TAGS80: Since he was questioning my integrity there, yes, I would make a long reply.

If someone has a good constructive points that are negative about the company, I would be delighted to read them and perhaps debate on them,

Thus far I've seen very few that are. Issues that have been addressed and resolved, they bring up again. Issues that are pure BS (which you can disprove by looking at bursa announcements, annual report or quarterly results), they highlight.

Some statements make me laugh (company going into PN17 if bond not issued), whilst others make me want to cry in frustration.

The one thing I value is my reputation. Because when I die, that's the only thing I'll take with me.

Where: I shared my comments based on what I learned from the board and management during the recent agm & egm.

I've already stated my disgust at how The Edge chose to interpret my questions on remuneration as well as the fact that they totally ignored the answer I received.

BFM made their comment based on what The Edge report stated.

I find it laughable that you consider their (The Edge's) screwed up reporting to be more reliable than the responses I've received and which I've tried to reproduce here as accurately as possible.

In short, reporters can screw up. You can't seem to accept that.

The two brothers resigned. They could have been fired for malfeasance/criminal breach of trust. This is probably difficult for you to understand, but when you have committed a wrongdoing, you very likely won't be paid any bonuses.

Also you probably are aware that with regarda to the reversed land sale to the 2 brothers, almost immediately after the reversal was done (RM28m) the land was sold to an unrelated third party (for RM42m if I recall correctly). I don't understand why you'd consider this to be a bad thing. And FYI this deal is 100% completed. RM28m out of Benalec's bank account and RM42m into it.

In short what you're saying is that I can't get answers out of the board & management. Only the media and radio stations can. And you wonder I'm annoyed and irritated at your ludicrous statements?

This is my final posting to you. From now on I will not be correcting or rebutting your statements, even should they be directed at me.

You have already wasted enough of my time as it is.

Where: Perhaps you have not bothered to read my previous statements. I clearly stated that it was the independent directors that resolved the mess.

I'm not sure what "conflict statement caught red handed" you're talking about. As far as I know, I have not been posting anything that conflicts with each other.

On the other hand, you seem to be nit picking for faults, and making them up when none seem to be there.

I find that highly disappointing. I believe I shall skip all your postings from now on. Do carry on. Perhaps there are still windmills for you to contend with out there.

Where: The payment to the MD is not for resolving the board room tussle.

The payment was for a deferred bonus for 2013.

Bonus was deferred (at MD's request) BECAUSE of the board room tussle.

Muarmali: How does an "estimate" (as you've stated above) equate to guaranteed net profit?

I've never had to make duplicate accounts unlike a certain lying negative spinner.

It's okay, we all know you're desperate. When you lie and attribute untrue quotes to me, it shows that you're scraping the bottom of the barrel.

You can't even argue rationally.

Special-nyer...

raisa: Thanks for the response. Appreciate it.

Post removed.Why?

where: I have no clue what you're saying.

P/S: Try reading my postings above. Especially the one where I mentioned _I_ was the one who raised the question about both board compensation and the MD's compensation.

Ah Ha: Let's be clear.

I am not a director of Benalec.

I am not an employee of Benalec.

I posted here the explanation that was given to me by the board.

I am satisfied with the explanation.

If you are not, that is your privilege.

But I definitely do not owe anybody anything.

If you do not like what I post, feel free to skip it. My postings are meant for investors who are interested to hear the reasons.

If you are dissatisfied, then you as a shareholder should do one of the following.

a) Attended the past AGM/EGM. Attend any upcoming AGM/EGMs when announced. If you cannot do so in person. Send a proxy.

b) Ask questions, or express your dissatisfaction during said meeting. Listen to the answers and then _you_ decide whether it's acceptable. Vote against the resolutions if any. Yes, the major shareholder has a huge block of shares, but bear in mind voting in the past two meetings were by poll. If _only_ the major shareholder votes yes and every other minority shareholder votes no, do you think the board will still go ahead and approve of it? The moral principle there will likely force them to think twice.
And FYI, the poll vote results are available on bursa announcements, you can see those who voted against the resolutions were very small in number.

c) If you could not be bothered (or use the standard excuse - "no time lah!") to attend the AGM/EGM, then it's up to you to go and contact either the directors or management (via the investor relations executive) to get answers to your queries. The email contacts are available on the website if I am not mistaken.

If you could not care less to do any of the above, carry on complaining to deaf ears. No one here has an obligation to do your responsibility for you. There is no free lunch.

There are days I get more and more tired with giving answers to readers here. Then there are also lying scumbags like kukuman who are aberrations in reality.

In all honesty, I am tempted to just forget about posting anything further and simply use any information I learn for myself and my circle of peers. After all, I am not being compensated for spending my time and energy here.

If you do not like the contents of my postings, please, do not bitch at me. I am just the messenger. Feel free to bitch directly towards the board/management.

So someone asked me to clarify some of my statements, so here it is.

I frankly don't give a damn if anyone disagrees or disbelieves me - especially that lying piece sack of shit named kukuman who attributes lying quotes to me but doesn't dare to respond when called out for it.


Some of you are aware that the reports by the Edge (picked up by BFM etc) on the MD's remuneration package was because of a series of questions that _I_ (not any of the other lying anti-spinners out there) asked at the AGM.

_I_ asked the questions regarding the justification of why the independent director's fees were so high. For the armchair generals (either those who claim to own or have owned shares in the company - yet can still spend an inordinate amount of time in the forums bashing the company), here's the answer.

The fees were because the independent directors were spending an enormous amount of time in trying to fix the mess caused by Vincent Leaw's two brothers. It wasn't just a question of board meetings, but also meetings with the lawyers and the auditors. One director in fact was camped out at either office during the entire time. They virtually did not know who to trust at that time, and it was up to _them_ to fix the problem. Vincent Leaw as a related party kept his hands off from the situation during the whole time (whilst running the firm which was being sabotaged left, right and centre during the entire time by parties opposed to the company coming out whole). They were all concerned that it would turn into another Kian Joo/Tan Chong fiasco. Which shareholder would like this to take 10 years to resolve in all honesty?

And also at the same time, Vincent Leaw himself was very down over the whole thing, to the point that (from what I've heard) he wanted to give up on the company. The board rightly stepped up and convinced him against doing so. If he had left, let's face it, the company would be totally f*-ed up. Is that again in the best interests of shareholders?

I found this to be a very credible reason for the amounts paid to them. At the end of it, bear in mind that all three directors are still active professionals, and for the amount of time and effort they put in for the amount they were paid, well let's say they could have earned more in their respective professions.

Think about it. The chairman is running LH-AG, the law firm. Wong, one of the other directors is running his own corporate advisory firm, and he'd make a lot more money in doing deals than he did in fixing the company's problems.

What do the shareholders think they should have done? Resign? Surrender and give up? The only one who would be happy is that lying piece of shit, kukuman and his army of clone accounts posting on this board.


With regards to the fee paid to the MD, I'm personally pissed off with the Edge. They interviewed some of the shareholders walking out of the AGM (after I had asked and received the answer to that question), and the only thing they picked up and quoted in their publication was that I was unhappy with the MD's pay package. I asked for a reason from the board and got one. But the Edge in their brilliance didn't even bother to print the answer (I'm guessing this is because they didn't even want to know, sensational stories sell).

Hell they even got the COO's name wrong. Bernard to Desmond. How the hell do you do that?

The reason given by the board to my query which I'm reasonably satisfied with (which of course the lying sack of shit on this forum will vehemently disagree - after all if Benalec says the run rises in the east, that sack of shit will say it rises in the west), a large chunk of that payment is deferred compensation from 2013. This was a variable bonus (not just based off revenue/profit) to be paid to him then, but he (Vincent Leaw) deferred it as the whole brouhaha with the brothers exploded at that point and he felt it wasn't right to be paid until things were settled.

The board decided after the HoA and matters were done, and the fact that the company was back on track (lots of land sales announced in 2014 but which will only be recognised in 2015 - which most people except for the lying sack of shit and his clones will understand), he should be paid that deferred bonus.

Granted it's not the best of timing, and frankly yes the compensation is higher than industry standards. But the bloody Edge even got the reasoning wrong. "It's because he works hard" which is what they attributed as the reasoning.

My subsequent queries after the AGM confirmed that 2015's executive compensation will be very much lower than 2014 (even though profit should be up substantially). I was told what a rough estimate of it will be like and find it acceptable. Also independent director fees should also normalise in 2015 as they no longer have numerous meetings to fix things.

Proof of my statement:

http://klse.i3investor.com/servlets/forum/800001011.jsp?ftp=150

Go down the list and look for the posting done as per Apr 23, 2014 10.55am. Posted by Savvyone. That lying piece of crap attributed that quote to me instead of to savvyone.

I hope you rot in hell, kukuman.

And the liar has struck again:

Posted by taciturn > Apr 23, 2014 10:55 AM | Report Abuse
I've just got news that Benalec has obtained EIA approval for both the Tanjong Piai and Pengerang land reclamation projects and work should start as early as next month. (Kukuman, if you are there, don't buy!)
23/12/2014 18:35


The above posting was made by Savvyone, and not me. The lying piece of crap that is kukuman quietly ascribed my name to it.

Frankly, I hope you rot in the deepest, lowest level of hell.

You can't even argue honestly.

kukuman: and you have been lying over and over again. I have _never_ given a deadline for the EIA before. I am telling you now what management tells me you miserable damned liar.

You are nothing more and nothing less than a lying piece of crap trying to spin things by claiming I have said certain things when I have _never_ done so.

Go sod off you piece of crap.

Resolution for the RM200m CB at EGM passed. Didn't see you asking any questions @where. Did you even attend?

@allan88: My clarification wasn't really directed at you but at jjwong. Cheers though.

Evidently my English isn't very clear. As I stated above:

"Oh and one final point which should be of interest to shareholders. Management also revealed that the DEIA submission for Pengerang is likely to happen next month."

Confirmed with the MD about 20 minutes ago that the submission is expected to happen within 1 to 2 weeks.

Okay, I'm pretty sure I've answered this question before but here it is again.

@happyvic & @rlch: The reason the dividend paid is so small is that they're paying the minimum required (30% of annual net profit as per what they've stated in the IPO). They could have paid a higher dividend with retained earnings and committed to further share buybacks but they're seriously husbanding their resources because they know Tanjung Piai is going to be very capital intensive.

Yes, they're issuing RM200m in collateralised bonds, but that's a teardrop in the ocean when you consider the scale of reclamation involved.

If 1MYSOT had gotten off their butts and a deal was signed, it would have been a lot easier. However, Benalec intends to start reclaiming immediately once all approvals are met rather than to idle away whilst waiting for a buyer.

To put things into perspective, the cost of reclaiming one square foot in Tanjung Piai is conservatively estimated at RM45 per square foot. That's almost RM2m per acre. If you assume Benalec intends to reclaim at least 200 acres to start with, that's RM400m right there.

You've got RM200m coming in collateralised bonds, you have about RM50m in the bank at the moment (with a third being pledged). So you still need additional funds. Where's the money coming from? Of course the already announced land sales that are in the process of completion.

As an interesting tid bit during the AGM. Prior to this Benalec was reclaiming land at the rate of half an acre up to 1 acre a day.

The MD revealed that they're now reclaiming land at up to 3 acres a day. He inferred the bulk of it is for the RM235m job with Ultra Harmony. Why is this? Quite obviously, they're trying to expedite the completion of the sale as quickly possible to meet Tanjung Piai's requirements.

Things that may not be obvious but should be if you think logically:
1) They cash requirements for reclaiming the land is not required up front of course, but progressively. However, they will need a decent war chest pending signing a deal with an off taker for Tanjung Piai.
2) Obviously there's a risk, if no off taker appears and the world economy tanks plus oil prices go into another tailspin, it'll be tough. But logic dictates if that happens they'll slow down work on Tanjung Piai pending a recovery whilst living off earnings from the land sales already announced but not booked.

Caveat:
1) My assumption of 200 acres is not definitive of management's intentions. This is what I've heard in informal discussions. FYI, the term sheet with 1MYSOT specifies a size of about 1,000 acres.
2) The cost of reclamation at RM45 per square foot is based off older research reports that I've read. The figures could be higher or lower, bearing in mind that the price of diesel should be coming down (diesel is the second biggest component cost for reclamation after sand), however I have no idea what other costs aspects (i.e. sand) is like these days.

Oh and one final point which should be of interest to shareholders. Management also revealed that the DEIA submission for Pengerang is likely to happen next month.

oh and @where, I'm thinking you're just trolling this forum rather than really wanting to know the answers to your questions. You say you've sold out, but still seem keen to grind your axe.

Feel free to attend the EGM tomorrow and ask your questions. I'm too tired (and busy) these days to continue doing research for others for free, especially when some of the answers for questions you asked can already be found if you actually take the time to browse through this forum.

Carry on ranting. I couldn't be bothered.

All resolutions at the AGM passed. Voting was done by poll.

I asked specific questions regarding independent directors' fees and emoluments, and also the managing director's payments.

Was very satisfied with the rationale for independent directors' fees. Was reasonably satisfied with regard to the MD's compensation package.

The former was due to the amount of time they had to put in to resolve the mess with the other two brothers. This upcoming financial year's (FY2015) fees will be lower as things are back to normal.

MD's compensation includes a deferred bonus from FY2013 which was only paid in FY2014. Also from the answer given by the chairman of the remuneration committee, the MD's compensation will be lower this year as it's (to my understanding) a percentage of revenue as the ceiling.

Will get further clarification on this later on since I couldn't ask much as I wanted since there were a lot of pointless questions being asked (i.e. Why parking is not reimbursible - FFS, parking at Pyramid is RM1 for first 3 hours, and RM1 for subsequent hours -, why no door gifts? (holy mother of god, I really wanted to scream at that one) and of course there were inevitable questions which can be answered just by reading the annual report (how much are auditor's fees, of the two brothers kicked out of the company, do they still own shares in the company, how many treasury shares does the company have)

There was also one shareholder whom I dislike for the way he put his questions and statements. First he accuses the board of incompetence (hence resulting in the share price slump, never mind oil prices are f***ed up and if you look at our local bourse, things are pretty bad) and then later on he accuses the chairman of not pulling his socks up in doing enough for the company by getting more press coverage for the company (never mind that our chairman is an independent non-executive director and most definitely not a member of management.

Truly felt that was the most moronic highlight of the day, more so than the no door gifts and no parking reimbursement questions.

EGM on separate day because of SC. They issued the approval only on 8 Dec. By the time circulars could be printed and mailed it was too late to have it on the same day as AGM. (14 days minimum notice needed)

@where: I've already answered about the 45m share sale. As answered by Vincent Leaw, he needed to funds when he bought out his eldest brother's stake. You might disagree with this, but to me it was a necessary move.

Also, the AGM is today and ongoing now...

@where: I could have sworn you posted here that you've sold down your entire stake in the company. Yet you still seem deeply interested in its ongoings? Shouldn't you have retained a minimal stake (1 lot) and either attend the AGM or send a proxy to ask those questions?

@zero: Lol, good one.

I intend to attend the company's AGM this coming Monday morning. If any of the forum members (who follow this board) are present, do come and say hi.

Oh and it won't take rocket science to figure out which one is me. Just wait for the Q&A session and it'll be quite easy to guess.

samsung555: My stake in the company hasn't changed. I am not pumping any more money into the market at the moment though since global conditions are so crappy.

Until I believe oil prices have bottomed and local conditions (GST, consumer confidence, politics etc) are reasonably stable (or as stable as can be expected), I'd rather hold my excess cash on the sidelines.

splendid_ignorance: Don't think the term sheet extension will affect the price either way. Any current ups or downs can be loosely correlated with oil prices and market sentiments.

One thing I'm pretty sure, it's going to be a rough couple of months until the EIA approval. Consumer confidence is crap, oil prices is still in a tailspin (IMHO) and we also have the GST (which according to our beloved government, will not affect inflation/consumer prices greatly) deadline coming up.

Benalec seems to be sailing through a perfect storm. Destination in sight but the journey is horrible.

My my, interesting to see new names pop up and post about how the company is on way to being doomed. So like the infamous negative spinner in this forum.

PN17? Seriously? Do you two even know what PN17 means?

And about the bond, the reason the interest rate is low is because it's convertible. But of course, I'm sure that has no bearing on your views.

I wonder though, are you against or for the bond issue? If you're against the bond issue and you believe no one is stupid enough to subscribe to it, shouldn't you be happy since the bond issue would fail? You should be ecstatic in that case.

And (I'm going on a limb here and assuming that you're not the negative spinner in disguise here) the reason for the bond? Tanjung Piai.

Do go read up on it.

Oh and do also read up on all the land sales that have been announced and is in the process of being completed. Land cannot sell? What exactly are you referring to?

Gearing is low because of shareholder funds....? I must have missed the memo which says that the formula for that has been changed. AFAIK that is how gearing ratio has always been calculated...

Amazing, simply amazing.

@jjwong: Am totally appalled at the pay given to the MD. Not very happy about the big hike for the independent directors either.

@where You said, "If the Company reluctant to offer return of 7% then we must not subscribe."

You do not have to fork out one single cent for the convertible bond issue. It is not a rights issue, it is not a retail loan stock issue.

Try for once to read the announcement from bursa and understand that.

http://www.bursamalaysia.com/market/listed-companies/company-announcements/1818381

CIRCULAR TO SHAREHOLDERS IN RELATION TO THE PROPOSED ISSUANCE OF UP TO RM200,000,000 NOMINAL VALUE OF 7-YEAR REDEEMABLE CONVERTIBLE SECURED BONDS


EGM is being called for this on the 23rd of this month (meh, one day after the AGM - talk about a timing mismatch to kill both birds with one stone).

A couple of things to highlight from the circular. DEIA submission was made on 12 November 2014. Use that to calculate when (hopefully approval will be given). Based off the DOE's KPI, we're looking at middle of February latest if there are no issues. With any ding-donging with the DOE, it can up to middle of March or middle of April.

Coupon rate for the bond issue is between 3.5% to 4.5% per year, which is not too bad.

The bonds are unsecured but of course convertible. Conversion price to be determined, hopefully at a somewhat better average price then the current share price.

The DOE's KPI (heh-heh, I knew I was going use this term one day) for DEIA processing is 12 weeks (84 days - call it 3 months lah). So there should be some news by the end of January. Note that the application is subject to ding-donging between the DOE, Benalec's EIA consultant and Benalec. So there may not be immediate approval by end January. I do not know how long the ding-donging will take if any and I can't seem to get a clear answer from people I've asked. Most say to tack on an additional month but another person said two months. So end of March is the likely dateline.

In the meantime, the company looks dead serious about going ahead with the reclamation work, even without a buyer in advance (hence the RM200m CB issue). Also look at the company's latest balance sheet as at end Sep 2014. There's RM53m in FD, of which 1/3rd is pledged. The rest is not. That's RM35m in cash that the company could have used partly for dividend purposes and/or share buybacks (especially when you consider the price is trading at around NTA).

Why have they not done so? It looks likely that the company's husbanding it's resources for Tanjung Piai. If there's excess cash as work is ongoing in that area, I assume the company intends to repurchase parts of the issued CB, to prevent dilution of the company's shares.


Oh and also on the issue of EIA approval, a lot has been said about Singapore screaming bloody murder over land reclamation in Johor. Bear in mind that the screaming is directed at Forest City. Look at where Forest City's reclamation is compared to Benalec and you'll understand why the former is under pressure where the latter (Tanjung Piai) is not (or not really at least - IMHO).

http://www.themalaysianinsider.com/malaysia/article/forest-city-reclamation-works-affecting-our-livelihood-say-johor-fishermen


g) Profitability - the reality is that without Tanjung Piai (and Pengerang I guess) the company is fairly unexciting. They're on track to remain profitable over the next 2 and a half to 3 years (if not every quarter, definitely over a FY period) based off the land sales they've announced (and also inclusive of the Ultra Green/Oriental job) but there's not much growth besides that.

Yes, I know a lot of people are banging on STP2 but frankly I look at Benalec's chances of bagging that job as very low. I've been reading up on their prospective competitors in the international field and it is depressing read indeed. Unless STP2 becomes a semi-restricted tender (requiring local partnership) that is, which I'm doubtful. AFAIK there are no stipulations on E&O forcing them to do so.

So without Tanjung Piai, Benalec will plod on steadily for the next couple of years. I of course sincerely hope they get it soon(ish) and I'm assuming management is as well (the RM200m CB is an added pressure on them to perform well too).

A quick update to those who are rational, logical people who are still following this stock (whilst ignore the "special" someones lah).

Haven't had as much time to post since I've been busy.

@Vin Tan: In answer to your question, I'm honestly not sure. The previous quarter's results was a lot easier to see since we could tell again from the quarterly announcement before that as to a couple of land sales being booked then. Even then it's not easy to estimate the amount, heck to give you an idea, for the recently announced quarter's results versus my own estimation was off by a huge margin.

That's the problem with deriving most of your revenue from land sales, it's lumpy and a revenue/quarterly mismatch will skew your results.

This issue would have been mitigated somewhat if the RM203m job with Ultra Green/Oriental has started since it's a cash job with progress billings. However work has yet to commence since Ultra Green is still in the process of getting the development order approved (government bureaucracy).



Okay, on to a couple of points on what I think/have learned.

a) Director's remuneration - I'm not happy with it at all. And I'm not the only one. The upcoming AGM should be interesting vis a vis this.

b) Collateralised bond issue - as my previous posting above. Evidently there are people who still think this is a loan stock. This has absolutely nothing to do with you as a retail/regular investor, except for approval purposes via an EGM. You do _not_ have to fork out one cent of your money into this. Of course some "special" people will disagree.

c) Dividend - yes the amount sucks. I was pretty annoyed when they announced it and felt that they should have just skipped the dividend altogether. But then it was pointed out to me that Benalec has a dividend policy stated from it's IPO. (I believe it's 25% of earnings) Hence why they announced it.

d) Tanjung Piai term sheet - Very likely expect a renewal come December 11 or 12 of this month for another 6 months. I've been told that it's going to be the last renewal. If it doesn't work out, Benalec will probably say to hell with it and go on its own. Rationale in (f) below.

e) Share price - hell of course everyone's upset the price has come down so much. Of course if you believe a "special" someone's view, this is exclusive to Benalec. Never mind the KLSE has tanked, O&G as a sector has tanked like a cement block into water. Bear in mind that Tanjung Piai as a project is focusing on the O&G sector for storage facilities. If you find the O&G majors are suffering, of course they're going to reduce capex and everyone gets concerned.

Has the price touched bottom? I have absolutely no clue. I do not have a crystal ball to see the future.

But there are some fundamental facts to bear in mind (of course if you're "special", you won't believe this). Audited NTA for the company as at end June 2014 is 67 sen. Unaudited NTA for end Sep 2014 is 70 sen.

Consensus estimates for FY15 net profit is an average of 53.85m (Affin: 54.7m, AMResearch: 47.9m, BIMB: 47.1m, CIMB: 54.58m, Kenanga: 65m). That means an estimated EPS of 6.74 sen. At the current price of 68 sen, that's a PE of 10. Is that overvalued? I don't know, you have to decide yourself, especially looking at global oil prices now.

And yes, I still hold the same stake I've always held. Irony is that my other holdings (all blue chips) have made me money. I only allow one non-low risk counter in my portfolio and sadly it has yet to pan out.

f) EIA - anyone who's followed this forum for a while will remember Savvyone's claims. I looked at them with disbelief then and I still do till now. EIA approval is right around the corner (when at that time - I knew for a fact that the application was still in a limbo), RM50m authorised for share buyback (lol) etc.

Those who do follow my postings will know that I refuse to commit myself to things I do not know. If I post something that I consider to be speculative, I will tell you so. Of course the negative spinner in this forum will state otherwise.

But here's a few key facts to bear in mind based off the last quarterly announcements.

The application for the detailed EIA _has_ finally been submitted (or resubmitted to be more accurate). No specific date is given for the submission but informal inquiries have stated it's best to use the beginning of November is the submission date.

The bond that is to be issued is _NOT_:

a) a rights issue
b) a loan stock issue)
c) for retail investors

You either have to be a high net worth individual or an institutional trader to buy it.

Of course a dungu will say that we will be the one to buy the bond. But then again, he's a dungu.

Perhaps he can speak to his "lawyer" to find out the difference. Then again, with his "lawyer" probably doesn't even have a law degree...

Still special as ever...

This is one of the companies that I have a shareholding in but this is board forum which I've never posted on before.

rlch: I think you're incorrect in your assumption that YTL Power cannot perform any share buybacks until after the AGM resolution is passed.

I'll reproduce for you a paragraph from the AGM notice regarding the share buyback resolution (it's the same in the 2012 and 2013 AGM notice)

This is from the heading "PROPOSED RENEWAL OF SHARE BUY-BACK AUTHORITY", the paragraph immediately after item (iii) (c):

"AND THAT such authority shall commence upon the passing of this resolution, until the conclusion of the next Annual General Meeting of the Company or the expiry of the period within which the next Annual General Meeting is required by law to be held unless revoked or varied by Ordinary Resolution of the shareholders of the Company in general meeting, whichever occurs first, but so as not to prejudice the completion of a purchase made before such expiry date;"

Translation: After shareholders approve this, the company can do share buybacks until the next AGM is over or the period when the next AGM to be called has passed. (this is why share buy back resolutions are always put in during the AGM, for renewal)

So it's not that the company can't do share buybacks at the moment, but it's because they do not want to.

Proof of my points, AGMs for YTL Power are always held at the end of November. In November 2013, before the AGM there were a lot of share buy backs for that month.


And let's face it, a share buy back resolution for a stable blue chip company is never voted against, it almost always passes without any problems.

And notice how the top negative spinner seems to be always on-line too? Pot, hello my name is kettle. You're very black.

Dum de dum. *twiddle thumbs* Yadda, yadda, yadda. Another load of bullcrap out of the top negative spinner in this site.

Good point though, I should start posting on other stock boards that I've invested in... then again, they're all blue chips and extremely unexciting... which is why I've never bothered in the first place.

Oh but do go on, yadda, yadda, yadda. More negative spinning bullcrap.

zero: Especially when they claim to have "confidential evidences" about company's supposed wrongdoings tetapi cannot reveal it in the forum.

happyvic: Heh, I'm definitely not a director (past or present) of Benelac lah. As to whether Kukuman is/was, I sincerely doubt it. All he's been spouting so far has been an utter load of bullcrap.

If the company's share price were still trading in the 1.10-1.20 range, he'd be screaming out, "SEE! SEE! Share price don't move! Louzy company". If the share price had advanced ahead of that range, he'd be hiding with his tail between his legs, or more likely he'd be posting on other user ids here (those who have been monitoring this forum for a while, would remember that happening when his kukuman id was banned).

Unfortunately, the share price has retraced downwards, so of course he's here trying to prove himself akin to the messiah of the second coming, how he just knew this was going to happen, how this is such a lousy company, and how he's even better than Reverend Master Yong in predicting 4D numb... okay, maybe not that last bit, heh. :p

http://www.thestar.com.my/Business/Business-News/2014/11/18/Benalec-posts-turnaround-profit/?style=biz

http://www.bursamalaysia.com/market/listed-companies/company-announcements/1797109


As staind86 has mentioned above, I'll reproduce the paragraph in question here:

[quote]
The Group has recently submitted the detailed Environmental Impact Assessment ("DEIA") to the Department of Environment ("DOE") for the Tanjung Piai Integrated Petroleum & Petrochemical Hub and Maritime Industrial Park spanning a total reclamation area of 3,485 acres in Johor. Upon receiving the anticipated approvals from DOE, the said substantial reclamation project is expected to propel the Group into the next phase of growth, enabling the Group to capitalise on the opportunities that abound within the Oil and Gas Industry.
[/quote]

Quarterly revenue for 1Q15 (ending 30 September 2014) RM47.93m. Net Profit RM12.025m.


Oh and I was asked by one person why I seem to have stopped responding to a certain negative spinner on this board, and frankly it's because I've got better things to do. No doubt that said negative spinner will scream that these figures are all lies (never mind it's published on bursa's announcements/the media) but hey, that's what you get with liars like that.

Share buyback today by Benalec. 500,000 shares @ average of 92.4 sen each.

http://www.bursamalaysia.com/market/listed-companies/company-announcements/1740821

Tags80: You do know the bond isn't being issued to existing shareholders right? It's an institutional/high net worth issue. Whether it's foolish or not to invest in it doesn't matter to retail investors since only a small percentage would qualify to subscribe to it if they wish.

Anyway that's Hong Leong's problem to get subscribers and irrelevant to the rest of us.

speakup: It's a secured convertible bond, not an ICULS. With ICULS, you do not repay the loan but convert all outstanding units to shares on expiry, and the U there means Unsecured (higher interest rate due to that risk).


Okay, my view on this.

Benalec's earnings are lumpy, with land sale payments coming in clumps as they're not handling any cash jobs at the moment (except for the RM203m job for Ultra Green/Oriental).

One can argue that the issue of this bond is to help keep cash flow constant.

On the flip side though, the amount involved is pretty big. Based on their outstanding book order, a smaller facility would have been sufficient. And I suspect it could have been done as a term loan, albeit with a higher interest rate.

Assuming an interest rate of 5% (this is very optimistic, realistically I suspect it should be between 5.5%-6%), the interest cover comes to RM10m.

Based on Benalec's historical financials, that's a healthy chunk of their net profit.

Now, if one were a fool (insert name here - you all know who I'm talking about), one would declare that the RM200m bond is to "cheat" and "con" shareholders of their money. Never mind that the controlling shareholder's own 47% of the company and would be "cheated" and "conned" as well. (Tune in to this forum for our regular negative troll, with his amazing Engrish, as he screams die, die, die. Unless we're lucky, he should be appearing like a bad penny soon)


Anyway, I digress. The bursa announcement is careful not to cross any lines by jumping the gun, but to me, the size of the bond and the timing (to be issued first half of 2015) indicates that the company is optimistic that it will need the funds during that period. (Take a wild guess as to which project it is. And no, I don't think it's STP2. Tenders haven't even been called yet)

This makes me more confident that there should be good news in the offing by the end of the year/early next year.

Personally, I've never been a fan of convertible bonds/private placements because of dilution issues (especially at a discount with regards to the latter). But between the two options, the bonds are the better choice as there's also a premium for any conversions done (yes, yes, offset versus interest paid out during its tenure).

However I can understand the need for it due to the expected working capital requirements in the near future. Bondholders will get a pretty solid deal out of it, if Johor pans out soon, they'll make a killing. If not, they still get the interest payments and the right to repayment after 5 years, and it's secured against existing/future land assets.

*twiddle thumbs*

Yes, yes, you are "special". The world is flat, black holes are spicy and Martians are invading us.

I feel your desperation and anger, but it's okay. You're "special".

Nothing to say? Too scared to answer my one and simple query?

"Lawyer's" name and contact number. Still waiting for it to hear the "confidential evidences" that you claim to have on Benalec's supposed wrongdoings.

Buuut of course you avoid answering that question because.... ta-da! You can't.

You've been lying all this while.

It's okay, I feel your desperation and anger too...

Don't know how using proper English is a spin story.

It's okay your Engrish no good. I understand you have problems understanding something so simple.

However let's get back to the one question you have been avoiding so long (like the lying, negative spinner that you are).

"Lawyer's" name and contact number. You say he/she has "confidential evidences" on the company's supposed wrongdoings. Still waiting for you to give it out.

Of course you're too scared to do so.

It's okay, you're desperate, I feel your anger.

Wow, the lying, spinning troll Kukuman has once again refused/declined/cannot answer any of my queries to him.

He's so scared and ashamed he can't even try to rebut any of my points. Instead he goes totally off tangent and now argues at the fact that I'm full invested in the company as being something wrong...? And he says I'm thje one who's emotionally disturbed? Haha, look at his previous postings vis a vis mine.

It's okay though, I know you're very very desperate now since you don't even know what to say anymore. I feel your anger.


splendid_ignorance: It's a fairly slow day today and whilst I really should stop needling such a "special" person I just can't help it. If we were in court as opposing attorneys, I'd tear him into shreds again and again. He keeps stepping up the plate for more and more.

What do do, glutton for punishment mah. :p

Huh, his own quote of my statements sums it up.

Posted by Kukuman > Sep 12, 2014 10:52 AM | Report Abuse
Changing goal post ?! I feel your anger....

Posted by taciturn > Sep 12, 2014 10:50 AM | Report Abuse
My words, "Assuming a 6 month application process". Assumptions, I did not say it WILL take 6 months....


See my sentence started from my first post your quoted started with "Assuming".

My second post you quoted started with "Assumptions".

I know your Engrish not very good. (After all you still don't dare give me your "lawyer's" name and contact number regarding "confidential evidences" of Benalec's supposed wrongdoings)


The root word here is "assume".

"Assuming" is a verb off the root word "assume".

"Assumptions" is a noun off the root word "assume".

I know you're "special", so somehow you interpret it as changing goal posts when both my statements are the same.

It's okay though you're getting more and more desperate. And now your posts also getting shorter, I can feel your anger.

As usual the lying troll fails again at negative spinning. Why post so long lah trying to give a negative outlook when you realise that these are just steps involved. You haven't specified how long each step will take (according to your la-la land calculations).

My words, "Assuming a 6 month application process". Assumptions, I did not say it WILL take 6 months. You chose to interpret it that way.

Benalec themselves have announced that land title applications should take that amount of time on average. This is not spinning (like you're doing), this is what the company has announced to bursa in their filings.

So I'm using what Benalec has said about the amount of time they'd take to get their land titles.

Between the figures that Benalec (a company that I trust) gives, and you a negatively spinning lying troll, I'd rather trust Benalec.

You as the whole world knows can't back up any of your allegations. (Still waiting for your lawyer's name and contact number for the so called "confidential evidences". Watch everyone as he ignores this point again and again like the coward that he is).

Finally something to chew on o "special" troll who can't use even one iota of common sense. Benalec has so far reclaimed in excess of 2,000 acres in Melaka (the bulk of it for the state government).

Even a moron would realise they have very good relations with the government (and the land office). The chances of problems in getting the land titles is a lot lower because of those relationships.

But of course you're nothing but a lying, spinning troll. It's okay though, I can see from your longer and longer posts you're getting more and more desperate to try and get your bullshit across.

However I see you're failing and I can feel your anger. (so your posts become even longer. Next up ladies and gentleman, another long post with share closing price list. When all else fails, he'll try to make even longer posts)

Evidently a certain lying troll has never bought/sold property before in his life (tells me what kind of person he is). And there he goes again trying to negatively spin things.

Even a fool would know that most state land offices DO take an average of half a year to issue a land title.

Please lah, you want to give us bullshit also try to do it with some class lah. Cannot even negatively spin things properly.

You can't even counter-argue my points as to why I believe the next quarter's results will be decent if not good. Instead you make the statement "Make no mistake, next quarter result still terrible", but never give a reason why you believe it to be so.

It's okay though, I can tell you're desperate. I can feel your anger.

TAGS80: That's the job for their Investor Relations Manager. I don't think I'm qualified for that. :p

Samsung555: Not a board member or employee of the company, nor related to one.

I'm just an interested investor who takes the time to do research on firms that interest me. Either via documentation, over the phone, or in person with people who have more knowledge on these subjects/firms.