THE INVESTMENT APPROACH OF CALVIN TAN

IOI CORP (1961) PALM OIL JEWEL:: EXTREMELY UNDERVALUE PALM OIL CO WITH DEEP HIDDEN VALUE ASSETS, Calvin Tan

calvintaneng
Publish date: Thu, 31 Mar 2022, 02:39 PM
calvintaneng
0 1,788
Hi Guys,

I have An Investment Approach I which I would like to all.

Dear Friends of i3 Forum,

We are happy to share on IOI CORP ANOTHER PALM OIL JEWEL

BPLANT WAS THE JEWEL FOR HIGH DIVIDEND

TSH RESOURCES HIGH GROWTH (ALL SHOULD HAVE SOME)

HS PLANT IS BOTH GROWTH & DIVIDEND

NOW WE BRING OUT THE HIDDEN VALUE OF IOI CORP

 

King James Bible (Proverbs 25:2)
It is the glory of God to conceal a thing: but the honour of kings is to search out a matter.

 

Christian Standard Bible

It is the glory of God to conceal a matter and the glory of kings to investigate a matter.

 

In other words, "Hidden Things Concealed can be found out by investigation"

 

And these are some facts hidden in IOI CORP now brought to Light by Investigation

 

1) IOI CORP IS A PALM OIL LAGGARDS COMPARED TO OTHERS WHICH HAVE SURGED UP IN PRICES

In year 2008 when Palm oil was high IOI Corp share price rose to Rm6.53 peak

At Rm4.11 IOI Corp is still trading at 37% Discount to its Peak

Year 2008 Cpo was below Rm4,000 a ton & current Cpo price is Rm6,400 or up by 60%

Since IOI Corp is down by 37% from its high & Cpo is now higher by 60% we think IOI CORP Share price at Rm4.11 is undemanding and cheap

 

2) LIKE WILMAR IOI CORP IS AN INTEGRATED PALM OIL CO WITH BOTH UPSTREAM AND DOWN STREAM REFINERIES

Upstream

IOI Corp has 432,000 Acres of Palm oil which over 350,000 Acres now matured

 

Downstream

IOI Has 3 Refineries in Malaysia & one in Germany

Upstream as we know will benefit first whereas downstream will come later due to "COST PUSH" Factor as said by Wilmar (Singapore)

 

3) IOI CORP :COST PUSH" FACTOR WILL PASS THROUH EVENTUALLY 

Why?

At the pure FFB upstream Mills & Refineries now pay though their nose for FFB

And after processing into Cooking Oil, Palmic chemical & others it will sell at higher prices

But Super Markets & Consumers abhor price rise. This cannot continue as There will be No Fresh Stocks as Manufacturers without goods

Eventually these high prices through "Cost Push" will pass to Consumers & both Upstream & Downstream businesses will prosper

Since downstream is more consistent and stable Analysts have Upgraded Wilmar & Wilmar share price rose from Rm4.00 by 20% to above S$4.80 now.

Since IOI Corp is into Similar Industries like Wilmar it too, should get an upgrade as well

Why then is IOI Corp share price languishing?

 

4) EPF RELENTLESS SELLING OF IOI CORP PRESENTS A GREAT BUYING OPPORTUNITY

Yes EPF Sold & Sold IJMPLANT At Rm1.86 but KLK took IjmPlant private at Rm3.10

 

EPF also sold down its Top Holdings in TSH Resources around Rm1.10 until EPF Ceased to be a Substantial Shareholder of TSH

After Epf SOLD ALL Tsh Kelvin Tan Emerged to buy and buy

Latest filing from Bursa showed Director Kelvin Tan bought 3 Million shares of TSH at average price around Rm1.54 (40% Higher than EPF selling price)

And Surprise of Surprices

Another TSH Director Tan Aik Young bought a Huge Chunk of TSH of 16 Million shares at the average price of about Rm1.64 (If Epf had waited it will get another 49% Extra

So See EPF Selling IOI CORP Shares

Insider

 

Nothing was wrong with IJMPLant when EPF Sold at Rm1.86

Nothing was wrong with TSH Resources which EPF Sold down at Rm1.10

And Cerainly there is nothing wrong with IOI CORP even EPF is Selling Away like No Tomorrow

 

5) IOI CORP IS 99% PURE PALM OIL AND 1% RUBBER

Yes! Years ago in the early 1990s IOI Corp has Rubber Plantation in Puchong

Today development has come to Puchong when IOI turned it into a Thriving Township

See IOI MALL PUCHONG

https://www.youtube.com/watch?v=A0dyCSDZEOk

Oophs Please view this in Comments Page later

 

5) IOI CORP HAS ASSETS LISTED AT DIRT CHEAP PRICES (WORTH IMMENSE VALUE TODAY)

Please Refer to IOI Corp Annual Report

Scroll dow to Properties owned

See

 

Lots 429, 432 & 434.........19  hectares.... Freehold. Future Development Land.....Book Value Rm1.2 Millions
Bukit Sebukor
Bukit Baru, Melaka Tengah
 
Let us calculate its Value
 
To convert to Acres: Multiply 19 hecates by 2.471
 
= 46.94 acres or about 47 acres
 
How many sq ft
 
46.94 X 43,560
 
= 2044706.4 (Just over 2 million sq ft)
 
To get price psf divides Rm1,200,000 by 2,044,706
 
= 58.6 sen PSF
 
Where to get Freehold land in Bukit Baru, Melaka for only 58.6 sen Psf
 
Sand paper now cost more than One Ringgit psf
 
The current adverised land for sale in Bukit Sebukor is Rm75 psf
 
So IOI CORP land here if revalued should be at least worth Rm150 Millions (Book value only Rm1.2 Millions)
 
 
Ok others suprises are
 
IOI CORP Has Many Many Palm Oil Estates in Sabah Plus Property Assets
 
Among them
 
A piece of land near Warlf with "Zero" Value
 
A freehold Petrol Station in Selangor about 20,000 sq ft land is "Nil" Value
 
 
 
 
 
A Regional Office in Jalan Selama, Lahad Datu with 1 hectare Freehold land also "Nil" or "Zero" Value
 
Quite a mystery indeed as we do some investigation
 
The Regional Office was actually acquired when IOI CORP Took Unico Desa private
 
A call to its Office threw up some interesting Facts
 
1) Person in charge is Encil Adil
2) Office Staff about 72 people
3) It is located only 3 miles from Lahad Datu City or only 5 minutes short drive away
 
AND ITS BOOK VALUE IS "ZERO"!
 
See (Unable to upload photo. Wait later)
 
Country lease 115310926......1 hectare .Leasehold expiring 2932....Book Value  "Nil"
Jalan Segama
Lahad Datu
Sabah

 

IOI CORP Also Own 31.4% Shares of Bumitama agri listed in Singapore Stock exchange

Its price has gone up by more than 60% from 46 sen to 76 sen

Last Price Today's Change   Day's Range   Trading Volume
0.76    +0.01 (1.33%)  0.75 - 0.765  509,900

 

IF BY REAMEASUREMENT THE GAIN WILL BE MORE THAN RM500 MILLIONS

 

THE BIG SURPRISE IS WHILE BUMITAMA SHARE PRICE HAS SURGED UPWARD IOI CORP SHARE STILL LANGUISHING

HENCE WE ARE DELIGHTED TO RECOMMEND THIS HIDDEN GEM OF DEEP VALUE

 

IOI CORP NOW RM4.11

TARGET PRICE IS RM8.00 BY END 2022

 

BEST REGARDS,

 

Calvin Tan

 

Please buy or sell after doing your own due diligence or consult Your Remisier/ Fund Manager

 

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Discussions
Be the first to like this. Showing 11 of 11 comments

investor2021trading

@calvintaneng, i see u being reporting on oil palm stocks! what about MHC n Cepat declaring 6c n 4c dividend payment! is it a buy call?

2022-03-31 15:29

calvintaneng

MHC & CEPAT OK

I bought & took profit already

Their Palm oil estates only average size

SO GO FOR ONES WITH BIGGER SIZE BEST

SEE

https://klse.i3investor.com/jsp/blog/blpost.jsp?blid=2222&blpid=622097

2022-03-31 15:40

investor2021trading

@ calvintaneng, although their planted hectarage r small i.e. below 15,000 hectares, their NOSH is low with high EPS n PE ratio below 10 times!

2022-03-31 15:53

calvintaneng

Yes but there is a capacity production limit by size

Like this

A driver might be smart and very clever

But if his car is a Kancil or Saga there is maximum he can put in maybe up to 10 people....more than that will be very cramp

A 44 seater bus even though under utilize can always have room to scale up

So if you got 50,000 acres palm oil you can do your best but there is a limit

If you have 430,000 acres then you can scale up

2022-03-31 16:00

calvintaneng

Mhc got 52,000 acres while Ioi corp got 432,000 acres

2022-03-31 16:04

investor2021trading

chicken n egg situation! more chicken more eggs! what if d CPO price dropped below RM3,500 per ton? how u calculate d profitability of managing an oil palm mill when price dropped?

2022-03-31 16:07

calvintaneng

Cpo at Rm3,500?

Unless Canola OIl drops below USD600

Now Canola oil is USD1,126 up extra 80% from its world record of Usd600

By same price rise Cpo should be above Rm7,000

So if Canola oil cannot fall below USD600 there is no way Cpo will fall below Rm4,000

See

https://tradingeconomics.com/commodity/canola

Cpo possibly will stay at Rm6,000 to Rm8,000 range for 2022 & 2023

Cost of Cpo production Rm1,600

If Cpo at Rm3,200
Profit is 100%

If Cpo at Rm4,800
Profit is 200%

if Cpo is Rm6,400
Profit is 300%

No other business in Malaysia even get near to 30% profit now

PALM OIL IS THE CHAMPION EARNER OVERALL

2022-03-31 16:22

calvintaneng

Cpo at Rm3,500?

Unless Canola OIl drops below USD600

Now Canola oil is USD1,126 up extra 80% from its world record of Usd600

By same price rise Cpo should be above Rm7,000

So if Canola oil cannot fall below USD600 there is no way Cpo will fall below Rm4,000

See

https://tradingeconomics.com/commodity/canola

Cpo possibly will stay at Rm6,000 to Rm8,000 range for 2022 & 2023

Cost of Cpo production Rm1,600

If Cpo at Rm3,200
Profit is 100%

If Cpo at Rm4,800
Profit is 200%

if Cpo is Rm6,400
Profit is 300%

No other business in Malaysia even get near to 30% profit now

PALM OIL IS THE CHAMPION EARNER OVERALL

2022-03-31 16:22

GLNT

I think it's Citibank representing EPF to unload. Citibank doesn't like Plantations and want to sell out everything related to plantation.

2022-03-31 17:29

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