THE INVESTMENT APPROACH OF CALVIN TAN

WHY BPLANT WILL PERFORM EXCEPTIONALLY WELL WITH THE EXPERTISE OF KLK IF IT STAYS LISTED, Calvin Tan

calvintaneng
Publish date: Sat, 26 Aug 2023, 07:01 AM
calvintaneng
0 1,746
Hi Guys,

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

Dear friends of i3 Forum,

KLK Has Offered to Take Bplant private at Rm1.55

But Calvin thinks it will be far better for Shareholders if Bplant remain listed

Why?

Our answers are twofold


1) BPLANT GOLD MINE ASSETS CAN ONLY BE FULLY KNOWN IF IT IS IN THE PUBLIC DOMAIN

Yes, Bplant has IMMENSE VALUE LANDBANKS which are not FULLY UNLOCKED IN VALUE

Only by long process of VALUE UNLOCKING Will we get to SEE all its TRUE VALUE EVENTUALLY

If taken private no one will know UNLESS SC OR BURSA MAKE IT COMPULSORY FOR LISTED COMPANIES TO DO A FULL ASSETS/LANDS REVALUATION BEFORE PRIVATISATION IS ALLOWED


2) KLK WITH ITS PAR EXCELLENCE WILL DEFINITELY ADD VALUE & INCREASE THE NET WORTH OF BPLANT 220,000 ACRES OF PALM OIL LANDS

Let us SEE the SUPERIOR GROWTH YEARS OF KLK


Refer to 

STOCK PERFORMANCE GUIDE (By Dynaquest) Sept 2015 Final Edition

Page371

KUALA LUMPUR KEPONG

Year..........P. Range (Rm)   Dividend Per Share .....Earning Per Share

2005.........4.10....5.67........15.5 sen..........................36.1 sen

2006.........5.50....9.33........21.1 sen..........................33.7 sen

2007.........9.00.....17.50.....26.8 sen..........................57.7 sen

2008.........6.75 ....19.20.....40.7 sen..........................Rm1.03

2009.........8.95....17.00......53.8 sen..........................60.60

2010........15.48....22.96.....45.0 sen...........................85.80

2011........15.30....23.78.....60.0 sen...........................Rm1.27

2012.......17.00....26.76......85.0 sen...........................93.50

2013.......19.88....25.28......65.0sen............................83.90

2014.......19.60....25.14......50.0 sen............................92.60

2015.......19.60....23.54......55 sen E............................79.0 E

2016...................................50 F....................................91.0 F


E = Expected

F = Forecast


As you can see from above

KLK started in year 2005 at the low of only Rm4.10

And ended 2015 with the price of Rm23.54 (Blue Chip)

Up a Whopping 574%Or up 57.4% each year for the decade!






At the same time it has increased its dividend payout from 15.5 sen in 2005 to 55 sen in year 2015


SO KLK HAS BEEN GROWING IN EPS (Earnings per Share)  AS WELL  AS IN DPS (Dividends Per Share)

So if LTAT allows KLK to manage Bplant it will be Game Changer for both KLK, Bplant & Its Shareholders


Kindest Regards,

Calvin Tan


Please buy or sell after doing your own due diligent study

More articles on THE INVESTMENT APPROACH OF CALVIN TAN
Discussions
1 person likes this. Showing 21 of 21 comments

calvintaneng

KLK 2005 to 2015 Spectacular Performance should be emulated by all Palm OilCompanies

If all were to give out consistent & increasing dividends their share prices will move up in tandem

2023-08-26 07:17

Integrity. Intelligent. Industrious. 3iii (iiinvestsmart)$€£¥

Many in Ipoh who believed in Tan Sri Lee Loy Seng and invested in KLK from its early years are millionaires today.

After KLK buying over BPlantation, the higher likelihood will be this plantation will be delisted and parked within KLK.

2023-08-26 07:49

Sslee

Luckily there was a offer by KLK. Imagine without the offer and with poor quarter result due to: no land disposal gain, poor yield/old tree which need capital for replanting, what will be the price of Bplant today?

So do not be greedy just take the offer at the table. KLK is not superman and it need lot of capital/management and long time to turn around a badly managed plantation.

2023-08-26 08:17

speakup

for years Bplant has no engage in meaningful replanting. thats why they can give good profits for so many years last time.

2023-08-26 09:05

5354_

Unlike IJM Plantation privatisation which EPF own shares, EPF don't have BPlant. Expect lower EPF dividend with KLK share price drop possible?

2023-08-26 12:42

calvintaneng

Privatisation of these below

1. Kulim Rm4.10
All palm oil lands in johor

2. Tmakmur Rm1.90
All palm oil lands in Pahang

3. Kwantas Rm1.65
All palm oil lands in Sabah

4. Ijmplant Rm3.10
Palm oil lands located in Sabah, East Kalimantan and Sumatra

5. Bplant Rm1.55?

220,000 acres
Palm oil lands in Prai, Kedah, Perak, Kemaman, Trengganu, N. Sembilan, Pahang, Johor, Sarawak and Sabah

Why others with less than 200,000 acres plus less ideal locations given higher price?

2023-08-26 23:06

Mabel

Don't forget FGV too. FGV is much bigger than BPlant. It's is also in the pipeline to take it private by Felda. Now trading at RM 1.40

Meow..

2023-08-26 23:31

calvintaneng

Correct
Fgv also another Undervalue palm oil co being taken over at grossly unfair price of Rm1.30

At Ipo both Pahang and Sabah Govt took position at above Rm4.00 cost

So better give a more just offer

2023-08-27 00:33

calvintaneng

The spectacular results of Klk lasted from 2005 to 2015 when it rose from the low of Rm4.10 to over Rm23.00

However, from 2015 till now 2023 8 years already Klk has been trading rangebound

It cannot grow organically as there is restriction since no more clearing of greenfield forest to make way for palmoil

As such Klk has no choice but to grow by acquisition from other brownfield owners like ijmplant and now Bplant to expand its future growth

These acquisition can by like Kretam buying pieces of palmoil estate from Npc Corp or outright buying of ijmplant and bplant by Klk will mean more bigger palm oil co buying over smaller palmoil co to grow

The trick is to buy laggard palmoil co with large palm oil landbanks as these will be 🎯 targets of acquisition just like ijmplant and bplant taken at better prices

2023-08-27 00:42

calvintaneng

Bplant buy call was 57 sen in 2021

and after receiving a total 24 sen dividend the cost has been lowered

57 sen - 24 sen

= 33 sen

Klk offers to take Bplant private at Rm1.55

So Rm1.55 divides by 33 sen

= 469%

Peter Lynch said buy a basket of 10 different stocks and even if 2 or 3 failed and out of 10 chosen one is a 10 baggars (or one that can up 10x or 1,000%

One stock maximum loss is limited to 100%

but one stock profit potential can be more than 100%

In the happy case of Bplant the profit of 469% can easily cover the loss of 4 stocks

Bplant is the latest to be taken private after Ijmplant

More will come

So just buy a basket of undervalue palm oil shares and hold tight

Every dog has its day so all palm oil stocks will see the light one fine day just like Bplant and Ijmplant





2023-08-27 14:35

Integrity. Intelligent. Industrious. 3iii (iiinvestsmart)$€£¥

For plantation stocks, look at Kim Loong and United Plantation.

2023-08-27 16:25

calvintaneng


calvintaneng

ChloeTai

Dear Mr Calvintaneng,
Can you please list down the steps investors should do for the general offer of Bplant?

4 hours ago

Don't need to do anything at all

Just hold till they take over your shares and bank in CASH to your Bank Acc

Easy like A, B & C

😊😊😊

2 days ago

2023-08-27 20:43

calvintaneng

For Bplant now is at its easiest as KLK & LTAT unlocking value & Almost Everybody sits up & chase like mad in hot pursuit

The hardest part was buying Bplant at 57 sen when few people were interested & when doubters and naysayers abound

BY AFTER WE HAD DONE OUR HOME WORK CAREFULLY AND BOUGHT "IN FEAR" AT SUCH LOW PRICES (57 SEN)

THE WORK IS DONE. AND THEN WE CAN SIT BACK AND HOLD FOR EVER.

TILL ONE DAY LIKE NOW WE ARE FINALLY REWARDED FOR HOLDING PATIENTLY

See our Home Work
Things were still murky and misty then

Now VALUE IS UNLOCKING

https://klse.i3investor.com/web/blog/detail/www.eaglevisioninvest.com/2021-04-12-story-h1563301593-PALM_OIL_JEWEL_BPLANT_OR_BOUSTEAD_PLANTATION_5254_BPLANT_HAS_DEEP_VALUE

NOW THINGS ARE CRYSTAL CLEAR

SO BPLANT HOLDERS ARE REJOICING HAPPILY

CONGRATULATIONS!

WELL DONE TO ALL HOLDERS!

ESPECIALLY TO

ALL AT

EAGLE VISION FIRST MOVER (WHATASPP GROUP)

2 days ago

2023-08-27 20:43

calvintaneng

Yes, there will be risk but risk now different as two things have changed

1. Tok Mat already said "Bplant planting on "gold mine" and as such value is announced

Since Boustead needs lots of cash to meet debt obligation the 33% sale of bplant shares to Klk is only a stop gap measure. Boustead still need to find lots more cash and expect more

2. With the entrance of Klk Bplant will see more Superior management

What can happen?

1. Klk after taking over Bplant shares might offer MGO for the rest of shares to all at Rm1.55

Unless some entity buy above 10% from open market chances are Klk might succeed

2. Should Klk fail to garner enough then Bplant will remain listed

From past experience
Tasek was given MGO at Rm3.80 but remain listed

After Hong Leong got some but not enough 90% Tasek shares at Rm3.80 (still listed then ) Tasek shares price jumped to the height of Rm16.00

later Tasek again retraced to Rm5.50 and Hong Leong gave a second attempt to take all Tasek shares private at Rm5.50 which it finally succeeded
So should Klk fail to get all Bplant shares at Rm1.55 chances of Bplant going back below Rm1.55 will be slim (as Klk has done the homework and will stand firm taking all at Rm1.55)
so chances of Bplant trading above Rm1.55 very possible

3. And if Klk succeeds taking all free-float and others at Rm1.55 then Boustead could remain a jv partner with Klk as an unlisted entity

or else Boustead can ask for a higher price from Klk to sell it's balance share

All above are suppositions and we will see how things unfold in coming days

Remember
for compulsory MGO Klk needs more than 90% of Bplant

Felda gave Rm1.30 for Fgv privatisation but failed as Fgv is now over Rm1.40

Iike Fgv Bplant is still very undervalue at Rm1.55

7 hours ago

2023-08-27 20:44

calvintaneng

ChloeTai

@calvintaneng, I am a newbie in Mandatory General Offer (MGO). Assuming nothing goes wrong, will the price of BPLANT be 1.54/1.55?

5 hours ago

2023-08-27 20:45

calvintaneng

calvintaneng

normal final last trading day eventually will be near to offer price

but those who did not sell will get payment as stated unless revised higher

For Tmakmur
MGO was Rm1.80
but at the end price was raised to Rm1.90

For TheStore
MGO was Rm3.52
later MGO was revised up to Rm3.70

final price for THESTORE was Rm4.00


4 hours ago

2023-08-27 20:45

calvintaneng

Posted by ChloeTai > 2 hours ago | Report Abuse

@calvintaneng, I am a newbie in Mandatory General Offer (MGO). Assuming nothing goes wrong, will the price of BPLANT be 1.54/1.55?


Ok this is Tkmarmur forum in i3

Offer was Rm1.80

Final Offer raised by 10 sen to Rm1.90

Final traded price was Rm1.89

Those who sold at Rm1.89 will get money faster but will incur trading fees

Those who waited for Final Cash credited into Bank Acc will get full Rm1.90
(Remisier gets nothing)

So Remisier normally want us to sell

See all the interesting comments

TANAH MAKMUR BERHAD
KLSE (MYR): TMAKMUR (5251)

https://klse.i3investor.com/web/stock/overview/5251

3 hours ago



calvintaneng

And this is THE STORE

MGO was Rm3.52

MGO revised up to Rm3.70

See all the interesting comments in THESTORE Forum

THE STORE CORPORATION BHD
KLSE (MYR): TSTORE (5711)

https://klse.i3investor.com/web/stock/overview/5711

3 hours ago

2023-08-27 20:46

calvintaneng

calvintaneng

After THE STORE was taken private

Our Chun Chun buy call was KWANTAS

See

calvintaneng

TheStore's gone into another TROPHY CALL of Calvin Tan Research!!

Coming up next will be KWANTAS!!

Let's start celebrating NOW!!

With song of Kwantas

https://www.youtube.com/watch?v=Jm1anurhbeg

2017-05-21 15:22 (posted in May 2017)

3 hours ago

2023-08-27 20:46

calvintaneng

calvintaneng

3 years later when Kwantas was 50 sen

Top Holder Suddenly Offered

MGO at Rm1.65

Amazing high offer

See


KWANTAS CORPORATION BHD
KLSE (MYR): KWANTAS (6572)

https://klse.i3investor.com/web/stock/overview/6572


Note: Three Stocks now VERY CHEAP & FULL OF VALUE ARE

1) THPLANT (240,000 ACRES)

2) JAYA TIASA (206,000 Acres)

3) TSH RESOURCES (The Most Value of All)

3 hours ago

2023-08-27 20:46

calvintaneng

calvintaneng

AND SEE CAREFULLY WHEN KWANTAS WAS TAKEN PRIVATE

BPLANT WAS CHUN CHUN HIGHLIGHTED

Read very very carefully

calvintaneng

To all happy holders of Kwantas

Price ripe already

Switch Kwantas to

Mhc plant as it got lands at Rm4k per acre in Perak

Chinteck plant as it has 3,000 freehold lands in Sendayan Negeri Sembilan book value Rm5k (better than Matrix )

Bplant as it has 1,000 acres land near Prai, Penang book value less than Rm5k per acre

Who knows ?

They might be taken private at Rm1.65 just like Kwantas as their lands all in far better location in Peninsular

2021-03-26 08:50 (posted March 2021)

3 hours ago

2023-08-27 20:47

calvintaneng

calvintaneng

Read again

Bplant as it has 1,000 acres land near Prai, Penang book value less than Rm5k per acre

Who knows ?

They might be taken private at Rm1.65 just like Kwantas as their lands all in far better location in Peninsular

2021-03-26 08:50 (posted March 2021)

THE BIG QUESTION NOW IS:

:WHICH WILL BE THE NEXT TO BE TAKEN PRIVATE???

3 hours ago

2023-08-27 20:47

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