Southern Cable Group BHD IPO 71.2m, 34c: CABLE and wire manufacturer, 6% mkt share. to expand production capacity of cables and wires and plastic compound materials A)RM30 mil for capital expenditure and expansion. (Of this, RM18.5 mil is to purchase and upgrade machinery ,equipment, RM7.5 mil is to construct new factories , RM4.0 mil is to fund the purchase and installation of ERP). B) RM27.5 mil as working capital C) RM9.2 mil will be utilised for repayment of bank borrowings and RM4.5 mil would be to defray estimated listing expenses. 22.5% expansion in km of cables & wires: “The construction of the 2new factories near our current production plants in Kuala Ketil, Kedah, would increase our total built-up area from more than 416,000 square feet to more than 480,000 square feet, new machines and upgrade in current factory, this will expand our total production capacity by 9,050 kilometres of cables and wires to 40,130 kilometres of cables and wires per year by the first half of 2022,” Tung explained. PVC compound material to expand by 35%: “To support the higher production capacity, we are setting up a new polyvinyl chloride (PVC) compound production plant next to our current factory in Sungai Petani, Kedah, by first half of 2022. With this plant, our manufacturing capacity of PVC compound material is targeted to increase by 4,200 tonnes to 12,000 tonnes. Southern Cable’s IPO entails a public issue of 209.3 million new shares and offer for sale of 20.0 million existing shares at an issue price of RM0.34 per share. Out of 209.3 million new shares, 40.0 million shares will be for application by the Malaysian public, and 22.0 million shares for application by eligible directors, employees and persons who have contributed to the success of the Group. 67.3 million shares under the public issue are allocated for private placement to selected investors and the remaining 80.0 million shares to identified Bumiputera investors approved by the Ministry of International Trade and Industry. Meanwhile, 20.0 million existing shares would be offered for sale by way of private placement to selected investors. market size for the manufacture of electric and electronic cables and wires in Malaysia was valued at RM10.3 billion and Southern Cable commanded 6% for the manufacture of electric and electronic cables and wires in Malaysia. Southern Cable manufactures cables and wires that are used for power distribution and transmission, communications as well as control and instrumentation applications. The key supporting activities for the cable and wire manufacturing operations include furnace and casting operations and manufacturing of plastic compounds. The company services various industry sectors such as power distribution and transmission, telecommunications, building and construction, infrastructure, manufacturing and processing industries including oil and gas processing and petrochemical plants. The Group’s customers include Tenaga Nasional Berhad and Telekom Malaysia Berhad, and has supplied cables and wires for RAPID in Pengerang, Johor, and MRT Sungai Buloh – Kajang (MRT1) projects. – Sept 29, 2020
MMS ventures bhd: earning is flat, but margin remains at mid20s%, start to grow in final quarter of 2016 but wil it explode? more research needed. 2012 aug 10-11c. 2013 aug 20c, 2014 july 26c then explode, now 1.77 all time high http://www.malaysiastock.biz/Corporate-Infomation.aspx?securityCode=0113 2) OCR, 1st Qtr 3.6m NP on 18.1m sale, whole yr 18.1 or 182m. Growth comng in, somehow KOON or KKY didnt see it, 2) MMS: i think price aldy up 40-50%, benefiting fr LED and mobile phone, can compare to Rm700mil vitrox,
“We have put the house in order and the turnaround is going as planned. Financial year 2018 (FY18) should see further improvements, and based on existing contracts,” managing director Billy Ong Kah Hoe said.
RHB Research expects OCR to record a net profit of RM3.6mil on the back of a revenue of RM18.1mil for its financial year ended July 31, 2017.
The big jump in earnings is expected to be seen in FY18, with RHB Research forecasting a net profit of RM18.1mil on the back of RM182mil in revenue.
“Right now, the improving results are due to progressive recognition of revenue from one project. Over the next six months, we will be starting on some three projects, two PR1MA-related contracts and our Pahang contract, which we just announced this (last) week,” said Ong.
Last Thursday, OCR announced that it has teamed up with the Pahang State Foundation to carry out a mixed development project in Penor, Pahang. The project will have an estimated gross development value (GDV) of RM166mil.
Ong said this contract had already secured 75% of sales and OCR was in the midst of getting the nescessary approvals to start work before year-end.
The Pahang project stems from the appointment of OCR’s 70%-owned subsidiary, Pangkal Teguh Sdn Bhd, in September last year as project management consultant (PMC) for the foundation’s affordable homes in Pahang.
The affordable housing development scheme will consist of about 25,000 residential units and the PMC contract value is at an average of 4.8% of the GDV.
The total estimated profit attributable to the group from the PMC is about RM91mil over a seven-year construction period.
As for the other two projects that it intends to start soon, the first is via its associate company, AES Builders Sdn Bhd. AES was appointed by Perbadanan PR1MA Malaysia to carry out the construction of a project worth some RM155mil.
The second job is a RM324mil contract from Damansara Realty Bhd to undertake a civil servants housing project in Putrajaya. Ong hopes to start work on both projects by year-end.
Meanwhile, Ong plans to launch OCR’s maiden project over the next few weeks. This comprised a block of serviced apartments in Jalan Yap Kwan Seng, some 700m from the Petronas Twin Towers.
“So far, we have garnered pre-launch sales of some 75%. We are very encouraged by this, considering the soft market.
“I believe that if we have the right location and launch at a competitive pricing, buyers will come,” said Ong.
OCR closed last Friday at 55.5 sen. At this price, the stock has a market capitalisation of RM144mil. It is up some 11 sen or 25.8% on a year-to-date basis.
land value estimation, see annual report: pg 76, all of note 7, 8: note7a: 2014 nov independent value valued the land charged to amanah at 139mil. It was charged to borrow 115mil. Nov2014, apr 2016, nov 2016, AMANah to lelong it at 139.5mil, blocked by MPC. 7b: dev land was valued at $18.82/sf (dec2014) 7c: valuer DTZ letter dated 2 September 2016 (2015: dated 15 July 2015), the market value of 36 parcels of freehold agricultural and commercial lands with an approximate aggregate land area of 16.63 million square foot amounting to RM328.93 million (2015: RM313.13 million)= 19.78/sf note8(c): In financial year 2011, a subsidiary company, LHRD entered into a sale and purchase agreement (“SPA”) of dispose 46 plots of vacant bungalow land within Lakehill Resort City, Iskandar Malaysia, Pasir Gudang, Johor Darul Ta’zim, of approximately 375,351 square foot of freehold land in Mukim Plentong, District of Johor Bahru, State of Johor to a related party, Optima Mewah Sdn. Bhd. (“Optima Mewah”) for a sale consideration of RM16,890,815. (later terminated, no deal), Psf price=$45 Q: why 2prices such a big difference? WTF, need to find out 2014: sold 163 sub-divided residential lots with area measuring approximately 260,938.46 square feet is located on a 17.5 acres freehold agriculture land, recognized in 2016 http://www.theedgemarkets.com/…/mp-corp-sell-johor-land-rm9… http://disclosure.bursamalaysia.com/Fi…/apbursaweb/download… MP corp : debt 340m+ Mkt cap 34m=374m asset: MPL building auctioned at 255m (i expect to be sold below 200m) 485ac plentong land (has done deal at 30s to 50psf)=800m to 1b. Dato chng owns +-50%. 2016 ANNUAL REPORT: http://disclosure.bursamalaysia.com/Fi…/apbursaweb/download… annual REPORT ERRATa: http://www.bursamalaysia.com/…/company-announcements/5266333 mar2017 1Q lost 4.2mil: http://www.bursamalaysia.com/…/company-announcements/5448225 govt issues: http://klse.i3investor.com/servlets/forum/800001170.jsp… 1) director/ datin co lending to MPCB at 14% 2) da cruz is not independent at risk mgmt & audit committee cuz dating mona Chng se hua, doter of dato (2016 AR didnt have Da cruz) 3) MPCB sell land to own subs, to generate revenue so that it doesn't slip into PN17, not illegal but didnt seek shareholder's approval
287,660,000share x 12c, Mv= 34mil https://klse.i3investor.com/servlets/stk/6548.jsp 2016 june: RHB demand rm118m http://www.thestar.com.my/…/rhb-bank-demands-rm118mil-paym…/ historical profit, div, NTA, bonus etc: http://www.malaysiastock.biz/Corporate-Infomation.aspx… nov23 1994,wholly owned sub bought 878.5ac at $64m, aug 1995 , sold to another wholly owned sub at $118.3m 1996 , rahim& co valued it at $138.2mil 2008, valued at 450m, charged to EON bank, if $70/sf, 500ac is worth 1.5b or $5+ /share 500 Acres = 500 x 43,500, = 21,750,000 sq ft http://eaglevisioninvest.com/mp-corp-overlooked-undervalue…/ general announcements (lots of impo info)" http://www.bursamalaysia.com/…/list…/company-announcements/… jan18 2016 sued by JMB of wisma MPL?JMB proceeded with the Writ of Possession and taken possession of the management of the carpark on 18 January 2016. MPCorp has filed a notice of appeal on 28 March 2016. Unfortunately, the Court of Appeal has dismissed our application to appeal on 26 August 2016. http://www.bursamalaysia.com/…/company-announcements/5451553 RHB sued for 118m: Amanah raya sued sub: http://www.bursamalaysia.com/…/company-announcements/5446481 annual report pg90, note 32; 28 September 2012, the Plaintiff had served a Writ of Summons for the sum of RM113,170,308 together with interest at the rate of 7.20% per annum calculated from 19 September 2012 until the date of full settlement (“Judgement Sum”). The Judgement Sum was allegedly in relation to amount owing to the Plaintiff as a result of a Put Option exercised by the Plaintiff as per a Joint Venture Agreement between the Plaintiff and Oriental Pearl City Properties Sdn. Bhd. (“OPCP”) and a Deed of Undertaking between the Plaintiff and the Company. mar10 2014, reached settlement agreement with amanah but breached, Top Lander owned by biggest shareholders lent 5mil advanced 2pay amanah, (read annual report, very long) 2016 annual report: 2016 70m impairment of wisma MPL caused 83mil net loss. 2016 sale of plentong land $21m cause revenue to go higher land disposed in 2014 was recognized in 2016. in the middle of trying to sell MPL to pay RHB, trying to sell lakehill land to pay amanah raya interest, nego with few parties to develop lakehills. Yee wee meng , ho pui hold r 38 34, why so young? really no relationship with co shareholders? YEE is rich, at 25, aldy was director for a co in many biz why 3 exe directors r paid at least 250k, 400k, 1.3m pg55: sued by amanah: On 12 April 2016, the creditor had filed a Notice of Application to the High Court to fixed an auction price at RM139,500,000 for the sale of the seven (7) parcels of land in Johor which were pledged to the creditor. On 29 September 2016, the Defendants have obtained the stay of execution of the Order for Sale. On 5 October 2016, the court has fixed the hearing of the Plaintiff’s application to fix the auction date on 3 November 2016. (read annual report, very long) pg 78: note 13 ASSETS held FOR SALE is wisma MPL 250mil, charged to RHB, now auctioned in mkt as of june24,2017 44m Revolving credit interest is 9.35%, 75mil OD interest is 10.35%, 2015 may 26: sign JV with BINA puri to develop 412 DSL on lakehill 24.41ac, get cash21m+20% profit: http://www.binapuri.com.my/…/UploadedDocum…/DOC000000754.pdf JEWEL in hand, 485ac PLENTong land,last valued in 2008 $234mil, gearing =debt 340m/ equity 148=225%, cash=3mil 2015 dec: JV with china firm to develop APTEC fails: http://www.thestar.com.my/…/mpcorps-plan-for-aptec-falls-t…/ 2015 dec auditor & legal advisors made 13 recommendations are to maintain appropriate accounting records and documentation, and to maintain a healthy level of staff in the finance department. http://www.thestar.com.my/…/mpcorp-says-special-audit-has-…/ biggest shareholders keep selling until 2016: http://www.bursamalaysia.com/…/list…/company-announcements/… Wisma MPL, Jalan Raja Chulan, 23-storey office complex comprising a 19-storey office, 4-storey retail podium block, 2-level basement car park, some indiv units r sold, twice buyers abort the sale, 1st was Sg firm TERRA PONTUS, 2nd was Zitron. 2014: http://www.thesundaily.my/news/1281425 MPC management is looking for a strategic partner to jointly develop the landbank the group has within Lakehill Resort City, JB,. in annual report said that the group may consider surrendering the 7parcels of 188 acres charged to AmanahRaya Development Sdn Bhd (ARDSB) in lieu of payment of a RM115 million facility to ARDSB. MPC however believes that the plots of land are worth more than loan sum. The plots are part of MPC's entire 490-acre land in Johor Baru, which was last revalued in July 2008. Then, it carried a net value of RM241.32 million. Its revenue contributor Wisma MPL, which is located at Jalan Raja Chulan, was valued at RM320 million as at Oct 14, 2014. Ch'ng family's Top Lander Offshore Inc is the largest shareholder of MPC, with a 56.36% stake.
at i3, Kcc's and a few writing are worth reading all, i hope he wrong bit more on ROIC = Ebit/Invested capital and also EV/ FCF or ebit/EV, stil learning. Some ppl wil just nvr get it, shocks me to learn that even someone with accounting says thing with gongchart brain. "let me tell u 3 words that wil make u very rich, rmbr free cash flow"- Warrren edward buffett
guess where r these super-alpha stocks now? 1) march 1993, GRANITE=30c, yr end of 1993= $18. A 60 baggers 2)REPCO 199x, $2.50, 1-2yrs later, $2xx.xx 3)hup seng (biscuit producer) another 50 baggers, fr few Rm to RM1xx.xx
"investor is neither right or wrong because others agreed or disagreed with him; he is right because his facts and analysis are right." – Ben Graham help me to answer these: as early as 2013, KC was already writing abt furniture stocks, can anyone tell me why suddenly KKY removed KC from 1 of the 3 ppl managing some of kky's fund?
i do not know what happened but can anyone tell me?i think KKY gave rm20m or so to KC to invest,then suddenly KC is no longer his FM. AND KKY calls KC stupid, while furnitures stocks were KC top picks even long ago,but i dont see credit being given to KC! so what happened?>
1) here is the 3words that can make u rich, rmber "free cash flow"-warren B 2) in i3, i only read kcchong's writing 3) ppl regard me as very good in finance, kc chong by far is the best in FA,and right on money almost all the time in his writing, if u dont know how to appreaciate his writing, ur mental n inteligence level have some big defects
i hardly give such comment but ur writing is by far 1 of the those that r ON THE MONEY (aka accurate/ correct) and nearest to the right interpretation of value investing. m waiting for u to point out, "at some point, value and growth investing will converge if u deploy both correctly"
a young chap uses personal to trade CW/call warrant. 1 of his post on fb says he turns 198 into 200k. Hahahaa. Another fb group's admin turn 50k into 460k in 9mth. monish prabai, Cornwall capital have to step aside
FA alone works well, when u 1) think of urself as a partial biz owner 2)the mkt is close for X yrs, eg: 5-10yrs, ie u forget abt short-term swing 3)has a long term horizon. This is evidenced by the returns of TSH, Kulim, ijmplant, mah sing, i hold for very very long time though the person who bought for me, entered at a level much higher than i wanted. The return is in high teen excluding dividends for a period of more than 10years. I didnt follow i3 so tightly, not even OTB/ KCC writing. I dont know what is OTB's ROI pa for 10yrs but in the whole world, for the period >15yrs, not more than 5 ppl have achieve > 35% without leverage or derivatives. Even with leverage & der ivatives, only <15 have done that
such a long comment, all in, KC Chong is correct, too many rookies/ amateurs here, dont think anyone point out that buffett once said "remember this 3 words that wil make u rich, FREE C F ", hahaha KCchong,u r the man, so far, not many can match ur brain, dont worry abt 2 3yrs performance, seth karlman underperform for 5yrs during tech bubble