1. NFCP is about RM21.6b, 2019-2023 (about 4 years 3 months) will benefit significantly for most telco services sector. OCK may be one of the beneficiary.

2. OCK owned about 4,000 towers, is constructing another 500 (Myanmar) and possible acquisition of another thousand (in Vietnam), will be a good catalyst to improve the value of OCK when they go for IPO.

3. Major shareholder/MD bought from about 80 sen to about 53 sen.

For Info only:
Malaysia. Yamaha is leader in a market grown 20% in the first half of 2019 (based on motor cycle data) In fact, in the first half 2019, Yamaha has sold 92.693 units (+8.3%) with 36% of market share, while in second place Honda sold 79.800 two-wheelers (+24%).

Vietnam, many already know Honda is the leader, but Yamaha is the main challenger. Vietnam market is huge, about 1.5 million for first half of 2019. There is room for Yamaha to grow, thanks to the pie is growing. Sales goes up and down, sometime depends timing of new models and acceptance. Honda may dominate now, that does not mean it will dominate forever.

@aris743, hopefully it has legs.

Expectation has been high on growth since 2017 (but not realised due to delay in Myanmar construction of new towers (due to Telenor change of plan) and higher than expected upgrading cost for Vietnam 2,000 BTS acquisition), but results stays flat for FYE17 & FYE18 as against analysts expected 20% growth.

Hopefully with the completion of 920 towers in Myanmar in FYE18, and new acquisition of 500 BTS in Vietnam towards last quarter of 2018, and improving tenancy, the delayed growth will postpone to FYE2019 and 2020, as per the management.

MD (also a major shareholder) bought from 80 sen (Feb 18) to 48 sen (Nov 18) for about RM4-5m. MD's average cost around 70 sen.

Let see tomorrow any show. I believe there is

Hope to see some action later.

I was informed OCK got a small contract in Philippines, ISOC-edotco. Hope more institutions investor participate in OCK for medium and long term, for the IPO of towerco biz. For a one to two year horizon seems reasonable.

Yamaha Malaysia is doing well, while Yamaha Vietnam sales dropped about 20% 1H19, waiting for next few months to see if its two new models will take off.

For info only, based on the quarterly announcement, the number of towers, Malaysia (424), Myanmar (969), and Vietnam (2,673). Hence, total is 4,066. For Myanmar, there are still 500 more contracted to be built, and Vietnam, in negotiation process of acquiring about 1,000 units of brownfield BTS/Towers.

The construction of Myanmar 920 towers for Telenor was slower than many analysts expected, as there is a major change by Telenor refocusing the tower locations in populated areas instead of following the initial plans of geographical coverage. (Hence, profits could be delayed for one or two years, however, good tenancy ratio increase gradually to 1.4x will gradually bring back the some of the profits that expected in 2017 and 2018).

Market Cap is about RM3.3b less RM1.0b, net cash is RM2.3b. Net profit average is RM350m to RM400, PE is about 7x, with likely special dividend in the future, DY will exceed 4.7% p.a. and also good upside from PE (net cash of 7x). Not the best defensive stocks, but one of the best.

Most capital intensive projects, takes time. Now is the initial cycle of its towerco biz. Building volume and tenancy period.

How many construction companies can handle RM140b project? Eko is the front runner at the moment.

RM21.6b Fiberisation Project, hopeful OCK will secure some contracts.

Volume improved today.

Prices increase could be due to expected better second quarter.

Perhaps they are raising fund to acquire more towers. Normally capital intensive projects, first few years, profits are lower mainly due to depreciation and cost of borrowings. EBITDA has grown from RM60m to RM100m over last few years, not too bad.

DJIA dropped 2%, HLI dropped 3.7% to RM10.54, may be a good time to accumulate. Hopeful that more delivery bikes uses Yamaha in the future, be it in Malaysia or Vietnam.

Congratulates to those KNM W holders who bought at 3 sen and sold at 30 sen within a month, a phenomenal gain of 1000% or 10x. Also to some of those Eko W holders, also up from 8 sen to 38 sen,almost 5x. I believe there is a few more. High risk high return (as expiry is less than 3-12 months).

It appears, there are some opportunities in the warrants that has came down for 1-3 years to historical low, and rebounded 2-5x from the bottom. I suppose is a good trade, but, come with high risk as well. Good luck to those can get 100%, 200%, 300% or 500%, likely come from warrants. Not a bad idea to start pick warrants that the Company has growth opportunity.

OCK main biz is an independent owner, operator and developer of multitenant communications real
estate (project cost is about RM500m in towerco since 2016) + also a service provider for telcos (provide management services to >25,000 towers in Indonesia and Malaysia) [besides solar energy & trading of telco equipment] - the towers OCK owned increased from about 100 towers to around 4,000 towers over the last 4 years.

As reference, American Tower is currently trading about PE of 64x.

OCK intend to list its towerco biz when it reach 5,000 towers. The balance 1000 towers will mainly comes from new construction of 500 units in Myanmar and acquisition of >500 towers in Vietnam.

OCK (as a shareholders) invested more than RM300 m equity in towerco biz.

Thanks. Life1invest. You hit the nail on the head. Good job. Keep up the good work.

OCK expected to grow about 15-20% for 2019 - 2020 from its tower biz and recovery from its contract biz. Those who bought at 45 sen, the return is not too bad at 59 sen. (Initial year of tower biz normally is low profit due to interest and depreciation). Upside potential is good as tower biz is sustainable and growing.

Aliran bought it at 25 sen. MD's brother bought it at 12 sen. 500,000 OCK warrants x 8 sen each = RM40,000. Catalyst for the share price increase will be the listing of towerco biz.

HLI net cash flow is about RM300m p.a., this year, payout dividend is about RM110m (25bsen ordinary, 10 sen special), after payout, still has RM970m. At today's valuation, RM3.4b, net of cash market cap is only RM2.4b, and 30 June 2019 profit estimates of RM350m, PE of 6.85X, I believe HLI deserve better valuation. Hopefully more institutional investors notice it.

Domestic consumer products and margin growth better than expected despite slow down of associate (Vietnam). Dividend 25 sen (ordinary) and 10 sen (special) is also within expectation as the cash balance has grown to RM1.08b, with a market cap of only RM3.3b based on price of RM10.78 per share. Deserve better valuation. Time will tell.

Nestle (Switzerland) is PE29x, with DY 2.4%, not bad.

Use gains from WB and invest into mother until reach TP. High participants with >200m in volume. Opportunity still available, I guess.

https://themalaysianreserve.com/2019/04/04/hlib-worst-is-over-for-construction-sector/

With ECRL (RM44b) and Bandar Malaysia (RM140b) projects, construction and building material sectors will shine. How often do we have the RM140 b projects besides Forest City RM414b (initially planned).

Some government projects require bumiputra participation, hence DWL. Cost of doing business in Malaysia.

Market Cap today is only RM2b (95 sen per share). DUKE and SPE are worth about RM3.5b to RM4.0b.

IWH-CREC is project leader of RM140 billion project on Bandar Malaysia. How much do you think Ekovest should get? Zero? Which listed co has the capability and capacity to take up the project? Will it remain RM2b for long?

This roller coaster barely cross the half-way line. Hold on tight, till the finish line. Those who are familiar with tolls valuation, will know that DUKE & SPE (passing through BM) is easily worth RM1.50 per share.

I have read somewhere the existing Duke is due for toll increase in 2019. Anyone know what month is it?

Not sure Duke 3 will benefit from Bandar Malaysia.

Just a mathematical idea, Gadang:DWL JV, 70:30, bidding not submitted yet, for about RM5b, DWL up about RM200m, what is Gadang's portion? Hmmm...............

Towerco segment growth is interesting. Tenancy ratio grows from 1.0x to 1.42x in 2 years, and still have room to grow for Myanmar towers. Accumulate OCK WA @ 9.5 sen.

OCK's towers segment is already worth >RM1.0b, about 2 times of current market capitalisation (based on a conservative single digit EBITDA multiple and is growing). (Ekovest is traded at 67 sen is about one third of SOTP of UOB KayHian).

That is ignoring the contracting and servicing segment (like Ekovest Duke 1&2, already 1.2 times the current market cap, excluding construction and property segments).

(China Tower doubled since its IPO in Aug 2018.)

Ekovest peak at RM1.45 in May 2017, and Bandar Malaysia was terminated in May 2017. Since then, Ekovest dropped from RM1.45 to 80 sen before GE 14 in 2018.

TM announced revival of Bandar Malaysia with additional 10,000 low cost housing to IWH&China JV. IWH is a >RM100b project over >10 years. IWH will likely gave some construction projects to Eko and Eko will benefit from his Duke Phase 3 (SPE) that pass through Bandar Malaysia.

DUKE 3 completion by end of 2019. DUKE 3 complement Duke 1 & 2.

https://www.scribd.com/document/325141281/UOBKH-Ekovest-Rise-of-the-Duke-230916

2016 Ekovest Comprehensive Report, for those who wants to know more about DUKE. Forecast figure of 2017-2019 is 87, 161, 208 (total is 456) vs actual 111, 115, 175 (E) (total of 401), about 14% below estimates.

Existing DUKE is worth about RM1.7b, or 80 sen, not including construction and property.

Whoever likes roller coaster, Eko is one of them. Make sure, put on your seat belt and hope the seat belt doesn't break. Else, it may be a fun ride.

Today, for every 6 shares traded, 5 are down. Make sure sufficient bullets if it drop half to 4 sen for the warrant (lowest). Just playing on sentiment. It's difficult to get the lowest price.

Accumulate some at 8 sen, worst case convert lor. (exercise price 48 sen).

Ekovest share price

Mar 6, 2017 145 sen (peak) (mcap of 3.13b)
Mar 8, 2018 80 sen (prior GE 14)
Dec 24, 2018 45 sen (lowest)
Mar 11, 2019 68 sen
April 17, 2019 56 sen (mcap 1.21b)


From the peak to today, (145 sen to 56 sen), market cap has loss about 1.92 billion (from 3.13b - 1.21b). Due to uncertainty in construction, toll, and property?

Eko has been dropping last 3 years, disregard ECRL on or off, HSR on or off, purchase of IWC on or off. Buying PLS on or off. The question is did they over shoot on the way down. The price will improve when the quarterly results is better this coming quarter. (could be an opportunity for trading).

Brahims used to have RM6.5b concession contracts with MAS up to 2028.

EBITDA and EBITDA margin will expand as long as new towers and improve tenancy ratio, and this is sustainable which what OCK is delivering over last 3 years, although, a delay effect. The recurring segment is gradually taking over the "contracting segment".

the best catalyst is Eko's quarterly growth better than investors expectations + "combined effort" at work. The likelihood of the former is high, but needed "combined effort" prior to the results, only about a month to work on.

Most of the projects (incld MRT3, LRT3, ECRL) will be revived at about two-third the (inflated) cost. Hold on tight for HSR and Bandar Malaysia, they will be next.

Eko is double digit growing company (next few years). Completed toll roads is already worth 80-90 sen (Not including construction and properties). Now only around 60 sen.

Even Gabungan (perceived to be BN counter like Eko) has recovered from 70 sen (lowest) to 144 sen today.

Hi 145 sen Lo 45 sen, now 63. There is room to move up. WB is interesting, but higher risk.

Added WA at 10 sen on pretext of increase in towers and tenancy ratio, improved EBITDA (from RM50m to RM104m over last 3 years, mainly from towerco).