If you check the BS the investment in control entities is 152M assuming that this is the cost of KESAS investment then the gain will be 98M giving the EPS of 17 sen extra .
kesas was incoporated in 1993, that 152m unlikely the cost of amprop investment in kesas. afterall, kesas has contributed positively to amprop all these years
generally, after distribute and deduct kesas's debt according to each party's stakeholding, amprop sees roughly 37c per-share out of this deal
LO says 250m cash for 1m ordinary shares + 93.2m preference shares at $1 each, that's 2.65x already. such a good cash deal, yet ppl take profit today... actually, this offer also reflects juz how low amprop is currently trade against it's *real* NAPS, even if the deal not going thru, amprop is certainly subject to rerating.
aiyoyo, many take out the whole forrest for juz one tree today :D :D :D
potential RM98 million gain (17 sen per share)on disposal PLUS high possibility of higher revise offer by gamuda and yet the market choose to ignore these positive development. fair enough, slash down the price to 80 sen so that all of us will sapu much more
borrow HLIB number, Kesas 03'13 total debt is 253m, Gamuda now offer 875m for 70% stake, deduct debt 177m (253m x 70%) gets 698m. ratio of 3 pkns: 2 pnb: 2 amprop, amprop gets 209m CASH. 209m / 577m ordinary shares = 36c CASH per share.
if the offer is NETT, then it will be 43c CASH PER SHARE. this is not clearly indicate in the LO. anyway, whichever way u look, v r talking about at least 36c CASH per share.
by the time amprop announce special dividend then only retailers will rush in, as usual :D :D :D
actually, with or without this deal, amprop new solar plant is set to bring annual 11m income, plus hot properties sell in London... current price is truly a steal. well, that's securities market, nothing is always expectation... but time will tell :D
I bought in yesterday, plan to add more as I am guessing the market "overlooked" this deal, as they are too busy with Karex and Barakah yesterday. KESAS is a cash cow, and the traffic is increasing due to housing developments in Puchong / Shah Alam / Kemuning area. I hope they can negotiate higher price from Gamuda.
do a quick research on London central property market where amprop operate in, see the 1~3 years property price/rental trend for yourself. EU economy is now fully in steady mode and doesn't have tapering issue.
New IPO: The largest mini-market player and a leading groceries retailer in Malaysia, 99 Speed Mart Retail Holdings Bhd aims to list on the Main Market!
MQ Trader 217 views | 1 d ago
0:17
New IPO: An enterprise IT solutions provider that provides implementation services, maintenance, support and professional services, Vetece Holdings Bhd aims to list on the Ace Market!
MQ Trader 443 views | 5 d ago
0:17
New IPO: A manufacturing and trading of biomass fuel products, particularly PKS and wood pellets company, Elridge Energy Holdings Bhd aims to list on the Ace Market!
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
iafx
4,632 posts
Posted by iafx > 2013-11-06 14:48 | Report Abuse
taiong, the current price is incredibly low, lucky you! :D
btw, the solar plant is going to commission this qtr (http://www.bursamalaysia.com/market/listed-companies/company-announcements/1310293), annually 11m recurring income for 21 years.
couldn't think of any counter with such capability at this price, well, yr $ yr choice!