Hi guys, 

Budget for year 2020 cash allocation after deducting all expense for fixed emolument like 1.6 mil govt servant salary, pension payout and other fixed expense only Rm56 billions real cash is left for development or expansionary projects

And Rm21.6 billions or 38% was sliced out for Nfcp Fiberisation thrust

Then Finance Minister LGE increased it to a whopping Rm50.3 Billions
That is almost 90% of liquid cash from 2020 budget

So much money is now poured into Fiberisation jobs there is little left for others

Is this the reason why Govt has no more monies for other projects and even Spore-Jb Rm4 billions RTS has to be deferred and hsr also might be postponed further as well?

If that is the case better avoid construction and construction material companies as well as others because liquidity is drying up for others while massive amount of Cash will go in one direction - Nationwide Fiberisation

That is why we must invest in Nfcp related upstream stocks because that is where we will see real growth

AFTER TELEKOM HAS RECEIVED ITS RM10.8 BILLIONS CASH FOR NFCP IT ADVERTISED JOB TENDERS

NOVEMBER

SO JOB OFFERS FOR FIBER OPTIC & DATA ARE NOW COMING OUT IN PHASES FROM TELEKOM

BELOW ARE SUBMISSIONS THRU MCMC (IN YELLOW  HIGHLIGHTS: Calvin comments)

List of submissions for PI on “Allocation of Spectrum Bands for Mobile Broadband Service in Malaysia” No. Submitting Parties

1. Altel Communication Sdn Bhd

2. Asiaspace Broadband Sdn Bhd

3. Celcom Axiata Berhad

4. Digi Telecommunications Sdn Bhd

5. Fujitsu Telecommunications Asia Sdn Bhd

6. GSM Association (GSMA)

7. Huawei Technologies (Malaysia) Sdn Bhd

8. Joint submission of Telekom Malaysia Berhad and Webe Digital Sdn Bhd  (OPCOM SUPPLIES FIBER OPTIC CABLES TO TELEKOM & NETX HAS WON JOB FOR NETWORK INFRAR FROM TELEKO< BEFORE)

9. Maxis Berhad (BINACOM INSTALLS FIBER FOR MAXIS)

10. Mr. Lee Soon Huat

11. PNMB Payfo Sdn Bhd

12. REDtone Engineering and Network Services Sdn Bhd

13. Sacofa Sdn Bhd (CMSB OWNS 50% OF SACOFA: THE MONOPOLY IN SARAWAK & THE PAN BORNEO HIGHWAY)

14. U Mobile Sdn Bhd (REDTONE PARTNER)

15. YTL Communications Sdn Bhd 

FROM THE ABOVE CALVIN MADE SELECTIONS FOR NFCP INVESTMENTS

1) OPCOM

2) NETX

3) REDTONE

4) SACOFA (CMSB)

5) BINACOM

Why buy Fiber manufacturer (Opcom) & Network Infrar installer & not Telcos?

Answer:

Newbiesi3

Hi Calvin, if from your article, shouldnt we buy TM?
31/12/2019 9:25 AM

Newbie

Let me give you the whole picture by way of illustration

Building Nfcp infrar is like building a hotel

Take pintaras Jaya for example. It builds foundation for hotel and the job is done by 3 months to 6 months time

Being in piling it is the 1st to get job and to get payment. If not ptaras jaya can sue for stop work.

Now after hotel has expended money in buying land, paid for construction and furnishings it then rent out hotel rooms to get back capital and profit in 10 to 30 years time.


So Telekom is now spending money in procurement of fiber optics and get contractor to install fibers and towers

Telekom won't see profit until much later when it rent out more unifi or fiber lines to other Telcos for fees

So now if we want to see immediate action we should by Nfcp upstream fiber producer and installers

But if you can hold 5 to 20 years then you can also consider buying TM
31/12/2019 10:27 AM

And for the same reason above Calvin avoided recommending Maxis, Celcom, U-Mobile or Digi

And finally

Let Calvin relate a true life experience

Last time before Subprime Crisis of years 2007/8 Calvin owned 130 counters

But after George Sorros warned that US Housing Bubble will burst Calvin sold off all 130 Counters but OPCOM

Why only Opcom?

Answer:

Because OPCOM was insulated from World Crisis

OPCOM was isolated to Malaysia's own internal activity of Fiber Optic expansion

And I was correct.

Opcom survived the Crisis & received a Rm359 Milions Job Orders from TELEKOM

Opcom went Limit Up on Job Awards

It went Limit Up again the 2nd time when it declared a 22.5 sen Cash payout

Calvin did not notice Netx then

But Netx did even better than Opcom in price surge. Opcom up 200% from 30 sen to over Rm1.00

But NETX after getting Rm19.7 millions Job Award from Telekom it went up by 600% from 4 sen to the peak of 26 sen

ONE THING ABOUT NETX (Name under subsidary Araintec now)

It received Job Award & By "LIGHTNING SPEED!!!" They completed all jobs for Telekom in only few months & registered 5 sen profit in 2 quarters

NOW CRITICS HAVE SAID NETX DID NOT WIN ANY JOB SINCE THEN

SAME GOES FOR OPCOM

WHY?

BECAUSE EX PM NAJIB NEGLECTED FIBERISATION (MALAYSIA ONLY GOT 8% INTERNET PENETRATION AS PROVEN BY CALVIN'S FIELD TESTS ON 2 SEA CRUISES)

SO NOW TUN DR M WITH BLESSINGS OF PH GOVT IN POWER IS MAKING UP FOR LOST TIME

A WHOPPING RM50,3 BILLIONS WILL BE POURED INTO FIBERISATION

NETX BEING INFRAR SPECIALIST WILL PLAY A PROMINENT PART AS WELL AS OTHERS

THAT IS WHY

CALVIN TAN RESEARCH IS BULLISH ON NETX

I HAVE ONLY BOUGHT & NOT SELLING ANY PRECIOUS NETX SHARES

THANK YOU

Calvin Tan Research

Singapore

Please buy or sell after doing your own due diligence.

Imagine there is a sheltered pond with 50.3 Billion fishes released by stages for 5 years.

And about 100 entities are invited to go fishing there for the next 5 years.

Many are unlisted small setup but among them are 5 LISTED COMPANIES

OPCOM

NETX

REDTONE

CMSB (SACOFA)

BINACOM

Will they be able to catch some fishes (Jobs)

Listen. They didn't release 5 fishes or 50 fishes (THEY ARE RELEASING 50.3 BILLION FISHES

See