THE INVESTMENT APPROACH OF CALVIN TAN

AN INTERESTING DISCOVERY: WHY MR GOOI SEONG GUM (DIRECTOR OF KMLOONG & CRESCENDO) BOUGHT 3 MILLION RSAWIT SHARES IN YEAR 2020, By Calvin Tan

calvintaneng
Publish date: Tue, 09 Apr 2024, 05:43 AM
calvintaneng
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Hi Guys,

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

Dear friends of i3 Forum


We just discovered an interesting news. While going through the Top 30 Shareholders of RSawit we "SEE" this


Refer to latest Annual Report of RIMBUNAN SAWIT (Bursa Website)

See Top 30 Holders


Thirty Largest Securities Account Holders

No. of

Name Ordinary Shares %

1 Pemandangan Jauh Plantation Sdn Bhd 526,955,544 25.81

2 Malaysia Nominees (Tempatan) Sendirian Berhad 170,000,000 8.33

Pledged Securities Account for Tiong Toh Siong Holdings Sdn Bhd

(88-00016-000)

3 Pertumbuhan Abadi Asia Sdn Bhd 114,187,400 5.59

4 Teck Sing Lik Enterprise Sdn Bhd 102,107,388 5.00

5 Rimbunan Hijau Southeast Asia Sdn Bhd 100,584,800 4.93

6 RHB Nominees (Tempatan) Sdn Bhd 90,700,000 4.44

Bank of China (Malaysia) Berhad Pledged Securities Account

for Tiong Toh Siong Holdings Sdn Bhd

7 State Financial Secretary Sarawak 76,034,272 3.72

8 Multi Greenview Sdn Bhd 69,500,000 3.40

9 Rejang Height Sdn Bhd 63,345,591 3.10

10 Pertumbuhan Abadi Enterprises Sdn Bhd 58,096,800 2.85

11 Kinta Hijau Sdn Bhd 43,952,100 2.15

12 Ladang Hijau (Sarawak) Sdn Bhd 37,052,788 1.81

13 Rimbunan Hijau (Sarawak) Sdn Bhd 15,686,400 0.77

14 Tiong Toh Siong Enterprises Sdn Bhd 10,402,400 0.51

15 TC Blessed Holdings Sdn Bhd 7,214,400 0.35

16 AllianceGroup Nominees (Tempatan) Sdn Bhd 5,451,900 0.27

Pledged Securities Account for On Kok Thong (7010694)

17 Tiong Chiong Ong 4,877,208 0.24

18 Ong Ngoh Ing @ Ong Chong Oon 4,550,000 0.22

19 Chong Tong Siew 4,378,000 0.21

20 Roseate Garland Sdn Bhd 4,180,520 0.20

21 AllianceGroup Nominees (Tempatan) Sdn Bhd 4,000,000 0.20

Pledged Securities Account for Kong Kok Choy (8092812)

22 RHB Nominees (Tempatan) Sdn Bhd 4,000,000 0.20

Pledged Securities Account for Veloo A/L Karupayah

23 Tiong Toh Siong Holdings Sdn Bhd 3,729,560 0.18

24 Lueh Tai Wai 3,200,000 0.16

25 Gooi Seong Gum 3,000,000 0.15

26 Kendaie Oil Palm Plantation Sdn Bhd 3,000,000 0.15

27 Yayasan Sarawak 3,000,000 0.15

28 Public Nominees (Tempatan) Sdn Bhd 2,981,100 0.15

Pledged Securities Account for Yap Kau Tee (E-KPG)

29 Ti Geok Chiam 2,479,700 0.12

30 Diong Hiew King @ Tiong Hiew King 2,400,000 0.12

Pledged Securities Account For On Kok Thong


Coming in at Top 25th position is Mr Gooi Seong Gum with 3 Million Rsawit shares.


A big surprise indeed. A check with KMLoong he only own 

Gooi Seong Gum 397,800 (directly)


DIRECTORS’ SHAREHOLDINGS (As per Register of Directors’ Shareholdings)

Direct Interest Indirect Interest

Name of Directors Shareholdings % Shareholdings %

Gooi Seong Lim 6,102,532 (a) 0.63 632,435,972 (b) 65.39

Gooi Seong Heen 5,568,922 (c) 0.58 628,227,576 (d) 64.95

Gooi Seong Chneh 5,127,922 0.53 628,227,576 (e) 64.95

Gooi Seong Gum 397,800 0.04 628,378,776 (f) 64.97


his direct interest in Kmloong (397,800) so little & SO MUCH IN RSAWIT (3,000,000) ???


While indirectly he owns 64% of KMLoong with his 3 other Gooi Brothers


And in Crescendo he only holds through KM Loong


See his profile in KM Loong


Gooi Seong Gum
Executive Director

 

Gooi Seong Gum, male, a Malaysian, was appointed to the Board of KLR on 28 February 1990. He is currently an Executive Director of KLR. He graduated with a Bachelor's degree in Civil Engineering from the University of Ottawa, Canada in 1980. He was an engineering consultant for Bobrowski & Partners, Calgary, Canada for one (1) year from 1982 to 1983. His experience covers oil palm and rubber estate management, property development and construction site management. From 1980, he has been a Director of SKL, a company which owns a controlling stake in KLR and CCB. Since 1983, he has been a director of KLPO Group which is involved in palm oil milling. He currently sits on the Board of CCB and several other private companies.

 

Mr Gooi has no personal interest in any business arrangement involving KLR, except that he is deemed interested in the transactions entered into with SKL Group (excluding KLR) which are carried out in the ordinary course of business, by virtue of his directorship and shareholding in SKL. He has not been convicted of any offences within the past 5 years and has not been imposed with any public sanction or penalty by the relevant regulatory bodies during the financial year.

Read again


. His experience covers oil palm and rubber estate management, property development and construction site management

1. Experienced in Palm Oil

2. Rubber estate

3. Property development

4. Construction Site Management


1&2 involve Agriculture

3&4 got to do with Real Estate, Construction & Land Banking?

Crescendo just sold some lands and reaped Millions of Profit per acre!


So why he bought 3 Million RSawit shares in Year 2020? (And not his own KMLoong or Crescendo???)

Yes. Refer all 3 years of Rsawit Annual Reports of 2020, 2021 & 2022.

He has been holding these 3 Million RSawit Shares


Now what is the reason for buying RSawit when there are more than 40 Palm oil & Palm oil Related Shares out there?


And these are some happy conclusions


It all started with KM Loong looking for more Palm oil Acquisitions


See


Kim Loong buys oil palm plantation land in Sabah for RM92.5m

  • 19-02- 2020 


PETALING JAYA: Kim Loong Resources Bhd has purchased four pieces of oil palm plantation land in Sabah for RM92.54 million cash, or RM32,500 per acre.

It entered into four conditional sale and purchase agreements with Greenfingers Sdn Bhd, R & H Sdn Bhd, Bakti Perusahaan Sdn Bhd and Sri Handal Sdn Bhd for the acquisition of the plantation land measuring 258.06ha (RM20.73 million), 390ha (RM31.18 million), 149.05ha (RM11.97 million) and 361ha (RM28.66 million) respectively.


From above reported in The Sun papers in February 2020 we see KMLoong paid Rm32,500 per acre for palm oil lands in Sabah


KMLoong people has been trying to expand its Palm oil Acreage. And since Conversion of New Palm oil lands from Forest Reserve are no longer allowed. The only way is to buy from existing brown-field Palm oil estates owner

And they are really expensive now. Paying Rm32,500 per acre (In those days only Rm20,000 to Rm25,000 in Sabah)


KM Loong owns Palm oil Lands in Peninsular, Sabah & Sarawak


Sarawak?


Yes!


Go see KMLoong Annual Report

Scroll down to Properties Owned by KM Loong in Sarawak


See

LIST OF PROPERTIES

HELD BY THE GROUP (KM LOONG)


Winsome Pelita (Pantu) Sdn. Bhd.

- Sungai Tenggang and Kranggas/ Mawang

NCR Native Land 60 years

Oil palm plantation 2,773.70 Hectares (06 Jan 2010)  Rm43,027,000

Sri Aman, Sarawak


Ok let us do a break down


KM Loong bought these NCR Native Land with 60 Years Lease

Date of Purchase/Or last updated 6 January 2010) 14 years ago

2,773.7 Hectares and Book Value is Rm43,027,000 (About Rm43 milions)


To convert to Acres multiply by 2.471

= 6853.81 acres

To get cost per Acre

Divides Rm43,027,000 by 6853.81

= Rm6,277 per acre

That is cheap? But that was purchased 14 years ago?


Now while KMLoong bought its lands cheap 14 years ago at Rm6,277 an acre

There is a Palm Oil Company with even much cheaper lands

How come?


Now go SEE Rsawit Annual Report

Scroll down to its Properties owned


1st piece

NCR Land Located 

 Ulu Teru Land, 

Miri Division, Sarawak^

JVA Commecing on 2003 - 7,900.00 Ha Oil Palm Estate - Rm90,486,000


From above we SEE the land was bought in year 2003 (7 years earlier than KM loong 2020)

7,900 Hectares or 19,520 Acres

Book Value Rm90.486 Millions

or Cost per Acre

= Rm4,635 per acre

Huhuhu! That is VERY CHEAP!


Cheaper than KMLoong by 27%



2nd Piece

NCR Land Located JVA Commecing 2005 - 3,367.00 Ha Oil Palm Estate - Rm36,701,000

Long Ekang and on 2005

Long Banyok,

Miri Division@

Above was purchased in year 2005 (5 years earlier in time than KM Loong's)

3,367 Hectares = 8,319 acres

Book Value Rm36.701 Millions

or Rm4,411 per acre

Or 30% Cheaper than KM loong Sarawak lands


Now see

3rd piece

NCR Land at Selangau, JVA Commecing 2001 - 5,000.00 Ha Oil Palm Estate - Rm26,704,000

Mukah, Sibu Division^ 


Bought 2001 (9 years earlier than KMLoong 2010)

5,000 Hectares = 12,355 Acres

Book Value Rm26.704 Millions

Cost per acre

= Rm2,161 per acre

THAT IS 66% CHEAPER THAN KMLOONG LAND IN SRI AMAN!!)


RM2,161 Per Acre Land Cost in SIBU?

THAT IS AMAZING VALUE INDEED!!!


No wonder Mr. Gooi hantam kuat kuat & bought 3 Million RSawit shares with Such UNDERVALUE ASSETS?


Rsawit now 27 sen


What will be the Price of Rsawit in 1 year, 3 years or 5 years?

When its Lands Turn into "Gold mine" when Pan Borneo Highway passes through Kuching, Sibu & Miri?


With Kind Regards


Calvin Tan


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



Buy Land, They're Not Making It Anymore - Mark Twain Quote

RSAWIT OWNS 172,000 ACRES OF LAND IN SARAWAK - ONE OF MALAYSIA'S FASTEST GROWING STATE UNDER ABANG JO(HARI)




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calvintaneng

RSAWIT sits on 172,000 PALM OIL LANDS OR 2 & 1/3 THE SIZE OF PENANG ISLAND

WITH APPRECIATING ASSETS VALUE & CONVERSION POTENTIAL TO

DATA CENTRE

SOLAR FARM

INDUSTRIAL PARKS

NEW TOWNSHIPS

THE VALUE TO BE UNLOCKED IS IMMENSE!

1 month ago

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