An important development took place on 7 Oct 2, at the resistance broke of 0.825. This breakout comes with a good volume so good possibility to the price go higher.
I bought at 0.82 .on Thursday. Wanted to buy more yesterday, but couldn't get. I believe Hexza will move up very soon. Gonna accumulate more on Tuesday.
While cruising along Qr numbers reported by companies, we stumbled upon this unique company that do not have many published info for potential shareholders. Some quick available commentaries;
1. Been accumulating this counter slowly below 80cents. Rightfully, they have RM80m in cash and zero debt. Cash generating company with yearly dividend since 2001. Consistently paying out... the last 22 years. Foong family is truly remarkable. Out of the 200m shares, only 93m @46% are controlled, 107m shares are up for grabs. What's the target and why? follow me closely... kiasu and buy some whenever you can below 80cents.
2. decent qtr numbers, best news is ethanol production normalized... means better revenue and bottom line for next quarter...
3. be more specific Total Assets 253,643m vs Total Liabilities 6,388m.... means peanuts or as good as nominal
4. Cash per share doesn't determine the stock price, cash per share tells us the percentage of a company's share price available to spend on strengthening the business, paying down debt, returning money to shareholders, and other positive campaigns.
5. Total Liabilities 6,388@ 6.4m ÷ 200m share is 0.03, vs Cash 0.387 = Net Cash 0.357 per share
6. At non current asset there still have 114,143m for investment. If that's like stock investment than this company is damn rich.
7. pls read the notes for 114,143m for "Other Investment"... it is liquid cash, the mgmt invested the amount @ equity shares (20% in Malaysia stock market & 80% in foreign stock market)..... this company is crazy f?uk!ng damn rich, 77m in their piggy bank and 114m in stock market = 191m cash.
8. Hexza have 77m cash + 114m investment in share market (refer note 16&30 from 2022 AR) = MYR191m cash. Simple calculation: cash 191m / 200m shares... it's whopping 0.955 cents! Minus liability of 0.03 cents... you have net 0.925 cents per share......those looking into this counter, pls read their Qtr notes. Its amazing investor don't see this....
9. today's announcement means 77m cash + 148m quoted securities = 255m. Cash per share 255/200 : 1.275 cash per share
So it seems to us GHOST that this company is riding on "Cash is King" old skol concept and is doing pretty well along the way.
Diam-diam ubi berisi, every quarter make couple of million, not too much, not too little, just to satisfy shareholders... excess cash go and invest in quoted securities... meaning stock market la... we think 80% in foreign stock market... we hope its US and stocks like Tesla, Berkshire, Airbnb, Roku etc.
But how come share price so cheap and drop somemore ? if Hexza ada MYR255juta, sebiji share is 1.275 cash... itu is extraordinary.
We the Ghost think some shareholders are disgusted with the management for not putting enough money into the business and generate more operating profits. Rather, for safe play, use interest earnings & dividends from the investment and declare just enough as Dividend for the shareholders.
The Ghost will investigate more... and we incidentally invested some at 73cents recently too.... hahahaha
Will vomit more info as we roam around IPOH for data about this company.
Market Cap is 146m, owners owned 46%.... pressing down the price means CHEAPER to privatize the company to secure total RM255m cash (belum kira operating business valuation). NTA RM1.19 & Cash per share RM1.275. Shareholders will be at their mercy..... this may look like a corporate raid....
The Ghost is of the same opinion, owners owned 46% @ RM67m... if their offer to privatize at 90cents, they need to fork out RM97-100m. The lower they press the price, the better their offer deal to shareholders....
So with capital of 67m+100m = 167m, they can have access to the company's 77m piggy bank and 148m quoted securities. Plus the operating business + NTA + etc..... pretty good deal, as a matter of fact, superb obscene deal....
damn, we Ghost also don't get enough.... buy 73cents - sell 90cents .... 17cents sahaja @ 20%+... short thrill
Need to force them to offer higher price... minimum also NTA @ 1.19.... which we think they are still ok. Let us Ghost be correct this time.
The Ghost. We went to ipoh and back to scout for information. Many interesting theories for disclosure and discussion… hahahaha…. 1. There is a theory that the company may consider selling its business to Ancom Nylex… the Daigo in the industry. Let’s take the PAT for the last 3 years and average, you have an average of RM10.5m. PE 12x (assumption) @ 126m. Existing properties value about 21m. Add in some premium (IP etc) about 160m.
Let’s say the deal is 160m. Hexza would have 77m+148m+160m = 385m. This 385m will be distributed to shareholders, not all but I think mgmt may retain 35m as expenses and to buy another business like what SCGM did.
So 350m for CASH distribution 350/200m shares = 1.75 per share.
The major shareholder owned 47% of 200m shares = 94m, so 94m x 1.74 @ 164m Plus they still control the listed entity (maybe worth 20m).
All in all, 164m cash in the pocket + 35m in company to build another business + 20m for the shell listco.
We as shareholders, what do we get? Capital (entry) 73cents – Cash offering 1.75. This amount is seem to be the initial privatization offer price of RM1.80 many years ago.
We can double our capital… ok la… Bila mau announce and jalan? Tunggu official annoucement 2. Theory No 2 – will share later… need to validate the conspiracy theory… hahahaha
Hope the GHOST’s supporter will enjoy suspense and speculations, makes your life more enjoyable once you get into any company by buying their shares.
Terbang888888 - We speak only you know, we don't spill the beans you won't know. If you want to know more, we will tell more. We are a story teller with many shadows behind us, we share half truths, you need to observe what is more acceptable to you.
jcb1357 - please avoid getting scammed or scam ppl. Period. My number +65-444 4444, call me, we YC at Cafe 666, 44 Road, 66666 District LLEH.
LelakiKelawar888 - we recommend you to beli 50biji sekarang. 50biji kalao naik 80cents. 20biji kalao naik a dollar. Jual semua from Sedollar dua hingga sedollar lapan.
The Ghost will explain the actions based on a balance of probabilities. BUY now - below 80cents @ MYR800.00 or lower.
Advantages 1. Cash per share back by 1.275 (means if u invest MYR800.00 untuk sebiji - FD belakang MYR1,275.00) 2. Operating profitable business with DIVIDEND every year for the last 20 YEARS! Sebiji share @ can get MYR40.00 or more (average la) 3. NTA MYR1.19 sekarang 4. MYR148m quoted securities & money market MAY explode 2x (if 80% of their investment is in US/overseas, since they bought it low and have been getting dividend as well) 5. Chemical industry / business (CICM) GROWTH “The export of chemicals and chemical-related products for 2021 recorded a figure of RM70.68 billion, showing a significant growth of 39.3% compared to 2020,” 6. Potential M&A deal for MYR168m 7. Potential privatization deal for RM1.80 sebiji 8. We, the GHOST are rarely wrong!
Disadvantage Only 1 simple very important fact, if share price goes below 70cents, then cheap valuation. What happen? Eagles, Lions, Alligators... wolfs will come and maul the counter. Then panic attack, may lose control.
8 Advantages vs 1 Disadvantage = Balance of Probabilities
Terbang888888 - Kami diberitahu dari kawan-kawan dari tingkat -18. Pertukaran Drebar kereta dah bermula. Sila pegang kuat-kuat, jangan terpelanting dalam perjalanan kereta ke langit.
Batman888 dan Fly888888 - kamu berdua macam orang yang sama ye.....
Untuk pengetahuan kamu berdua atau kamu, pertukaran tidak boleh bertukar dalam sebulan, cerita planning perlu sekurang-kurangnya, 3-6 bulan, kalao nak melonjat tinggi... 9-12 bulan...
Jikalao tidak boleh menunggu, sila lepaskan peluang ini.
QR results are out! Signs of progress and improvement... good PAT to begin with... Just that a shareholder is running out of patient, selling everyday and pressing down the share price gently...
After this QR result, the engine will start for a Grand Financial Year end closing ... to disclose the best last QR and a very very interesting corporate proposal to reward all the shareholders (not dividend).
Batman888 - nanti i tegur superman jumpa kamu k. Fly888888 - kalao u tunggu dividend, baik jual semua sekarang & fokus OctaFX, lagi menakjubkan.
Needless to say.... Mr SS Loh, we make money diam-diam cukup... nanti advertise, orang said you tipu, scam, rubbish etc.
Yes, this will spike when the time comes. When it does, hard to follow. Lesson learned - buy now when its backed by intrinsic value. Only a fool will sell below its value.
as at 31 Mar, the other investment stood at RM170.248mil, equivalent to 85sen/share. As the US tech stock share price keep going up, especially Nvidia share price already up 53% and Facebook up 35%, easily other investment will hit RM200mil.
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....
hooi
1,773 posts
Posted by hooi > 2021-10-31 10:41 | Report Abuse
bonus issue