Posted by imoogi99 > 2016-09-23 11:32 | Report Abuse

"Upon completion of disposal, Ekovest will receive CASH RM1,130,000,000"...

Good article but how come mentioned abt CASH but nothing on debts of Ekovest?

Posted by WealthWizard > 2016-09-23 11:33 | Report Abuse

I will discuss in details about Balance Sheet of Ekovest in my next article

Posted by WealthWizard > 2016-09-23 11:34 | Report Abuse

It will be too much info/details if all written in one article, hope understand, thank you.

Posted by WealthWizard > 2016-09-23 11:36 | Report Abuse

The Islamic Medium Term Notes of RM1.7 billion is under Kesturi, so the debt is taken care of within Kesturi.

I will disclose detailed balance sheet of Kesturi.

Posted by probability > 2016-09-23 11:50 | Report Abuse

Really need to go through this over the weekend

Posted by WealthWizard > 2016-09-23 11:52 | Report Abuse

Thank you, probability

Posted by moneySIFU > 2016-09-23 12:03 | Report Abuse

Another great written article, you've done it again, thank you for sharing, WealthWizard

Posted by moneySIFU > 2016-09-23 12:05 | Report Abuse

A BIG LIKE!!!

Posted by WealthWizard > 2016-09-23 12:21 | Report Abuse

Thank you, moneySIFU.

Posted by WealthWizard > 2016-09-23 12:42 | Report Abuse

Many (including me) have thought that Ekovest raise lots of loans to finance the construction of Duke 2.

After reading the audited accounts of Kesturi, I realised that all loans were taken up under Kesturi, not at Ekovest level.

So, Ekovest sells 40% shares with loans to EPF for RM1,130m CASH.

Posted by CFTrader > 2016-09-23 12:43 | Report Abuse

paperplane2, where are you ?
Hihihi, kita huat chai liao eh

Posted by Mgician > 2016-09-23 13:13 | Report Abuse

Like !

Posted by WealthWizard > 2016-09-23 13:24 | Report Abuse

One must know, Ekovest is only selling 40% stake in Kesturi, not all.

So Kesturi is still subsidiary of Ekovest & Ekovest will continue enjoy the growth & future profits of Duke 1 & 2.

Posted by paperplane2016 > 2016-09-23 13:28 | Report Abuse

haha.....good.

Posted by paperplane2016 > 2016-09-23 13:29 | Report Abuse

congrats CFTRADER. I am looking to buy more. Now lower than 2.

Posted by paperplane2016 > 2016-09-23 13:30 | Report Abuse

but in accounting, Ekovest will have debts sharing if not wrong. Also, Ekovest still got high debts due to Duke 3 also.

Posted by WealthWizard > 2016-09-23 13:37 | Report Abuse

Ekovest has been staying low profile & working very hard in planting seeds at various areas.

With the cash sale of 40% stake in Kesturi, no right issue or loan drawdown are needed to go BIG!!!

More than triple of current market value in 2-3 years time!!!

Posted by Benjamin_8888 > 2016-09-23 13:38 | Report Abuse

Thanks wizard but need to wait for your part 2 first and korek some info from my friend, I'm a bit careful with mr lim company.

Posted by WealthWizard > 2016-09-23 13:39 | Report Abuse

Everything will not possible if no money, that's reason Ekovest asked money from shareholders to buy Duke 1 via right issues in previous years.

With all now start to bear fruit & delivering, there is only one way to go, UP!

Posted by paperplane2016 > 2016-09-23 13:48 | Report Abuse

hope for special div soon to further push up prices

Posted by kelly89 > 2016-09-23 14:08 | Report Abuse

Thanks for sharing..but looking at whole global economy..crisis can happen anytime soon..2 to 3 years too long

Posted by WealthWizard > 2016-09-23 14:12 | Report Abuse

Kelly89, Duke 1 & 2 are collecting money no matter how's economy doing.

Duke 3 construction is in place already, all construction order books are contracted.

Unbilled Property Sales are also signed & contracted, money will come once construction is completed to the particular completion percentage.

So, it is bullet proof to external economic conditions.

Posted by WealthWizard > 2016-09-23 14:17 | Report Abuse

Look at Litrak where LDP is main road across Petaling Jaya now.

Duke 1, 2 & 3 will be main roads across KL. Imagine the huge potential.

Posted by WealthWizard > 2016-09-23 14:18 | Report Abuse

MRT will ease certain area traffic, but most people will still choose car travelling due to whatever reasons.

Posted by probability > 2016-09-23 15:33 | Report Abuse

Dive in already.

Posted by probability > 2016-09-23 17:56 | Report Abuse

some old information:
http://www.thestar.com.my/business/business-news/2016/05/21/unpolished-gems-in-ekovest/

hope Datuk Haris Onn Hussein had done with his disposals..
there are many reasons for one to sell..but there could be only ONE reason for a large number of buyers. They expect the price to go up in the future.

Posted by WealthWizard > 2016-09-23 19:06 | Report Abuse

Thank you for all the feedback & replies.

Since many are concerned about debts of Ekovest, thus the priority of my next article will focus on the detailed study of Balance Sheet & debts of Ekovest.

Posted by ronnietan > 2016-09-23 20:59 | Report Abuse

You read UOB Kay Hian's report today on Ekovest?
Its TP is RM3.00 based on sum-of-parts.
As for debts, UOBKH stated Ekovest's at RM450 mil, leaving long-term debt of almost RM5 bil in Kesturi.
I believe the public doesn't relate well to sum-of-parts, which leaves a lot of room for subjective estimates. The public relates more to PE, EPS growth, dividend yield.

Posted by WealthWizard > 2016-09-23 21:07 | Report Abuse

Thanks for sharing, ronnietan, do you mind if you can share the report with us?

Agreed to what you said, for company like Ekovest, past historical figures were merely an indication of what were happening. It supported the ability of a company for what can it do in future.

I will explain this area in my part 3 or 4 article then.

Posted by ronnietan > 2016-09-23 21:28 | Report Abuse

Hmm, let me ask someone how to copy n paste to this site. I'm from before digital age. :(
Or give me an email address i can forward to.

Posted by paperplane2016 > 2016-09-23 21:50 | Report Abuse

Mr.tan kW, can help Ronnie? Interest to read uob report

Posted by WealthWizard > 2016-09-23 22:45 | Report Abuse

Or you can email to me at wealthwizard.invest@gmail.com, I will help to put it up here.

Posted by paperplane2016 > 2016-09-23 22:53 | Report Abuse

Yes! Thanks wizard!

Posted by WealthWizard > 2016-09-23 22:56 | Report Abuse

Welcome, paperplane

Posted by Jon Choivo > 2016-09-23 23:19 | Report Abuse

Thanks for your research. Its really good. Im in =)

Posted by WealthWizard > 2016-09-23 23:27 | Report Abuse

Thank you, Jon Choivo, I will try to write from different areas in my next few articles.

1. Financial position & debts
2. Toll & construction business
3. Property & EkoCheras

Think need 3 more parts

Posted by WealthWizard > 2016-09-23 23:28 | Report Abuse

Hi Paperplane, any thing want to add? So I can dig into it.

Posted by WealthWizard > 2016-09-23 23:28 | Report Abuse

Toll business is kind of guarantee thing, if the highway is within city, especially in KL or PJ

Posted by moneySIFU > 2016-09-24 09:57 | Report Abuse

Wow, when WealthWizard wrote CRC, the Star Bizweek talk about the closure of Megasteel in one full page (page 3).

Now when WealthWizard write about Ekovest, the Star Bizweek talk about Ekovest's responce in highway sale in one full page also (today's page 5).

Thumbs Up!!!

Posted by moneySIFU > 2016-09-24 09:59 | Report Abuse

Very much look forward for the next 3 parts!

Posted by WealthWizard > 2016-09-24 10:07 | Report Abuse

Thank you, moneySIFU, I can't talk much about my relationship with bizweek. Hope you understand.

Posted by WealthWizard > 2016-09-24 10:09 | Report Abuse

After interview with the Managing director of Ekovest, he confirmed that the construction order book in hand now stands at RM6.32 bil!!!

You are expecting profit of RM632 million over the next 3.5-4 years from construction division only!!!

Posted by WealthWizard > 2016-09-24 10:11 | Report Abuse

The highest cover ratio among all construction companies listed at Bursa.

Posted by WealthWizard > 2016-09-24 10:13 | Report Abuse

My immediate term (6 months) target price = RM3

Long term (2 years) target price = RM4.5

Posted by WealthWizard > 2016-09-24 10:20 | Report Abuse

I think what paperplane is correct, Ekovest is very likely to distribute special dividend to shareholders, look what was said by the MD in the Star Bizweek.

"On the proceeds of sales, Lim says the company needs some vitamin M to build up its war chest for its expansion and will give back some returns to its shareholders"

Posted by WealthWizard > 2016-09-24 10:21 | Report Abuse

The advisor of the deal, Astramina's Wong, says the details would be announced in 30 market days. She hints that the returns to shareholders is likely to be higher than taht of the current yield of about 1.5%.

Posted by moneySIFU > 2016-09-24 10:37 | Report Abuse

Wow, suddenly so many good factors, thank you for sharing, WealthWizard

Posted by probability > 2016-09-24 12:51 | Report Abuse

moneySifu...I am not a subscriber of the Star newspaper. Wish I could see the news you were saying Pg5.

http://mystar.newspaperdirect.com/epaper/viewer.aspx

I even tried free trial registering online and it did not work. May be you can print pdf and post in i3 if its possible? :)

Posted by probability > 2016-09-24 12:56 | Report Abuse

ronnietan, if you have access to the pdf, please mail to me at i3investor1@gmail.com Really appreciate it. Thanks

Posted by moneySIFU > 2016-09-24 13:06 | Report Abuse

Ok, probability, but can only do it in late evening