"The recoverable amount has been determined based on value in use calculation using cash flows projections covering a period of 21 years (2019: 22 years) from financial budgets approved by the directors.
The Group believes that any possible change in the above key assumptions applied is not likely to materially cause recoverable amount to be lower than its carrying amount."

Above is an extract from Note 6 of the latest AR of Cypark on the waste to energy project. Hope it can help to address your query on the valuation and impairment, if any, on the tangible value of the waste to energy project.

Yesterday trading looks good especially when most other counters were down

Despite delays, which were I belief not entirely due to Cypark faults, the waste to energy project return most likely still remain lucrative as this is the first such large scale in the country. The return on the investment may even increase as the amount of municipal waste is increasing more rapidly thanks to covid 19 pandemic.

"In our opinion, the accompanying financial statements give a true and fair view of the financial position of the Group and of the Company as at 31 October 2020"

The auditor gave a clean opinion on the latest annual report of Cypark. On the waste to energy project, the auditor did not mention any disagreement on the value of the recoverable intangible asset. Under IC 12 all costs incurred for this kind of Service Concession Agreement are allowed to capitalized as intangible asset and the auditor did not dispute the recoverable amount.

Anyhow Cypark was unluckily hit by a double whammy: there was an initial delay in completion due to something unexpected and was then given an extension of time which unluckily later ran into covid 19 pandemic period.

The easiest people to fooled are our own selves !!!

Cypark being mainly an asset developer, owner and operator has to invest heavily upfront and this resulted in high debts and negative cashflow but later on Cypark will collect steady and robust cash flows from these assets with very little, if any, risk. Different biz and biz models will show different financial gearings and cashflow patterns , so it is very important to know the company well before you decide to put your money in. And a good understanding of the current accounting frameworks will definitely help.

To see how undervalued is Cypark, just compared it to say Solarvest. Market cap for Solarvest is now over Rm 856 m where else that of Cypark is only around Rm 500 m. Solarvest core biz basically is just installer for other company solar projects although it also own a minute solar installation on its own. Cypark on the other hand own and operatea large no of big solar farms and still expending. Some of Cypark solar farms were developed much earlier where the return of the projects were much lucrative compared to the newer ones now. Cypark also own other green energy projects such as waste to energy and biomass. In addition Cypark operates a number of landfills for municipal waste in a number of locations.

There is no such thing as sifu or guru in investing otherwise those professors who teach investing would be the richest ones instead of working as professors.

Issuing more shares and warrants will have unfortunately dilutive effects on the share capital.

Because bonus of 1 warrant for every 8 shares !

Any one who is familiar with Pestech and its biz model would have known that Pestech with good fundamental was highly undervalued. Instead many so called investors preferred to put money on companies that have neither proven biz model nor performance. And there other companies similar to Pestech that are not well appreciated and undervalued as well.

Just value Eden on what it has: 2 IPPs, travel and hospitality biz and huge land bank in the right strategic location. Other things are just bonus. One more thing. It net asset per share alone is 74 sen. There is very little risk in investing in Eden and those who can wait will be well rewarded.

Finally in the longer term fundamental or intrinsic value will show up some how after all the confusions and excitements have abated.

Income from Jaks IPP in Vietnam not only bigger as it is huge plant and for a longer term of 25 years but more importantly the profit margin are way above any new solar PV projects.

There is little risk in investing in AA but there are some uncertainties only. This give good opportunity to those who understand AA biz and current accounting rules and do not confuse risk with uncertainty.

There are opportunities in any calamity such as the current pandemic for the smart entrepreneurs. Those that survive this pandemic will thrive well. I believe AA being the world best LCC in 11 straight years will prosper moving forward. If AA can not survive, which airline then can?

Valuation of an enterprise or a company especially a publicly listed company such as AA is highly subjective more so if AA going into new but related biz leveraging on its strength. Each of us can have our own view on the value of AA moving forward. In any case if AA has no future we should move on to another company that has a brighter future.

Just be patient and do the right thing, you will be ok

There were some short selling on Jaks. Expect a good rebound?

Just follow what the controlling shareholder does, you will not be disappointed

Be careful of what we wish or dream for, we may get it ! ha ha ha

Dr.Brew, yes that is what successful investing especially in value based investing !

Tan Family continue to accumulate Tanco shares even at this already high price level and the family had already owned more than necessary for control. Just be a little patient to see what this controlling shareholder will do next. Some people has already expected the likely scenario. Some years back the family did offer to buy up the rest of shares not owned by the family but not successful.

More good news: People from other states can enter Sarawak provided they have proof that they have completed their two doses of Covid-19 vaccination

Next week will be the beginning of a new era with a new PM. Let us all pray and wish our market will recover from being a laggard.
For LYC, more good news with the coming listing of LYC subsidiary in the Singapore Stock Exchange.

TianChoi1 you are right. Once we let in a certain idea enter our mind, we lose control of ourselves. The idea will take control over us without us even realizing it and very difficult to get our uncorrupted mind back. So be extra careful not to simply let our mind to be corrupted with negative and regression ideas.

Successful investors and entrepreneurs normally have positive attitude and look forward to a better future. They don't waste their energy and time on negative and regressive things but choose to do do what are good for themselves and the society and move forward, not backward.

Politics is more settled now and lets us all wish and hope for the best for the country and all of us. Market should be expected to be positive as political uncertainty at least for now resolved.

Syabas Ranhill !!!

In investing we look forward to the future. The past and even the present can only give you some guidance at best. Understanding the biz and its biz model is critical in your decision to invest or not. Never allow yourselves to make decision based on emotions but should be based on facts and your own analysis and understanding. And you would always remember to be patient and as it will be your competitive advantage as most people expect good things happen instantly.
Always keep your head as others around you are losing their's !

No wonder Ranhill had been buying back its own shares very aggressively lately.

Signing of REPPA with TNB for 10 MW hydro power plant near Lenggong, Perak.

Eden as an IPP has 2 power plants. One 20 MW hydro plant in Kelantan and another one 30 MW diesel plant in Sabah that recently manage to get an extension of 3 year PPA with possible further extension later. Not many people realize that Eden as an IPP. People tend to associate Eden with restaurants which of course they still exist but less prominent.

PPA, same party to continue and opening up of economic activities will bode well with Eden !

Pestech received LOA from Electricite du Cambodge for a transmission and distribution works in Cambodia. Well done Pestech !

Approval in June 21 only an approval or agreement in principle only, not the PPA itself. Only a signed PPA has economic or financial value in any IPP such as this owned by Eden.
Any how you are considered lucky if you have missed buying in 14 June 21 when approval was given as the price then went up to as high as 21 sen !

This morning provide a rare but excellent opportunity to buy Tanco shares.

One more thing. As most future income stream which come from Vietnam IPP, Jaks will certainly benefit from any weakness of RM.

It is true most successful companies not only in Malaysia tend to have close relationship with the politicians. In America they have a strong culture of lobbying, hanging around the lobbies I guess !

companies like POS are not GLC but privately and publicly controlled. Just to be fair there a lot more other publicly listed companies are doing very bad too. In fact company like POS are doing OK if not for the social obligation to continue providing postal services to all places and the rates are controlled by government. The postal service is a dying biz and POS suffering from losses from this social service.

Just waiting for coming good news as a catalyst: the commencement of long waited waste to energy project in Ladang Tanah Merah which should happen any time now,

I certainly agree that we don't know when the airlines can fly again but what I do know air travels will still be around and Air Asia as the world best airlines for 11 consecutive years in a row will be there when sky is open for air travels. If AA can't survive, then which other airlines can. It may take time for air travel to restart and back to normal again and we don't know exactly when. This is what I refer to as an uncertainty. Any how in investing we look to the future ahead in at the least 6 moths. When the sky is open it is already too late to put your money in !

Double good news: Eden manage to get a 3 years PPA extension to supply power to Sabah Electricity with possible further extension in the future subjects to agreements between parties; and Muhyiddin continue to our PM. Just one more thing: coming opening up of tourism sector is yet another good news for Eden as Eden is also in hospitality and tourism industry.
Expect Eden shares to perform well moving forward.

Going forward AA can only have good news.

Mahiudin still the PM

Anuar and Mahathir ????

Uncertainty for me personally provides opportunity !

Yes the big issue is time, when air lines can fly again. For me it is only an uncertainty not a risk as we know sooner or later air travels will restart, especially in in leisure and holiday sectors. Biz travel may be slower to pick up as many biz can be continued to be conducted on line. In fact a big percentage of so called biz travel were not really necessary for conducting biz but more of some kind of perks.

Air Asia has been awarded for 11 years in a row as the world best low cost air line. Certainly it carries some value especially in this competitive service industry and this value as I said earlier is no where written as an asset in the balance sheet. Many other world class companies too even have negative net worth. Don't you think if Air Asia is for sale, the value would most likely to exceed the current value? To run a service biz such as an airline, it take more than just tangible assets such as cash and planes.

2,2% still very good return for such short time and more importantly hardly any risk.