IS RM4.85 PSF
AND THE LANDSCAPING COST RM5.22
NOW
BPURI HAS A JV WITH MP CORP
(ii) On 26 May 2015, LHRD entered into a Joint Development Agreement (“JDA”) with Bina Puri Properties Sdn. Bhd. (“BPPSB”). LHRD, as a land owner will grant BPPSB, the sole and exclusive rights to carry out a housing development project on the land with total area of 1,063,299.55 square feet.
As a return, LHRD is entitled to RM21,265,991 as consideration together with an agreed proportion of profit sharing. As at 30 June 2017, the condition precedents of the JDA have yet to be fulfilled.
BPURI HAS TAKEN 1,063,299 square feet of Land for PURI RESIDENCE DEVELOPMENT
MP CORP Sale Price is Rm21,265,991
How much PSF?
RM21,265,991 divides by 1,063,299 square feet
=RM20 PSF
(NOT BOOK VALUE OF RM11.09. Hohoho!)
AND FROM THE JV BPURI WILL PAY MP CORP 20% OF THE PROFIT!!
Today I phoned William (of BPuri). William said 80% of the more than 400 houses in Puri Residence have been Sold!
Another Developer called Magligai will be launching 160 Houses at Rm500K each in Tmn Nusa Damai
They bought these 16 acres land at above Rm40 psf
See
(iv) On 27 February 2017, TBBM and LHRD entered into a non-binding term sheet with Chun Fu Development Sdn. Bhd. (“Chun Fu”) for a joint development over 13 pieces of lands in Mukim Plentong, Johor Bahru. The term sheet represents the preliminary mutual understanding of parties regarding the proposed transaction and is subject to terms to be finalised in the definitive transactional agreements for the proposed transaction. The term sheet does not create any legally binding obligations on any parties except in respect of exclusivity and confidentiality provisions.
NOW THAT MEANS THAT THE LOWEST PSF FOR NUSA DAMAI LANDS IS RM20 PSF TO RM40PSF (Highest)
If we take the lowest denominator of just Rm20 psf
Then 20x43560x485 = Rm422 Millions
Plus Rm256 Millions from Wisma MPI will be Rm678 Millions
Minus Debt of RM351 Millions will have a safe Rm327 Millions
What if there is a Short fall from Court Auction Sale with all its attending fees
Ok cut Rm100K from each Wisma MPI & 485 Acres Land
Then
Rm156 Millions
and Rm322 Milllions
So total will be Rm478 Millions.
Now less Rm351 Millions debt
The Residual Value is Rm127 Millions
NOW SURPLUS DISTRIBUTED BACK TO SHAREHOLDERS IN LIQUIDATION BY OA (OFFICIAL ASSIGNEE)
is Rm127 Millions divided by 287 millions shares of Paid Up Capiital
= 44 sen per share
That means that at 3 sen closing price today all Shareholders will get a surplus (in liquidation) of 41 sen each
That will be a 1,000% gain?
ARE THESE FACTS OR COOKED UP STORY?
TELL ALL AUDITORS AND ACCOUNTANTS TO CHECK AND COUNTER CHECK
WARMEST REGARDS
Calvin Tan Research
Singapore
Please buy or sell according to your own discretion
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Discussions
1 person likes this. Showing 50 of 86 comments
for few hundred ringgit only.. no harm ler. buy for future white knight suddenly appear. I guess, winding up company that has NAV above liabilities, might be interesting. rhb would seriously consider this one. no surprise if monday got good news.
2018-06-21 12:52
Aiyoo
With so many sorchai buying how to fall into my tong sampah at 2.5 sen leh?
2018-06-21 14:32
the properties at forced sales prices, assuming at 75 to 80% market price and additional loan interest cost for next 3 to 5 yrs, plus other professional charges......
the balance is ZERO OR CLOSE TO IT
2018-06-21 16:04
where got zero??..ppl will grab those asset at good price, this one is not rosmah rambut u know..the moment it goes to auction...we are not talking garbage dustbin lor with out good intrinsic value.
2018-06-21 16:55
Tomorrow big boys will sell down so that Dato' Calvin Tan can collect last minute with all his cash after disposing all assets in order to become a billionaire, like the already billionaire KYY sapu Xinquan.
2018-06-21 17:03
WHOA!
Sorchai so clever?
Today my tong sampah didn't get any at 2.5 sen
Aiyoyo!
2018-06-21 17:11
olready made profit from soon to be declared bankrupt company...haha.. most memorable moment in my investing life. tomorrow is the last day for action..but i strongly believe the end is far from over.
2018-06-21 17:26
rEMEMBER Calvin, you bought from around 50 cents downward sapu. If you buy less than 10 cents, considered cheap or tong sampah lah!
2018-06-22 10:05
He want to claim credits again .. but nvr declare his buying quantity and buying cost . Typical TanEnd
2018-06-22 10:24
if sailang this stock got a disadvantage cos after suspended they will know who is holding this stock.if the directors hold a lot they will rescue the company,if many outsiders people sailang,they will no rescue the company and become ZERO
2018-06-22 10:27
Bill ching,,,won see the collapse of the empire,,delisting hard to comment
2018-06-22 10:43
Gambling is risky,,,just wait and see,,outcome,,sure will settle the banker
2018-06-22 10:45
Hi guys
I just called William of Puri Residence Project Site Boss.
He called Matthew of Bpuri who told him that every thing is ok.
As Puri Residence has already sold 80% of the 400 houses launched for Phase One to Three in Nusa Damai ... cash is flowing in.
TODAY IS THE D DAY.
MONDAY WILL BE SUSPENSION OF TRADING IN MP CORP SHARES.
THOSE WHO STILL HOLD WILL MOVE INTO UNCHARTED TERRITORY.
THOSE WHO ARE FEARFUL CAN STILL SELL AND LEAVE BEFORE 5PM
THOSE OF US WHO CHOSE TO STAY SHOULD HAVE LONG STAMINA.
GOOD LUCK
2018-06-22 11:50
yeah, leave before 5pm, there will be 3 types of players, those who buy tickets and resell their tickets,those who buy and wait for result to open OR those who are both.
So which one are you guys?
2018-06-22 11:55
2014 price is 55 sen, 2018 price is 3-5 sens.... what it has told ?!
Holland !
HOllAND MASTER HOLLAND STOCK !
2018-06-22 14:44
PN17 suspension before relisting, takes how long? Tunggu sekejap can means 1 yr, 3 yr or 10 yrs, also tunggu sekejap. my money still stucked here due to stupid CEO for few years already
2018-06-23 14:36
too late to realise it now. i've to hope for miracle like croatia win vs argentina 3-0 now
2018-06-23 14:43
Two Groups of people will determine how fast
1) Bill & Charles Ch'ng & BPuri later will have to resolve this
2) RHB Bank & Amanah will be trying to foreclose & dispose assets
IF COURT ORDERS AUCTION THEN IT WILL BE THE MALAYSIAN HIGH COURT SYNDICATES OR OTHER CORPORATE INTERESTED BIDDERS
DAIMAN BOUGHT LANDMARK BUILDING AND MADE THEIR HQ PLUS DOUBLE TREE HILTON HOTEL NEXT DOOR IN JB
FOR KL WISMA MPI I NOT SURE BUT FOR NUSA DAMAI LANDS IF COME OUT AS A WHOLE THEN VERY BIG TIME TYCOONS CAN BID
IF IN SMALLER PARCELS THEN CALVIN'S JOHOR BUDDIES WILL BE VERY INTERESTED!!!
LET'S WATCH THE SHOW!!
I REALLY HOPE TO SEE THESE DEVELOPED
APTEX COMMERCIAL PLOTS
LANDS SURROUNDING 25 ACRES PURE LAKE OF LAKEHILL
REMEMBER THESE PRIME LANDS VALUE WILL REMAIN AND CANNOT BE DESTROYED
OWNERSHIP ONLY MIGHT CHANGE HANDS!
2018-06-23 14:49
Dear Calvin, If under firesales auction, can Bill ching/ proxy buy back on personal capacity? end up, asset sales value not enough to cover all debts.
2018-06-23 14:51
calvin,you mentioned
"DAIMAN BOUGHT LANDMARK BUILDING AND MADE THEIR HQ PLUS DOUBLE TREE HILTON HOTEL NEXT DOOR IN JB ",
you mean Landmark building was auctioned by bank? or what was the story behind it?
2018-06-23 14:54
No lah
It will go by the book
At High Court there will be a Reserve Price at auction
If no takers then less 10% in 3 months
Still no takers?
Then less another 10% in 3 months
RIGHT NOW THERE IS NOTHING CHEAP IN JOHOR HIGH COURT
ALL ARE VERY EXPENSIVE
NO WAY ANYBODY CAN GET GOOD LANDS OR HOUSES AT FIRE SALE PRICES
2018-06-23 14:55
Posted by hollandking > Jun 23, 2018 02:54 PM | Report Abuse
calvin,you mentioned
"DAIMAN BOUGHT LANDMARK BUILDING AND MADE THEIR HQ PLUS DOUBLE TREE HILTON HOTEL NEXT DOOR IN JB ",
you mean Landmark building was auctioned by bank? or what was the story behind it?
FOR FULL STROY?
Easy.
Go see Mr Chan at Daiman HQ
Tell them you interested to buy some pockets of lands they want to sell in Johor
His office has the very best view of the JB Causeway
2018-06-23 14:57
Ok see this
http://www.theedgemarkets.com/article/daiman-succeeds-rm55m-bid-menara-landmark
Daiman bought Menara Lankmark at Rm55 Millions. Daiman Boss told me they spent another Rm100 millions renovating them
For Mp Corp lands landscape already all done
2018-06-23 15:02
i know something about it, well,the land was once owned by the church, then was sold for development with a group of......... . Was doing badly.. ...
2018-06-23 15:05
Dear Calvin Sifu, thank you for yr adv. on auction process. So, can CEO bid as well on personal capacity by law if no bidders after many months?
2018-06-23 15:14
chinaman Dear Calvin Sifu, thank you for yr adv. on auction process. So, can CEO bid as well on personal capacity by law if no bidders after many months?
23/06/2018 15:14
There is no restriction at High Court.
Any one with Malaysia ID Card or Company with Malaysian Directors can bid
But don't expect any fire sale
I know of one guy who bought 200 houses
One 400 houses
One syndicate bought 1,000 houses. These guys who bought 1,000 houses have their own bankers, lawyers, contractors, runners, loan experts & sales team
So don't expect anything cheap
2018-06-23 15:53
Dear SifuCalvin, Thank you for yr adv. i learn new things in auction process today.
2018-06-23 15:57
datuk calvin,u always tell us the pros,please tell us the cons.why only 0.045cts the directors didn't scoop up all the shares?
2018-06-23 17:41
Bill should be happily sapu the shares b4 the suspension...few millions rm should be enough to push the price above 0.10...like what koon did to xinquan last time..
I only see calvin sapu with mayb few thousands (or few hundreds) n it closed at 0.045....
2018-06-23 17:58
childish question seen.
no wonder will buy jcy.
lol.............
Posted by 为啥'rchi'可以‘横行霸道’？ > Jun 23, 2018 10:22 PM | Report Abuse
how come not sold? since they need money should sell low la... unless the assets is not worthy enough n calvin made a mistke..
2018-06-23 22:29
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hollandking
so, buy totolah
2018-06-21 12:39