faster drop...newbie like me wanna sapu....

yup - used the "golden" opportunity to sapu the shares when the price drop to RM1.20...it help a great deal to lower the average cost for Gadang...

even buying at the current price of RM1.40, will not feel the pain as it will result in an average cost of just RM1.37.

But obviously, i would like to wait until the price drops to RM1.30 to RM1.35 range - to sapu more....

Patiently waiting....cannot deny this is a good counter.

THe next counter on my radar screen is Tambun + KimLun.

actually, the desmond lim connection is not a bad thing...for a relatively obscure company like GOB to get such good terms on Pavillion Embassy - shows the connection is very important...
i am just afraid that GOB may end up to be a front to dump junk assets....

It depends on what type of land they got from Desmond

brother Apini....you are back....nice to see you again...
Di di got a question to ask...
what is your advice?
Best to buy now? or wait until it falls?

@ bluefun, aiyoh,,,,me waiting until it drop until RM1.30/ or RM1.25...now is considered as Bear Bear market mah...
hey - last time - you told me rich people - don't have time to wait until price become real cheap - they buy when it is reasonably priced...can tell me again?
very deep meaning

adui...gua belum tambah habis...tolong turn balik ke RM1.30....

the article by Focus Malaysia is very interesting - the proceeds from Da'mein disposal will be used to buy Desmond Lim's privately held land....

Da'mein is financed by rights issue + bank borrowings. For the shareholders who have contributed to rights, screw them...you owe them nothing. For bank borrowings, well, you need to pay the bankers or else the bankers will screw you. Now, GOB disposed Da'mein to Pavillion REIT and after paying off the bankers - and NOT paying any dividends - they have effectively exchanged Da'mein for a few pieces of land from Desmond Lim.

Now, i am just wondering...if i am desmond lim - i will keep the best to myself. I will cash in the deals on the fringe....so, what i have done is that i exchanged the crown jewel in the family (Da'mein) for a few pieces of land that i have....if this is the case, it seems GOB shareholders have been taken for a ride...

the story will be different if a portion of the proceeds are
- distributed back to shareholders as dividends...
- pay off debt and become a net cash company, and
- used as working capital to finance Batu Kawan and JV with Lembaga Getah....

pondek punya Gadang - kan neh - saya belum beli - dia berani naik

turun lagi...gua punya peluru and bomb - semua dalam standby mode - dah nak sapu bagi bersih

bila nak turun? saya sedang tunggu,,,,

tomorrow - should be RM0.55 -

damn...GOB WA is still stubbornly hovering at RM0.20. But then, it cannot defy the law of gravity.

seriously, LMAO- i am laughing my ass off...

Thurs (01/10) and Fri (02/10) will be even worst - because of contra players...

erectile dysfunction amid a somber environment

lots of rumors about possible privatization - but they just did a rights exercise less than one year ago....

how can the reasonable price of WA = 30cents?
Assuming if a leverage of 3, this means that the mother share should be 90 cents?
But the warrant is already in the money.

The extraordinary profit arises from disposal of land at Seri Kembangan...

The F&B business in China is actually a Grandmama store located in Pavillion Dalian. Quite similar to Pavillion KL. But Grandmama is nothing special...the food so - so only.

Cannot fight with Penang Laksa or Penang Char Koay Teow or Penang Chendol. But of course...anywhere i go, Penang food is still the best...no one come close....but in all fairness, the Grandmama business in Pavillion is quite ok lar...lunch time - got quite a crowd...but this KL crowd never been to Penang yet - like virgin never have sex before....if they know better...

During AGM, management states need to wait for one more year to breakeven and make profit for F&B....so, we wait and see lor....

@ bursabullaways,
you are right...somebody once commented (after the RM1.30++ crash in 2014 for GOB)....that desmond lim counters - are not meant to be traded on...but to hold for the long term... will never forget this advice... :-)

About unlocking the land value;
actually, it was written very clearly in The Star newspapers that the proceeds from disposal of Da'mein was not meant to be distributed back to the shareholders as dividends - but used to repay the RM280.0M loan + working capital.

By working capital - i think it is earmarked for Jalan Ampang. Based on the agreement with Lembaga Getah, there is a stipulated timeline for GOB to start building once DBKL has given the go-ahead or once the JV agreement has been signed (forgot which one...need to refer back to bursa announcement). If not, Lembaga Getah can exit from the JV agreement.

Obviously, GOB has intention to develop this land. If not, they will not rope in a foreign partner to finance the project. But now, with the money from disposal of Da'mein, they may not even need that foreign partner to finance their Jalan Ampang project. This means more profits for GOB.

About Batu Kawan land, really have no idea when they will develop this land...

beware of desmond lim counters...true true true...
those GOB long timers would know - how the share was goreng upwards until RM1.30++...and then, left to crash to RM0.80 - that was during early 2014....

But then, we are just 10 cents above rights issue....so, one can say - the downside risk is pretty minimal....

Applying Benjamin Graham's net net position, this company is worth the very least = RM0.80 and at this price - investors are getting Batu Kawan Land + Jalan Ampang land for free...

net cash position is a myopic way of looking at a company...
what is the point of having a net-cash position (cash less loans) but the liability side is loaded with provisions? don't forget the company has provisions such as tax liability + provision for bumi penalties.... All these will seep into the so-called net cash position....

when is the last day the WA will expire worthless?
i know it is in the annual report, but lazy to find out.
asking is easier.

seems red shirt cannot break FRY barrier at RM0.60?

For the lazy ones...no need to check bursa announcement... I have listed all the merits of investing in GOB.... Besides the disposal if DaMein...let us not forget another 2 impetus = batu kawan and Jalan Ampang land....

Time to whack those God damn warrants...

Another cheap counter to collect is Symlife....

Gonna whack the God damn warrants

nemesis should cut - since SHE trumpet RM0.80 on ex-date...

@ hng33, ok - thanks....

@ hng33,
adui....because in my shallow mind - today is ex-date; 23rd Sep 2015
Hence, i thought shareholders need to hold until mid-night of ex-date 23rd Sep 2015 to be entitled to its dividend

Is not that so? Please correct me if i am wrong here...

@ hng33 brother, what happen to Symlife? Drop like shit

let me find one old aunty smelly panties and drape it over GADANG - then, price will fall....hahaha

@ bluefun, just asking, KimLun's gross profit margin and net profit margin is not that high...i mean the sales revenue is impressive - increasing every year - but the gross margin is quite low - at about 8% year after year.

paperplane 2...you ok, buddy??

@ FayeTan, went through your computations. Indeed, it seems you have added the existing cash on hand (before the sales of Da'mein of $488M). So, if looking at that point of view, you are right. For me, i just look at $488M sales and not looking into
- the existing cash on hand,
- and the proceeds from the disposal of the 2x leasehold land at Seri Kembangan.

Also, i think you need to factor in corporate tax at 25%. Even though the property development costs for Da'mein is treated as sunk cost, yet this is deductible against the sales proceeds of $488M to reduce the tax liability arising from the disposal.

i thought if the company wanna entice people to convert the warrants into mother share, they should push the share price up...?? to make it seem more worthwhile to convert?

@ red_85...i will cut off my xiao-di-di if that ever happens....

My apologies...after the disposal of da'mein, net cash from the sales proceed should be more than RM78M.

This is because
RM488M
need to deduct the property development costs
Tax is computed after this line...hence, tax is supposedly to be lower....thus increasing the net cash (to be more than RM78M).

@ hng33, what do you think of the warrants?

wait until things died down abit - then, i wanna hentam the warrants...

@ chankp7010 : where is the link to Faye Tan's blog?

coming back down to RM1.20

@ hng33, good point....about Tropicana vs LG vs GOB...

let haters be haters lah...i doubt anyone of them know where is Batu Kawan (friendly stone) located at....if they just care to spend about 4 hours to travel down to Penang Second link - they can find GOB's Batu Kawan land is located 10 minutes (maximum) from Penang Second Link.

It is no coincidence that Malton also has a JV running at BK.

I believe now GOB + Malton is having tarik session on how to develop their crown jewel Batu Kawan Land.

I also doubt these haters have any idea how Penang state government is going to make Batu Kawan to be Penang's next metropolitan city.

what is the point of having recurring income if you have alot of baggage (loan) in your balance sheet? it will take longer to use the recurring income to pay off the liability principal + interest. For me, management has done the right thing - clean up the balance sheet via unlocking the value of the mall via disposal and then roll the money to develop Batu Kawan , Penang. That is the next frontier and will serve as a catalyst to re-rate this stock.

Furthermore, the price for the mall disposal is not bad - at RM488M.

For the Jalan Ampang land JV with Lembaga Getah - they have roped in a partner to provide the necessary funding to build the Jalan Ampang project as evidenced by the issuance of preference shares as shown in their balance sheet. Hence, they don't need to dump much money there. Indeed, with the disposal of this Da'Mein, they may not even need this partner after all.

After the disposal of the mall, this company will be a net cash company...this is more important to me.

@ nemesis...i will cut off my xiao-di-di if that ever happens....

@ hng33, you mean accounting profits or cash flows? two different things lah

@hng33, mmm...i am not an expert in trading - but just asking - don't you need to pay transaction fees everytime you open and close a position?

notice the wordings "Proposed Sale undertaken by EPCR is in its ordinary course of business as a property developer"...ordinary course of business of a property developer - this means standard corporate tax rate of 25% applies and NOT RPGT...

based on my earlier computation, if GOB is disposed for at RM400M, net cash will be RM12M.
At RM488M, net cash from the sales proceed is RM78M.

<The computation above does not take into consideration the disposal of the 2x parcel of leasehold land on 1st Apr’15 and a subsequent disposal on 11th Aug’15. The cash proceeds will be used to pare down loan and as a working capital for Lembaga Getah JV @ Jalan Ampang>

Damn good news for GOB -
Da'mein is ready for disposal - selling price = RM488M

OTHERS PROPOSED SALE OF A SHOPPING MALL AND CAR PARK BAYS BY EQUINE PARK COUNTRY RESORT SDN BHD TO PAVILION REAL ESTATE INVESTMENT TRUST

GLOBAL ORIENTAL BERHAD

Type Announcement
Subject OTHERS
Description PROPOSED SALE OF A SHOPPING MALL AND CAR PARK BAYS BY EQUINE PARK COUNTRY RESORT SDN BHD TO PAVILION REAL ESTATE INVESTMENT TRUST
The Board of Directors of Global Oriental Berhad ("GOB") is pleased to announce that Equine Park Country Resort Sdn. Bhd. (“EPCR”), a wholly-owned subsidiary of Taman Equine (M) Sdn Bhd which in turn is a wholly-owned subsidiary of the Company, had on 17 September 2015 entered into a conditional sale and purchase agreement with AmTrustee Berhad, acting solely as trustee for Pavilion Real Estate Investment Trust (“Pavilion REIT”), for the sale of a 5-storey shopping mall with a lower ground floor known as “da:men USJ” together with 1,672 car park bays which form part of the mixed development project currently undertaken by EPCR in USJ, Subang Jaya, Selangor for a total cash consideration of RM488 million (“Proposed Sale”). The sale proceeds arising from the Proposed Sale will be utilised to settle bank borrowings as well as to finance working capital of the group.

As the Proposed Sale undertaken by EPCR is in its ordinary course of business as a property developer, the approval from the shareholders of GOB would not be required. No other regulatory approval is required for the Proposed Sale.

None of the directors, major shareholders and/or persons connected with any of them has any interests, direct or indirect, in the Proposed Sale.

The Proposed Sale is expected to be completed in the first quarter of 2016.

This announcement is dated 17 September 2015.