Discount factor of 10-13 % is too high. Imagine if your bank borrowing is 10-13% interest rate then no business can survive.
And with LSS4 solar project IRR of low single digit and if you applied NPV value with 10-13% discount rate then for sure the NPV cannot cover the peojwct cost/capital employed.
Normaly the discount rate used for NPV calculation should be about the country inflation rate.
Discount factor for npv should be slightly higher than borrowing cost. USD commercial lending rate is around 8.5% now so 10-13% is reasonable expectation of return from a large and risky project.
Even a 25% discount factor is too low. Risk premium for Jaks’ management abysmal integrity level alone is north of 20%, disregarding biz and industry risks.
Gotyou, since you know it can be precise and the source is unreliable since it verified but you sting publish . This is very irresponsible and motive motivated to suppress the price .
Quote,"I received a request to do a comprehensive cash flow projection based on the confidential table of capacity charges I received recently. He requested for NPV valuation based on the net cash flow using 10-12% discountrequested for NPV valuation based on the net cash flow using 10-12% discount factor. He understood that it is very difficult to be precise on a long term projection and he quoted me saying "You don't need to know the weight of a man to tell if he is fat" unquote
So is Aseng saying? 1. It was DK that provide the confidential table of capacity charge to Gotyou. 2. Gotyou use Aseng good friend DK' inaccurate DCF to mislead the readers here.
My question since DK is an accountant then I would not thik DK will ever make a request to Gotyou for NPV valuation based on the net cash flow using 10-12% discount?
Most likely all the above have nothing to do with DK.
Posted by Asengkianjoo > Jul 24, 2023 12:09 PM | Report Abuse Dk is my good friend , he does not agree with what you did. He will slap you .
Most likely above is false. If it is true then Asengkianjoo can just call up DK and make clarification with DK and not simply talking without sense in this forum.
Why claim ignorance when KYY and later OTB had leave JAKS for good and red flagged poor/bad management and trustworthiness/integrity of BOD especially ALP?
As a trade no one will stop you to bottom fishing but as an investment the above article is very useful in telling you, you need to wait till 2031/32 to see a positive cashflow.
I believe i3 forum is a good place for everyone to post their diverse opinions/views on investment so that all can benefit from the diverse information and make their informed-investment decision.
As should everyone/anyone believe in God? That is an answer between everyone/anyone and everyone/anyone creator.
GOTYOU :I received a request to do a comprehensive cash flow projection based on the confidential table of capacity charges I received recently. He requested for NPV valuation based on the net cash flow using 10-12% discount factor. He understood that it is very difficult to be precise on a long term projection and he quoted me saying "You don't need to know the weight of a man to tell if he is fat". ..................................................... 1. who is the one requested you to do so ........ YOU DOT KNOW ? 2. how reliable is his shared information is valid and true ? ...... YOU DO NOT KNOW 3. What is the damage that will be done to the public if the information is not accurate ? .............. YOU DO NOT KNOW
i had deleted all the post . very very sorry . I am sinful. I will punish my self to donate RM 200 to UNICEF for the wrong I had made . please forgive me my good friend
Posted by Asengkianjoo > 4 days ago | Report Abuse If I were gotyou , I will keep quiet .let the mistake be mistake rather than to make another mistake after 2 mistake
Posted by Asengkianjoo > 4 days ago | Report Abuse Gotyou, do you know it is me who share with you the information . I never expect you can he that easily cheated
PP and RI are also nothing NEW !!! Jaks is small company doing a mega project . I have an earthwork construction company, my company also facing cashflow after MCO no works and we wish to replensish our mechinery to enhaance the company profitability . after all the PP , now we we among the top subcontractor in the field . what is the big deal of the cash squeeze , if the company still has a strong income from the power plant to restructure the repayment if needed . why amke thing so complicated . cash flow is just temporary , it can be resolve when the core business is still promising . you are an outsider , not even has a business of your , what nut do you know well other than playing with the figures
really Beh-Ta-Han ..., first time may be it is your ignorance . second time may be you are egoitic . third time now . i have good reason it is motive driven to supress the price to accumulate at low
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Posted by Gotyou > 2023-07-23 15:59 | Report Abuse
I consider DK my sifu. Who are you, PureBULL...? Are you holding Jaks ?