@Jesse1314, I have similar bad feeling about it, but still believe IOIPG major shareholders will do the right things not jeopardizing minority shareholders' interests.

Post removed.Why?

oh ya. my posts in this forum got immediately removed. Not sure by who.

Not sure how to complain to i3, just let it be. I won't be bothered.

There seems to be rotational plays by foreign funds in blue chip counters.

After buying big on Gamuda in June 2024, foreign funds dumped some RM50 million worth of Gamuda shares last Thursday, followed by another RM16 million worth of selldown last Friday.

Foreign funds bought back RM16 million worth of YTL Power shares and RM13 million worth of YTL shares last Friday.

I am not sure why my posts in YTL Power forum have got removed by i3 admin, but my other posts in other forum remain there.

So the following post may be removed soon by i3 admin again, so if you need any more info on YTL Power, just pm me

My posts may be removed by i3 admin anytime soon, for reasons unknown to me.

So please pm me if you need such info.

There seems to be rotational plays in blue chip counters by foreign funds.

Having bought Gamuda and IJM in a big way in June 2024, foreign funds started selling Gamuda by dumping RM16 million worth of Gamuda shares last Friday and RM50 million worth of Gamuda shares last Thursday.

Foreign funds bought in a total of RM16 million worth of YTL Power shares and RM13 millon worth of YTL shares last Friday.

@Jesse1314, yes I have similar bad feeling about it, but I still think IOIPG major shareholders will do the right things and not jeopardize minority shareholders' interests.

And I think most of the employees will hold onto the shares after they exercise the ESOS, as they know the earnings prospects of YTL Power are bright and share price will scale new heights in next 1-2 years.

To me, the ESOS exercise was done in good faith as YTL Power top management issued ESOS when the share price was very low around RM0.60 last year or in 2022. ESOS is a way to reward employees and to encourage them to hold onto the shares to participate in the company's growth.

The employees of YTL Power deserve to be rewarded for their hardwork and dedication to work and loyalty to the company after serving the company for many years throughout the low periods during Covid-19.

I won't look too much into the ESOS as the quantity was not much compared to the total paid-up of over 8.2 billion shares.

With the inaction from IOIPG management to sooth investors' concern, it prompts me to suspect that there is a slim possibility that IOIPG major shareholders are using this related party proposal to force hands of foreign funds and short term funds to sell off their holdings in IOIPG to possibly below RM2.00, then they might launch a privatisation effort to take it private.

The merits of a privatisation are:
1) Low free floats of IOIPG - Lee family holds 65% in IOIPG, EPF holds about 7.3%, foreign funds have about 3-4%, other local funds may have another 5% or less, so free floats are less than 20%. So Lee family might need to fork out about RM2.00 x 20-30% x 5.5b = RM2.2-3.3 billion only to take it private

2) After they took it private, it would be easier to approve the related party proposal on Shenton House

3) IOIPG would be extremely cheap at a target privatisation price of RM2.00, at less than 0.5x book value of RM4.20 and prospective PER of 8x FY2025 earnings and 4.5x FY2026 earnings

4) IOIPG had net debt of about RM14 billion as of 30 June 2023. After IOIPG injects IOICB into a REIT in Singapore, it would take home SGD2.5-3.0 billion of cash. If IOIPG injects its shopping malls and office towers in Malaysia into a commercial REIT, it would take home another RM3.2 billion of cash. When its hotels are injected into another hospitality REIT, it would take home another RM1.3 billion of cash. By setting up the 3 REITs, IOIPG would take home a cool RM14.5 billion of cash, which would enable it to pare down most of the debts and become a net cash company. Not forgetting its vast landbank in Johor which is ready for quick monetisation, but it is holding onto any sale until after the privatisation.

Furthermore, with Biden withdrawing from US presidential race, Trump is seen as the likely winner. And he had said before that he would not want to see US Fed to cut interest rates before November presidential election.

Foreign funds are likely to take cautious view of the market and rate cut prospects in September. With the high gearing of IOIPG, many sectors are using this as an excuse to sell IOIPG shares, looking at the slimmer prospects of rate cuts in near term.

I have no feeling on the selling these few days as I am a long term investor.

But as I said, I won't promote this stock until I see positive actions from IOIPG management. Just like the case of AEON Bhd, I didn't bother with the stock until the then CFO resigned and there was a positive change in AEON top management.

@bullrun2025, the selldown is well expected as I explained last week. Foreign funds continued to offload IOIPG shares, with the latest selling of RM8m worth of IOIPG shares last Friday.

The bigger selling today may be due to yesterday news that Biden is pulling out from US presidential election race, and foreign funds are evaluating the potential impact of a Trump re-election.

But the underlying concern on IOIPG is still the lack of proactive actions or any response from IOIPG management to reassure investors of the merits of the Shenton House proposal, as foreign funds typically dislike related party transactions, they will sell IOIPG shares as they have not heard from IOIPG management for almost a month since the announcement of the SHenton House proposal.

Investment Highlights
We maintain BUY on YTL Power (YTLP) with an unchanged SOP-based fair value of RM6.25/share. Our fair value implies a FY25F PE of 15.6x. We also ascribe a neutral 3- star ESG rating to YTLP.
We believe that YTLP’s 100MW AI DC (data centre) in Johor is on track for commissioning in 2025F. We maintain our earnings forecast of more than RM1bil for the AI DC in FY26F. The AI DC would be using the GB200 Blackwell chips, which are expected to be out in the market by the end of this year.
According to Nvidia, GB200 provides up to a 30x performance increase compared to the same number of H100 GPUs. It also reduces cost and energy consumption up to 25x.
Sea Ltd took up 8MW under Phase 1 of the conventional DC in May 2024, out of the 32MW committed. We do not expect earnings contribution from this to be significant due to the small size.
Sea is anticipated to take up a capacity of 8MW every year until 2027F. YTLP would also be developing another DC in Johor with a capacity of 40MW.
We expect YTLP Seraya’s earnings to decline to RM3.2bil in FY25F from RM3.8bil in FY24E. We believe that operating profit margins would ease in FY25F as gas contracts renewed will be at higher costs.
Also, USEP (Uniformed Singapore Energy Prices) have fallen after surging during the Ukraine War in 2022. According to the EMA (Energy Market Authority of Singapore), average USEP was S$186/MWh in FYE6/24 vs. S$288/MWh in FYE6/23. YTLP Seraya recorded a pre-tax profit margin of 26.1% in 9MFY24 vs. 12.7% in 9MFY23.
We believe that Wessex Water would swing into the black in FY25F on the back of a lower interest expense. The division has been in the red since FY23 as interest expense on the inflation-linked bonds rose in line with higher inflation rate in the UK. Wessex Water registered a larger pre-tax loss of RM155.5mil in 9MFY24 vs. RM37.8mil in 9MFY23.
Although Ofwat (UK’s Water Services Regulation Authority) has proposed to reduce Wessex Water’s tariffs under the Draft Determination for PR24 (Price Review for 2025-2030), the decision is not cast in stone. Ofwat will review submissions by the water and sewerage companies and make a final decision on 19 December 2024.
Source: AmInvest Research - 19 Jul 2024

https://klse.i3investor.com/web/blog/detail/AmInvestResearch/2024-07-19-story-h-156191850-YTL_POWER_AI_Data_Centre_on_Track

An update report from AmResearch on YTL Power after a site visit to Kulai data centre park.

@Michaelchan2024, haha all three have big biscuits to chew on. Good stories will go on and on, to our success!

I will stop here and will only update when there is any new development.

Fellow investors you may just hold on if you have purchased it, otherwise I suggest you fall back to some technical chart guidance before you buy in more.

Since I have got on board and accumulated a substantial position in IOIPG, I can only hold on and treat it as a long term investment as I believe the company has bright earnings outlook over the next 3-5 years.

But I will not promote this stock much until I see positive reactions from IOIPG management to address investors' concern.

After all, the stocks I recommend generally will not go up until months later when the earnings start to show up or the management starts to take proactive steps to engage with the investment public. YTL and YTL Power only surged up one year after I initially recommended it in May 2022. IGB only moved up gradually few months after I covered it. BPlant only surged up one year after my initial report when there was indeed a take-over offer for the company. Genting went up some 10% within a month of my initial report but went south after a couple of quarters of weak results, but has since recovered to RM4.80. Aeon did go up some 10% after my initial report but quickly went down due to weak quarterly results and refusal of the then CFO to even listen to my proposal. Now the share price is up back as foreign funds started seeing the potential in AEON, also after the CFO resigned.

While IOIPG is grossly under-valued whether based on assets or future earnings growth, the share price may continue to be depressed in near term due to the Shenton House proposal and lack of clarification and proactive actions from IOIPG management to address investors' concern. I initially thought the CEO's move was transparent enough and was good to IOIPG minority shareholders, now I really do not know what the CEO wants and what IOIPG management intends to do.

If they still want the Shenton House proposal to get approved by shareholders, they should be doing the right things of addressing investors' concerns, and not letting the share price crushing down like what happened in past 2-3 weeks.

The more the share price crushes down, the more disgruntled investors will become and the more likely they will blame the management and the CEO for this related party proposal that triggered the sell down of the stock, and eventually vote down the proposal in the EGM.

Had they been doing the right things and convening the right messages to the investment public, the share price will not see so much selling. The investor relation department of the company should take the blame.

@remus, the data on YTD foreign funds buying in IOIPG is extracted from the monthly fund flows reports from Maybank research. I just summarised the funds movement data in IOIPG from the past 7 month Maybank reports.

In Bursa announcements, I only see EPF buying up to last Friday 12th July. I suspect it has sold some IOIPG this week on 16th July, will need to wait for few more days before we see any Bursa announcement to confirm that.

EPF may also be frustrated if IOIPG management is not able to give them satisfactory answers to EPF's concerns and queries. Then I would expect EPF to vote against the Shenton House proposal.

Expect continued selling on IOIPG shares until the top management takes some proactive steps to address investors' concerns below:
1) the rationale of injecting Shenton House project into IOIPG from the CEO
2) how will IOIPG address its high gearing which will get even higher after Shenton House injection?
3) why is IOIPG management not taking swift actions to monetise its vase assets like selling some parcels of land in Kulai to data centre developers, or engaging investment bankers to study the possibility of injecting its shopping malls and office towers into a commercial REIT?

4) why is IOIPG management not updating on the progress of its prime asset IOI Central Boulevard in Singapore, whether it has indeed received the Temporary Occupancy Certificate on 5th July 2024? whether it has managed to secure any more tenant for IOICB on top of the secured tenants of Amazon and Morgan Stanley?

5) its associate company, IOI Corp just announced to be looking at the possibility of selling some of its plantation land to solar power farm developer or forming a JV to monetise its plantation land. Why is IOIPG management not doing any of that? It has some 3,900 acres of land in JB/Kulai, is it keeping it all for future property development which may take 30 years of even 50 years?

Until we see IOIPG management taking proactive steps to address investors' concern, I think the share price will continue under selling pressure and I expect the Shenton House proposal to be rejected by minority shareholders in an EGM in next 4 months.

So disappointing. It is like another AEON's early CFO and management which were not so agile in managing the company cashflows and balance sheet.

The share price of IOIPG is under selling pressure which I am not sure is from where. Some foreign funds may be selling IOIPG this week after the CEO proposed for IOIPG to take over the Shenton House project.

The last data that I have shows that local funds sold a total of RM6 million worth of IOIPG shares on 16th July, and foreign funds sold a total of RM7 million of IOIPG shares on 15th July.

Apparently funds are unhappy with the proposed related party transaction, and IOIPG top management team is not doing much to appease investors on the proposal, hence the heavy selling seen in past 2-3 weeks.

I am rather disappointed with things going on at IOIPG management, or rather my initiate coverage on this stock was premature. I should have waited for some positive actions from IOIPG top management to avoid heavy selling from funds, before I recommended a Buy on this stock. I apologise for the mistiming.

@remus, I get daily updates from Hong Leong research team on the movements of funds in top 10 counters by value. I think Hong Leong and other brokers like MIDF have access to Bursa data on foreign funds and local funds movements in each counter.

@Antifanaticracism, you are right that there is a serious problem in the UK water sector, and the biggest problem lies in the regulator, Ofwat.

Ofwat determined a super low return on capital back in 2019 for 2020-2025 regulatory period, resulting in all the 10 water companies in the UK suffering from poor cashflows and accounting losses. Wessex too has reported several quarters of losses lately due to provisions for index-linked bonds and higher inflation.

Now Ofwat again is making similar mistakes in coming out with a below-par draft determination for all the water companies for the next 5 years 2025-2030. Ofwat last determination has made the biggest water company there, Thames Water going into special administration, it is making other water companies plunging into similar hardship.

But the good thing is that all the water companies are pushing hard back to Ofwat on its draft determination. The reason is simple. Ofwat cannot ask the water companies to spend more to meet more stringent ESG requirements and at the same time does not allow sufficient opex and capex allowance. They will soon realise that no water company can survive with the low revenue line while complying with the stringent ESG requirements. Just look at Thames Water, its bond holders and equity holders will not be willing to pump in more equity to fund the massive capex requirements, and lenders will not be willing to lend any more money to Thames Water as its projected revenue line and cashflows will be poor (due to Ofwat's determined low return on capital and low opex allowance). The whole business model will fail and the whole water industry will fail to work, Ofwat will fail in its job as the regulator when the entire water sector fails to meet the environmental requirements, more water supply disruption, more flooding into cities and towns, lack of water infrastructure to support new investments and industrial development. Ofwat officials would then be forced to quit or be forced to step down, just like the Conservative Party.

Another good thing is that the new Labour Party government is pro-business and welcome foreign investments. They will not let the entire water industry to fail as it will drive away investments into the country.

From now to the final determination, I gather that the water companies are fighting hard to engage Ofwat to get improved terms before the final determination. I believe there will be light at the end of the tunnel.

The KL-Singapore HSR project will be highly positive to YTL group.

WHoever wins the HSR construction work contracts will need to procure lots of concrete and cement, and with MCement being the largest cement producer in Malaysia, YTL will definitely benefit.

The article says YTL is one of the 3 consortium shortlisted for the HSR job. I see YTL as one of the frontrunner as it has the expertise and financial muscle to take up and complete the massive construction work on time, based on its track record.

Based on RHB's notes above, YTL Power is on track to deliver the 100MW AI data centre with Nvidia in 2025-2026. Interesting to note is the new phase under construction, which is for a new DC of 40+40MW capacity for a hyperscaler.

That shows that YTL Power has secured some 180MW of AI data centre jobs so far, which is close to my earlier projection of 200MW AI data centre by 2026.

We should start seeing earnings contribution from AI data centre in FY2025 and more prominently in FY2026.

100MW AI-DC update. The first 20MW is at 70% completion and should be ready for server installation by year’s end. The remaining 80MW capacity is also still under construction and slated for a mid-2025 completion. YTLP is finalising the offtakers. While capex has yet to be disclosed and finalised, we estimate the capex for using GB200 chips for a 100MW AI-DC could be 30- 50% higher than our original estimate of USD3bn for H100 chips. YTLP is also confident of securing chip supplies on time by 1HCY25. As the server installations may take months to complete, we could expect to see the first 20MW AI-DC ramping up in CY25, with the entire 100MW AI-DC starting contribute meaningfully in CY26.

New phase under construction. There is another new DC phase under construction, hosting a 40+40MW capacity and adopting an air-cooling system. We believe this new capacity has been committed by a hyperscaler, with construction is likely to be completed by mid-2025. Vacant land is available for YTLP to construct solar assets – this is for the DCs to be co- powered with green energy in future. There are no requirements from the clients to supply green energy for the existing DCs, but we believe this could attract more DC investors to reduce their carbon footprints in the longer run.

https://klse.i3investor.com/web/blog/detail/rhbinvest/2024-07-18-story-h-156868587-YTL_Power_Sneak_Peek_at_Green_DC_Keep_BUY

RHB posted an update on YTL Power after a site visit to YTLP's green data centre park in Kulai.

Mr. OTB, I will do a rough estimate again for YTL Power projected Q4 FY2024.

In my note on 23rd May 2024, I forecast that YTL Power would achieve total net profit of RM3,199 m for FY2024, implying that the Q4 net profit to be RM807 million. I will check this gain below.

As estimated above, I forecast PowerSeraya to register net profit of SGD190-200m in Q4, or RM670-700 million.

I expect steady net profit contribution of RM120 million from Jawa Power and Jordan Power every quarter, so that will add up to almost RM900m for YTL Power.

For Wessex, I forecast a turnaround or a breakeven so no drag to YTLP net profit.

For Yes, it should register smaller loss of less than RM50m in Q4, which may be offset against by new earnings contribution from the 1st phase data centre with SEA Ltd. Earlier in May I expected higher loss of RM75m from Yes and minimal contribution from data centre.

So, it looks like YTLP Q4 may look like closer to RM900 million than RM800 million.

But it can swing either way - it may go towards if Yes indeed register higher loss and Wessex not able to turn around, or it may swing toward RM1.0 billion if we have positive surprises from Wessex and Yes.

@sg999, we cannot simply use the USEP to predict how much PowerSeraya's earnings will drop from last year Q4. NO doubt in Apr-June 2023, the USEP was sky high and all gencos in Singapore enjoyed super high profits from selling long generation into the wholesale pool. I have earlier estimated the extra profit earned from such long generation into the pool to be around SGD30 million a quarter for PowerSeraya in Q3 and Q4 FY2023.

Now for Q4 FY2024, the USEP is higher than that in Q3 GY2024 but lower than Q4 FY2023. The extra profit from long generation into the pool will not be as high as SGD30m, but it will be something higher than Q3 FY2024.

I estimated last year that the PBT for PowerSeraya was about SGD270 million in Q4 FY2023, out of which some SGD43m was due to long generation extra profit. Striping out the extra profit, the base profit before tax for PowerSeraya should be around SGD230 million and net profit to be about SGD190 million a quarter.

PowerSeraya achieved about SGD185m net profit in Q3 FY2024, I am forecasting that the net profit for Q4 FY2024 to be about SGD190-200 million for PowerSeraya.

https://www.theedgesingapore.com/news/special-feature/ioi-central-boulevard-towers-building-greener-future

Good article on IOI Central Boulevard by Edge Singapore.

Sustainability at the core

David Tibbott, managing director for asset management, says: “Our sustainability objectives are closely aligned with that of our tenants. This development showcases IOI Properties Singapore’s dedication to creating sustainable, top-tier offices that meet the evolving needs of today’s businesses, including major tenants like Amazon and Morgan Stanley.”

@cwc1981, YTL and YTL Power share price is down temporarily due to some foreign funds selling. These foreign funds tend to be hot money which comes in and out within 6-9 months typically.

Foreign funds started buying YTL and YTL Power in a big way in Dec 2023 up until early May 2024. After YTL Power announced a weak set of quarterly result for March 2024 in late May, these "hot money" found the excuse to take profit on YTL and YTL Power which both have given them 100% gain in 6 months. To these "hot money", a 100% gain in 6 months is good enough coz they bought in big quantities. They bought in total some RM950 million in YTL Power shares and RM850 million worth of YTL shares from Dec 23 to May 24, so a 100% gain will have given them good profit of RM400-500 million each from YTL and YTL Power.

It is no surprise for these "hot money" to take profit and exit the stocks, but the good thing is that most of the selling pressure from these hot money funds has been well adsorbed by local institutional funds as well as local retailers in past few weeks, hence the share price is only down like 10% from their peak prices.

The reason why local institutional funds are coming in to buy YTL and YTL Power is that they are finally convinced that the earnings outlook for both companies is so bright that they cannot simply ignore, as both stocks have become stocks with almost the largest market cap in Bursa, with YTL Power in top 10 list.

Local funds like EPF cannot ignore the fact that YTL and YTL Power have become the leader in respective areas of expertise, i.e. YTL Power is the pioneer in data centre and AI data centre in collaboration with Nvidia, one of the largest companies in the world, and is the owner of the 2nd largest power company in Singapore and owner of Wessex Waters, one of the 10 water companies in the UK; while YTL owns a majority stake in YTL Power and MCement, the largest cement player in Malaysia, and the owner of Niseko village, the largest land owner and ski resorts owner in Hokkaido Japan, and the three renowned Marriotte Hotels in Australia.

These local funds know that by buying YTL and YTL Power, they will have good and direct exposure to the booming AI and data centres in Malaysia, benefits of the strength in Singapore dollars, the turn around of Wessex and exposure to the UK utility and property sectors, the booming tourism sector in Australia and Japan.

https://www.thestar.com.my/business/business-news/2024/07/17/sea-ytl-digital-on-track-to-form-digital-bank

@redhotpepper, please see today's news above. YTLP's digital bank is on track for commercial operations by end of the year

Foreign funds started selling IJM yesterday in a big way after buying in past few weeks when local analysts also helped to come out with good reports on construction stocks like IJM and Gamuda. To me, these pure construction stocks are getting over-valued now with PER of over 20x, but local analysts are upgrading them to 25x prospective PER.

Stock valuation in the long run will eventually fall back to earnings and fundamentals. YTL is a lot cheaper at less than 15x PER with improving earnings prospects from YTL Power (Wessex turning around, PowerSeraya's continued strong earnings, AI data centre starts contributing next year etc.), MCement (strong earnings to sustain from mega construction work like Penang LRT, KL-Singapore HSR, data centres construction work etc.) and hotels business (from influx of foreign tourists to Malaysia and Singapore on visa-free travelling from China and India, strong surges in tourists to Japan due to weak yen etc.).

@raymondroy, SEA Ltd is a tenant at YTL Power's colocation data centre, not a partner.

But it is a partner to YTL Power's JV in the new digital bank in Malaysia. Contrary to recent news propaganda to discredit YTL-SEA partnership, YTL Digital Capital Sdn Bhd issued a press statement yesterday to confirm that its digital bank is on track to commence operations by end of 2024, in line with the plan approved by the Finance Ministry.

I think we cannot judge the financial health of SEA Ltd just by looking at the share price drop in recent months. Its share price was chased up to unreasonable valuation in the first place, and now it is down to more reasonable value.

In fact, SEA Ltd is much stronger now in financials compared to 2-3 years ago when its share price was peaking, as its digital bank division has turned EBITDA positive in 2023 and it has successfully fenced off competition in the e-commerce space in South East Asia.

After 3.00pm, some foreign funds start their operations selling down IOIPG below 2.20. May have chance to collect low at 2.11 today. Get ready your bullets.

Ya, this is not a stock as exciting as those related to AI or construction theme which are hot lately, but I believe and prefer IOIPG will rise in a slow and steady manner to reflect its improving earnings outlook in next 2-3 years.

Foreign funds have accumulated a total of RM299.66 million worth of IOIPG shares YTD to 30 June 2024. They added the most in the month of May 2024 with a net purchase of RM99.7 million. Average purchase price in May should be around RM2.20-2.30 as IOIPG share price traded between RM2.10 and RM2.50.

Foreign funds bought in a total of RM178 million worth of IOIPG shares in Jan-Mar 2024. Average purchase price should be around RM2.10 as IOIPG share price traded between RM1.85 and RM2.35 in Q1.

All in, I see that the average entry cost of foreign funds in IOIPG is around RM2.20.

Statistics shows that some small quantity of foreign funds exited IOIPG in early July with total sale of RM7 million so far. The selling was likely to have been prompted by the Shenton House proposal announced in early July. As I have written about this proposal which I see is small positive bias in the long run to IOIPG, I do not see further selling of foreign funds in near future.

I continue queuing at RM2.11-2.12 to accumulate more, hope I will be able to get it soon when the remaining short term funds / traders sell off in protest of the SHenton House proposal.

Press it down lower better, so that we can accumulate more below 2.00.

Once it approaches RM2.00, the downside is limited. At most it will retest year low of RM1.80 like Eagle77 is wishing.

Then you go invest in gold, please get lost from here

As mentioned before, the sell down of YTL shares in past 2 days was triggered by the draft determination by Ofwat for Wessex Waters' next 5 year business plan, which in turn caused a selldown in YTL Power shares.

As it is just another draft determination of Ofwat, it does not have any immediate impact on Wessex's operations. I am confident that Wessex management will work hard to engage Ofwat in the next few weeks to deliberate on the merits of its submitted business plan and justify for a higher rate of return on capital. I think the final determination in Dec 2024 will typically improve from the drafts.

Hence, I find the selldown in YTL Power and YTL shares in these 2 days is unfounded and unnecessary. I see the current weakness in YTL share price as a good opportunity to accumulate more for long term investment holds.

Most of the investors are short term in nature, even many foreign funds are just hot money coming in and out within 6 months. No doubt YTL announced a weak set of results for Q3 FY2024, it was mainly due to lower earnings contribution from YTL Power / PowerSeraya.

As PowerSeraya is rebounding well from the temporary slump in Jan-Feb 2024, YTL Power will announce a stronger set of earnings in the upcoming Q4 FY2024, which will benefit YTL.

YTL will continue to benefit from strong earnings of MCement in coming quarters due to elevated cement selling price and impending HSR revival prospects.

Furthermore, the influx of foreign tourists into Malaysia due to visa-free travelling from China and India will benefit YTL's hotels and shopping malls in Malaysia and Singapore.

YTL share price dropped to a low of RM3.30 after Q3 result announcement in end May, but has since quickly rebounded to above RM3.70 last week. That shows it has good support from longer term investment funds and investors when short term traders and funds took profit. We cannot judge a stock performance merely from few weeks of stock price movements. As long as fundamentals remain attractive, this stock is a long term Buy.

The earnings of YTL for Q4 FY2024 should be good, but I am not sure if it will declare a final dividend of 9.5 sen as indicated by Tan Sri Francis last year. I hope it will.

Even if it declares a lower dividend than 9.5 sen, I won't bother much and will hold onto YTL shares as I know the company preserving cash is for future projects. A lower dividend may mean a big project coming its way to YTL soon.

You can see EPF has been accumulating IOIPG in recent weeks, the most recent was the acquisition of 3 million shares on 9th July 2024.

Don't spread unfounded news. There isn't any operator in this counter, it is a fundamental stock with good upside potentials to long term investors, not for short term punters.

Please move aside to other penny stocks if you like to do short term trading.

Correct Mr. OTB.

The selldown last Friday was due to the draft determination from Ofwat for Wessex next tariff reset. It is just another draft determination, I am sure Wessex management will work hard in the next 2 months or so to liaise with Ofwat for an improved plan and higher rates of return on capital.

WACC has improved from 3.1% in the 1st draft determination last Nov to 3.72% in the second draft determination in early July 2024. I hope it will improve further to 4.3% in the final determination in Dec 2024. That will do the job for Wessex to meet my projected earnings in 2025-2030.

Hold on and be patient.

Today selling is a knee jerk reaction from some foreign funds to the draft determination by Ofwat for Wessex Waters. As said, this is just a draft determination, not the final.

History shows that Ofwat usually improves on water companies' requests in the final determination, as shown by the improvement in allowed rate of return from 3.1% in 1st draft determination in Nov 2023 to 3.72% in the 2nd draft determination.

There is still some months away from the final determination in Dec 2024, I hope Wessex Waters and other water companies in the UK will work on their submitted plans and liaise with Ofwat officials to achieve a more amicable outcome in the final determination so that it will allow a more sustainable business model for all the water companies in the UK, otherwise they may fall down one by one after Thames Water, and Ofwat might as well nationalise all the 10 water companies in the UK!

@cwc1982, correct, who wants to forever run a loss making business.

Ofwat will learn the lesson when it puts another water company into bankruptcy after Thames Water. I suspect the draft determination was somewhat affected by some political factors as UK just had its general election weeks ago, and the draft determination was delayed by one month because of the election.

From now till the final determination in Dec 2024, there is time for water companies and their financers to work on Ofwat to ask for higher water tariffs. The current allowed rate of returns cannot sustain the ongoing business of most of the water companies in the UK. For now, it is just a temporary setback.