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2021-07-28 08:14 | Report Abuse
For those pessimists that take the view that no more future for air travels and therefor permanent closure of airline travel in the foreseeable future they should invest in other biz space, avoid like plaque anything related to air travel for both leisure and biz.
If Air Asia, being a top LCC known worldwide, can not survive this pandemic, hard to expect other airlines can survive either. There are people who are concerned about negative net worth and high debts, my advice go and study the industry and know basic accounting to understand that the most important assets no longer owning hard and tangible assets that are normally written down on the balance sheets. The most important assets are not captured or written down. In fact many world class companies have negative net worth.
There is little risk in investing in Air Asia now but there exist uncertainty of not knowing when exactly air travel will restart and recover. Do not simply conflate risk with uncertainty.
2021-07-27 22:05 | Report Abuse
Best take the cash and reinvest in other companies that are undervalued and there are many around now, thank to covid-19.
2021-07-27 22:02 | Report Abuse
There are already many companies were being privatized and more coming as there are many companies are currently undervalued by the market. Now is a good time to take companies private as the current rule is still favorable to those taking companies private. The offer only has to be reasonable and don't have to be fair to minority shareholders. Singapore has already changed the rule that the offer has both to be reasonable and fair. So before we change the rule in Malaysia, don't be surprise more companies being taken private.
2021-07-27 21:36 | Report Abuse
Any body can make offer but I don't think the current controlling shareholder will accept it unless the new offer is ridiculously high !
2021-07-27 21:31 | Report Abuse
Like it or not, the offeror already has absolute majority shares at more than 51% and has full control in the running of the company.
2021-07-27 21:26 | Report Abuse
No reason for non interested / minority shareholders to vote against. If SCR fails price very likely fall below 2. unless some body else offer higher price, which is very very unlikely. Even now the price already much below 2.
Value as I said earlier is very subjective and you can not buy or sell on value but on market price. Don't be surprised the offer and or his proxy are collecting MMC shares at current cheap price to make privatization cost to the offeror even cheaper to execute.
2021-07-27 17:29 | Report Abuse
Cancellation of ESOS is definitely good for shareholders. Cypark has not only keep issuing ESOS to directors/major shareholders but reducing the price to a ridiculously low price.
2021-07-27 11:34 | Report Abuse
If rejected, minority shareholders will definitely lose unless some body will offer a higher price. No reason for them to reject. There is nothing to gain to reject the offer.
2021-07-27 11:21 | Report Abuse
The offeror being the controlling shareholder most likely knows the capability of MMC to pay non interested shareholders prior to making the offer.
2021-07-27 11:11 | Report Abuse
Once Cypark announce the completion of WtE Project at LTM, the price will shoot up or even before announcement as it is currently very underpriced.
Those who know and understand the biz and the biz model of Cypark will have no issue at all on high leverage and negative cashflow flows from operation and investing.
2021-07-27 11:02 | Report Abuse
The offeror or his proxy very probably collecting MMC now as it is even cheaper now for the offeror to take the company private.
2021-07-27 10:59 | Report Abuse
The independent board should not decide for and on behalf of minority share holders. Therefor the idea board will reject the proposal will not arise. Perhaps if there is a contending offer at higher price, then board probably reject the existing offer and recommend the new offer at higher price.
2021-07-27 09:51 | Report Abuse
LYC in the right biz of healthcare, a growth biz sector with good potential and what is even better, LYC itself is fast growing.
2021-07-26 17:17 | Report Abuse
If low, more reasonable to support the proposal to take private at 2.00
2021-07-26 09:15 | Report Abuse
Take a look at LYC today. G Capital is a major shareholder in LYC !
2021-07-26 08:43 | Report Abuse
However in the current situation, better of minority to get SCR successful.
2021-07-25 22:54 | Report Abuse
I thought during this time the offeror can not buy above the offer price of RM 2 ? The offer price must not be less that what he is buying now, if he is buying the shares.
2021-07-25 22:19 | Report Abuse
Price and value can get very disconnected. Value is very subjective and you can't sell or buy the shares based on value but on price. Value to a controlling shareholder is definitely higher than to small share holders. The (potential) value of MMC most likely way above RM 2.
However for the minority shareholders, it is in their best interest to be able to exit at the offer price, take the cash and invest it in other companies, many of them very undervalued and may even have potentials to be privatized. If the offer fails, minority share holders got nothing to gain but loss.
2021-07-25 18:12 | Report Abuse
Of course it is possible that MMC share can go beyond RM2 in the future, but when and how much ? Only god knows. However is also possible it can drop down too! Nothing much in the future is predictable or knowable with certainty.
2021-07-25 18:02 | Report Abuse
If privatization offer via SCR is successful other shareholders i.e. the minority shareholders have the chance to exit at RM 2.00. Must remember prior to this offer, MMC were trading well below RM 1 and even went to below 50 sen early last year. It is only when the controlling shareholder offers to take private the share price shoot up
Should the proposal fails for whatever reasons, the price will very likely to drop down from present level.
2021-07-23 10:35 | Report Abuse
Just a gentle reminder and warning lah !!!
2021-07-23 10:31 | Report Abuse
Be extra careful with your wish, you may get it !!!
2021-07-23 09:28 | Report Abuse
Market cap only 30m, cheap and easy to take private.
2021-07-23 08:43 | Report Abuse
PJ Bumi getting sudden attention! Looks good.
2021-07-22 15:30 | Report Abuse
In fact Jaks has the right to another 10% share in the power plant project
2021-07-22 11:51 | Report Abuse
Must remember too that the rate per kWh obtained by Cypark are higher and more profitable as these projects were secured earlier and therefore have better rates. The current rates are very highly competitive .
2021-07-22 11:44 | Report Abuse
Jaks WB is undervalued compared with Jaks WC as the exercise prices are 34 sen and 49 sen respectively . WB will expire in Dec 2023 and WC Nov 2025. Although WC has a longer time to expiry but WB life long enough to make it a much cheaper option than WC
2021-07-22 11:28 | Report Abuse
The total already secured capacity of solar assets alone owned and operated by Cypark will reach over 375MWp. Mind you this does not include other renewable energy projects using municipal wastes, biogas and other form of feedstocks. Owner and operator will gain over long term during the PPA duration with robust cash flow. Suppliers or contractors will only make one off gain, if any.
Cypark is also with Johor and Melaka states bidding for the WtE projects in the two states. Worth noting Cypark also operate a no municipal waste dumps, its old biz .
2021-07-21 16:19 | Report Abuse
Then just stay away from this company and look some where else
2021-07-21 15:04 | Report Abuse
In investing deep understanding of the biz is most important guide to invest or not in the company. Understand what behind the numbers will enhance our understanding of the past, current and especially future performance of the entity.
In investing always look to the future and have our own rational view and conviction.
2021-07-21 13:12 | Report Abuse
Once the construction of WtE Project at LTM is completed, expected in mid 2021, the price of Cypark will take off. Just need a bit of patience.
2021-07-19 10:42 | Report Abuse
Best to stick to our owned Bursa listed as we likely have less knowledge on foreign stocks than our own local stocks. Just my personal view though.
2021-07-19 10:21 | Report Abuse
What a gross error! Sinopharm Group is never and not the manufacturer of Sinovac vaccine. Hope no body got mislead, just don't simply trust what other people write to protect yourselves.
2021-07-16 20:04 | Report Abuse
@AhHuat01, the 12.3 m that passed 90 days are from long term customers of more than 5 years relationship with Cypark and any way the amount is not very significant. As rightly pointed out by you, Cypark will receive very good revenue and cash flow once those LSS 2, 3 and WTE projects are in operation.
Cypark expects WTE project at Ladang Tanah Merah to be commissioned at any time soon in the middle of this year and this project alone will generate around RM 80 m per year of revenue. In the space of renewable energy projects Cypark is the owner, developer and O&M operator not just as a contractor. In addition Cypark develop, construct. finance and operate some other companies renewable energy projects too.
2021-07-16 10:25 | Report Abuse
Cypark is in the right biz of renewable energy and environmental services which is getting more important now and in the future. The high gearing is of no issue at all and expected in the sort of investments being done in Cypark. The income from these investments are very robust and long term and more than sufficient to pay the debts. In fact for say IPP type of business with guaranteed off take by a utility , the gearing of 3 or more times is normal.Again the negative cash flow is expected for company that invest in this heavy upfront capex kind of projects and also due to rapid growth and expansion of Cypark.
Cypark is currently very undervalued if we understand the company and its biz model even without factoring future growth and options. Current biz alone has value far above the current price level.
What make the current price very depressed mainly due to major shareholders/ Directors doing things detrimental to other share holders interest. This is the real perception. In addition many people don’t really understand the Cypark biz. Cypark is probably the only plc that involve in all kind of green/renewable energy projects except to this date small hydros.
2021-07-13 21:35 | Report Abuse
As I wrote earlier the RI for RCUIDS at 75 sen is very attractive. The interest rate for the security (RCUIDS) is 8% per annum for 7 years, way above of what we can get from our FD, EPF or even unit most trusts. As additional benefit we can always convert it into ordinary share if we want at 1 to 1 without paying any additional money at 75 sen only, the cost of RCUIDS. Another additional benefit of subscribing to RCUIDS, we will get free warrants too.
2021-07-13 16:40 | Report Abuse
RI is definitely fairer than PP as all shareholders are equally offered to participate or if they decline, they can always sell their rights. The terms for both the RCUIDS and warrant are equally attractive for those who have confident AA will some how able to survive this Covid 19 and prosper there after.
The yield of 8% is highly attractive especially for the current low interest period. Meanwhile the attractive part of the warrants are the long duration of 7 years and a capping of the proposed exercise price of RM 1.00. Just imagine if AA share price can some what able to exceed RM 1.00, the value of the warrants can only shoot upwards. Remember that the warrants have a long life of 7 years!
2021-07-13 10:12 | Report Abuse
Tanco has a very good land bank in the strategic locations . With the right time and situation, these land bank can be developed or monetized.
2021-07-13 09:32 | Report Abuse
@ wistleblower99, a good write up and advice
2021-07-09 07:43 | Report Abuse
Having a negative net asset does not essentially means that a company has no value. There many well known companies that have negative net worth but performing very well. Good examples, Mc Donald's and Dominos Pizza, names most familiar to most people have negative equities. Most important assets in a company may not be captured in the balance sheet.
2021-07-08 08:07 | Report Abuse
Big rewards will come to those who understand the air line biz in general and the way Air Asia going forward and have the patience to wait. Investing is always forward looking, not looking at the past or even the present.
2021-07-07 15:44 | Report Abuse
Even if Boustead Group sell Boustead Plantation, very unlikely shareholders can get any benefit such as dividends. As of now BG has already experienced shortage of cash to comply with the requirements of their existing sukuk/bond requirements to deposit minimum requirement of principal balance into the Financial Service Reserve Account (FSRA). Any how any cash must go first to the lenders and Sukuk/Bond holders. If these people are not paid according to the agreements, share holders will suffer big losses.
Taking BG private may also trigger some of the lenders and Sukuk covenants and terms of agreements and they may have the rights to be paid in full or redeemed.
2021-07-07 14:39 | Report Abuse
Foreigners are buying AA making foreign ownership to increase recently
2021-07-07 12:30 | Report Abuse
Air Asia is a quite a safe stock to bet for investors who are willing to wait. The most likely scenario in the future will be a turn around for the better rather than for the worse, Air travel especially for leisure will quickly recover any time soon. The only uncertainty is exactly when ! Just be a bit patient and you will be well rewarded. Look to the distant future not the past or even current situations.
2021-07-07 12:18 | Report Abuse
Personally I believe there are many other plc with much better balance sheets, profitability and in the right bz to be possible candidates for privatization rather than Boustead Group which has very heavy debts with hight interest rates and loosing big money on top. Just my view though.
2021-07-07 12:06 | Report Abuse
For those who were worry of Cypark heavy borrowing and high gearing, please note that RM 166 m of debt shown in Q1 2021, the latest Q, which has with no fixed redemption date is classified as equity instead of liability or debt. This classification will make Cypark to appear to have lower debts and debt gearing ratio at least on paper and distorted other financial figures as well. This debt will very likely to increase further to up to maximum of RM 500 m as provided under the MTN Program. In fact the amount in the previous Q was only RM 118 m. However our accounting standards allow to classify such perpetual debts as equity rather than liability. Some countries like our neighbor Thailand has recently disallowed to classify such debt as equity. Just take note.
2021-07-07 11:21 | Report Abuse
PICORP is profitable and always pay reasonable dividends. It has a good and clean balance sheet: high amount of cash and current financial assets, and little borrowings. What makes it even more attractive to all shareholders especially outside minority shareholders, there is no dilutive exercises such as issuing of ESOS and PP which unlike many other companies are liberally doing. In addition we don't see directors and major shareholders selling down. What is appealing to shareholders, the company is in the right biz of laboratory testings and environmental services.
Stock: [MMCCORP]: MMC CORPORATION BHD
2021-07-28 08:23 | Report Abuse
@diggied: Very good points or questions for us all to ponder!