Specialty paper business and printing business serve the same industry.
If your assessment that printing business is doomed, New Toyo will not be on the buy lists of packaging companies.

Have you got your facts right?
Specialty paper segment profit was only half of Printing's.
If Tien Wah is not good enough, it is a useless slave.

Why would someone want to buy New Toyo if Tien wah is not promising, as pointed out by you?

Is the buyer of New Toyo, if there is one, required to make an offer to buy over Tien Wah too?

A typo error and missing words.
The post should read

Robert Love34
Are you aware that after raising RM 34m from the rights issue in 2010, Tien Wah have paid a total of RM 47m in dividends?
2013 profit was marred by the RM 2.8m redundancy provision. Group profit would have been RM 36.6m. Together with depreciation and amortisation of 27m, cash flow of more than RM63m can easily pay for any capex.

Are you aware that after raising RM 28m from the rights issue in 2010, Tien Wah have paid a total of RM 47m?
2013 profit was marred by the RM 2.8m redundancy provision. Group profit would have been RM 36.6m. Together with depreciation and amortisation of 27m, cash flow of more than RM63m can easily pay for any capex.

Purchase of Anzpac in 2008 was by borrowings, and by now outstanding loans have reduced to RM 75mm with RM 44m cash.
There was only one rights issue, in 2010. What makes you think another rights issue is coming?
The massive purchase of equipment between 2009 and 2011 cost RM 75m.

Two typo errors in my earlier two posts.
The correct figures should be:

Purchase price of Anzpac RM 175m (A$ 60m)
Comprising
NAV of Anzpac RM 136m (RM 146m earlier)
Value of exclusive contract RM 39m
NAV of Anzpac included
Freehold land RM 48m
Other PPE RM 52m

Tien Wah made at least RM 114m in the first five years of the contract:
Profit RM 92m
Amortisation of contract RM 22m
Depreciation of fixed assets (RM 52m [RM 42m earlier]) not known

You should have infered that the deal is not necessarily a bad one.

The investment cost comprised the RM 48m freehold land cost. Unless the land value has decreased, the actual investment cost was RM 127m.

In the first 5 years of the contract, Tien Wah made at least RM 114m:
Profit RM 92m
Amortisation of contract value RM 22m
Depreciation of fixed assets (RM 42m) not known

The 7-year contract has 2 years left and may be renewed for another 3 years.

Did Tien Wah pay a hefty price for the 7-year exclusive contract?
The A$60m (RM175m) purchase price of Anzpac was in excess of Anzpac's NAV by RM 39m, which was captured as contarct value in Tien Wah's balance sheet.
Anzpac's NAV was RM146m in 2008. Of its RM100m PPE, RM48m was the book value of the freehold factory land.
Every year, PPE (other than the freehold land) was depreciated and contract value amortised. On 31 Dec 2013 the contratc value was RM17m.
During the 5 years as Tien Wah's subsidiary, Anzpac as well as BAT exclusive contract contributed RM 92m in profit.

Robert Love
What was the price then, since you have knowledge of it?
Thank you.

New Toyo has announced reolcation of a printing line to a lower-cost country --- from Australia to Vietnam? Hence the redundancy payment.