Posted by Philip Greta > 2019-12-21 12:05 | Report Abuse

I fear I have found the answer to my question:

Felicity has a very good way explaining some important facts clearly.

Dear SSLee, you may want to consider contacting felicity to find out more information more than hanging out with datuk tan and wong who have conflict of interest in telling you everything is going to be great and wonderful, instead of a real truths.

My opinion, insas own personal business will not be growing a huge rate in the future, thus suffering from very low esteem (PE) and expectations from majority of investors. none of their cradle businesses are growing at a fast rate or generating income. In fact, I have been to their brunei to look for sengenics office, but it seems very different from all the promotions.

https://www.theedgemarkets.com/article/kl-based-sengenics-opens-us11m-facility-brunei

just to realize there was nothing there and it was all a scam.

https://www.emis.com/php/company-profile/MY/Sengenics_Sdn_Bhd_en_4242257.html

this company has reduced revenues, has never been profitable, and will never be.

The main purpose in owning insas as you said is its access to the shareholdings of inari. Therefore the main question becomes: What is the long term future of inari? read below.

My advice sslee, if you do not want to plan ahead on where to eat your dinner and how much you want to pay for it? you may find yourself in a huge traffic jam on the way there later, and a small embarrasment when you realize that RM100 is not enough to pay for the meal.

Investing is hard work. Never become like my office general labourers who only work every day for RM50 a day, looking forward to the next paycheck without caring.

If you want to move forward, you must be prepared to ask if the boss has enough money to pay the workers next month. if not, jump ship.

>>>>>

While Broadcom has great cashflows, it however will want to do something before it can do another deal. Hence, it needs to sell before it can buy big again. Hence, the plan to sell the RF division. Anyway, in the next generation 5G technology, Broadcom's RF may not be at a huge advantage anymore. Several new companies are moving big into it, and it is ripe time to sell. Remember, Broadcom is not that much of a technology visionary but a company which manages its technology dominance very well.

What then will happen to Inari? For those who may not know, the RF business is huge for Inari as compared to its other businesses. It is also probably more profitable. Will Inari continue to still obtain jobs from its new acquirer assuming the business is sold. I would not want to make a guess. However, one thing I can be quite certain is that the relationship would not be the same. One must remember, it was Broadcom which gave opportunities to Inari back in 2006 (around) when Avago then wanted to focus on being a factory-less company. It was looking for companies or entrepreneurs to take over the manufacturing (packaging) business. In fact, at one point of time, Avago was a shareholder of Inari prior to its listings.

The industry knows the relationship between Broadcom and Inari. Will Broadcom gives Inari business from its other product line? That is up to Inari to prove itself. One thing as well is that the age of important decision makers from Broadcom which provides the opportunities for Inari is not so bright for Inari's future as they have reached (or almost) retirement age.

The way I look at it, with the share price of Inari trading at 30x PE (after the recent drop) and given that the future is uncertain - it does not look too good. Inari will definitely be there but it has to look for other deals which may not be as lucrative but to grow.

My worry is that the cradling stage for the largest Malaysian semiconductor company - by market cap - may be over soon and it has to look after itself and it may not have the strength to do so - if you know what I mean.

Posted by felicity at 2:13 AM

Posted by stockraider > 2019-12-21 13:16 | Report Abuse

An important lesson to refute Philip misconception on Insas loh....!!

Insas carrying cost on Inari is Rm 202m or Rm 0.33 per share loh...!!
This Inari contribute Rm 40m profit to insas mah....!

Insas have nta rm 2.65 based on 693m share that means it total shareholder funds is Rm 1.83b, even if u minus Inari rm 202m the shareholder funds is still at Rm 1.63b or rm 2.35 per share loh...!!

Even inari at lower share price today at Rm 1.64 based 599m share held by insas, its mkt value its worth Rm 982m loh...!! This means we add add additional Rm 1.47 per share to insas on inari, that will give Rm 2.35 plus Rm 1.47 = Rm 3.82 NAV per share loh...!!

On insas profit if u take out inari contribution of Rm 40m, it still give Rm 42m profit to insas....which means a generic eps without inari of Rm 0.06 mah....!! With inari insas eps is rm 0.12 per share mah...!!

From the above u will have a very good idea how resilience & how very big is Insas margin of safety at current share price of Rm 0.84 loh...!!

Thats the reason why Insas is a strong buy mah.....!!

Posted by stockraider > 2019-12-21 13:51 | Report Abuse

Coming back to apple acquisition of Broadcom RF business logic & its impact on apple!

1st of all broadcom Rf is a big supporter of apple and inari is a big supporter of broadcom & supplying more than 85% of inari chips to broadcom, surely inari is a very important partner to broadcom.
That means apple side of the business is more than secure since apple is the owner of broadcom RF mah....!! That means apple side of the business Inari is okloh especially with trade war still on going loh..!!

2. The question is whether apple will allow broadcom Rf continue to deal with other phone makers or other phone makers may wary bcos apple is the new owner....the exposure is about 15% to 25% of Broadcom rf business loh..!! That means around 20% of inari business is expose loh...!!

3. Now if we take the worse scenario, if we assume all the rest of phone makers switch suppliers from broadcom rf....that means it only depend on apple alone loh! Apple being the Largest company in world & very innovative, it will continue to growth in the western world & being a supplier to apple u cannot be that wrong mah...!! That means it is ok for inari even it means in the worse scenario Broadcom Rf only supply to apple alone loh....!!

4. Btw in event all the other phone makers switch suppliers bcos apple is the owner, this is highly unlikely scenario bcos of the trade war, the likely scenario is that, they want to hedge their bets of totally relying on the chinese manufacturer mah, in that case Samsung, HTC, Nokia and Japanese Phone Makers will go Broadcom RF & business still can be retained Mah...!! That Means Inari still can get a good share of non apple business from broadcom rf loh...!!

Posted by Philip Greta > 2019-12-21 17:14 | Report Abuse

Stockraider you are a failed investor.

With your loud loud postings, until no one can see anything else:

You say hengyuan fair value 35,
You say bjland going to fly from buyout,
You say sapura rm3,
You say many many many bullshit.
You say QL overvalue and going to crash.
You say insas 90 cents by 31st August.

What makes you think anyone still trusts you and believes what you say?

Posted by Philip Greta > 2019-12-21 17:18 | Report Abuse

The only reason why inari was given the contract is not because inari was special.

It is simply because hock e tan the GM of Hume back then made friends with inari engineers, when he became CEO of Broadcom he gave a chance to Malaysia osats to do something and try to be competitive. But is inari really competitive or is simply because a Malaysian give chance to other Malaysians.

Think it over carefully.

Now that Broadcom is peddling RF unit away, do you think new owners will give the same chance to Malaysian company? Or will they begin pressing margins, finding cheapest source and squeezing suppliers?

Posted by Sslee > 2019-12-22 00:42 | Report Abuse

Dear Philip,
Thank you for your concern on my welfare, I am capable of managing my own welfare and make my own financial decision. As of Inari, I had said before when one door closed, another opens.
https://klse.i3investor.com/blogs/Sslee_blog/2019-12-21-story-h1481234271-My_Take_on_Year_2019_An_Eventful_Year.jsp

Thank you
P/S:The issued and paid up share capital of Sengenics Corporation Pte Ltd is US$953,000 and its unaudited shareholders’ funds as at 30 September 2018 is US$4,498,000.The gross revenue for the 9 months period ended 30 September 2018 is US$1,600,000 and it incurred a loss of US$1,700,000.
Sengenics has a patented proteomics technology and it has signed licensing and collaboration agreements with some of the top pharmaceutical companies in the world.

The equity structure of Sengenics includes :
Dr Arif, Dr Jonathan Blackburn, Mr Johan Iskandar (promoters) 60.6%
INSAS17.4%
SBI Islamic Funds (Brunei) 13.0%
Hanns Ventures 9.0%

Posted by Sslee > 2019-12-22 07:59 | Report Abuse

Dear all,
For those interests on Inari 2019 minutes:
http://www.inariberhad.com/img/ir/2019%20AGM%20minutes%20(Key%20Matters%20Discussed).pdf

Block A in Plant 34 has been allocated to the customer as scheduled and as of the AGM, we opined that business relationship between Inari and the customer remains intact
A number of potential customers have visited the plant and indicated their interest in Block C. The Company will make the necessary announcement when there is new business collaboration
The new products mentioned are new RF products, higher speed fibre-optic transceivers and 3D facial recognition products
Yes. There are many other products which require5G such as sensors and IOTwhich could be added to the Company’s product portfolio
If the move results in an increase in smart-phone sales, it will be a good development for Inari
We have been working on the IRIS Scan facilities and equipment deployment to Health Sensor, 2D and 3D facial recognition after customer declared the end of IRIS application in their new coming smart-phones. We had successfully qualified the Health Sensor, 2D and 3D facial recognition products and in production mode currently
Presently, our priority is more on the ramping of 3D into the coming newer 5G smartp-hones. We anticipated the IOT contribution should around 8% -10% of the overall revenue stream in FY2020.

Thank you
P/S: I am surprised people choice to believe an armchair analyst that never attended any AGM but just trying to put up an attention catching article (speculation without any facts) to draw in the volume to his blog.

Posted by paperone > 2019-12-22 10:10 | Report Abuse

Spuing all fact's about the company is useless when the share price does not reflect all the fact's. Walk the talk don't talk the talk

Posted by 3101575000 > 2019-12-23 10:37 | Report Abuse

Got my yr end bonus, bought one more batch @ 0.835.

Posted by Insasman > 2019-12-23 14:03 | Report Abuse

I really pity the warrantholders who can’t even sell their holdings at a miserable half sen

Posted by sohaitrader > 2019-12-23 14:51 | Report Abuse

i bought 1000.00 worth of insas wb ... yeah .. now i guess maybe BUrned... haha

Posted by sohaitrader > 2019-12-23 16:23 | Report Abuse

815 also come .. haha ..

Posted by Thinkcarefully > 2019-12-23 16:57 | Report Abuse

Ya, game is not over until its over

Posted by SpicyMcDeluxe > 2019-12-23 18:06 | Report Abuse

Vroom

Posted by ivan9511 > 2019-12-23 18:55 | Report Abuse

Insas is very undervalue now

Posted by Kukuman > 2019-12-23 19:14 | Report Abuse

It has been undervalued 20 years ago

Posted by Insasman > 2019-12-23 19:15 | Report Abuse

Insas wb is dead man walking

Posted by i3lurker > 2019-12-24 12:22 | Report Abuse

there is no problem at all.

with 4G being obsolete soon and 5G chips being hot hot later

there is totally 100% no need to worry about obsolete chips.

obsolete chips for 3G and 4G will still be in huge demand from countries like Somalia which will NOT be implementing 5G anytime now.

Posted by investor77 > 2019-12-24 21:13 | Report Abuse

Insas warrant going to expire. Conversion price is at a high price of 1 rgt, which Insas cannot achieve unless someone unlocks its value of more than 2 rgt.

Question is why everybody knows it is undervalued and yet Insas's price .cannot go beyond 1 rgt ? Why is this so, is someone manipulating the share price ?

Warrant holders are left high and dry. Cant the board extend the tenure of the warrant ? Cant the Par Value be reduced to 80 sen, so conversion is at 80 cents, at least giving some value to the warrants ?

Posted by sctan > 2019-12-24 21:25 | Report Abuse

Warrant conversion value is not same as par value. And just because the share price is below conversion value, need to lower the conversion value? Maybe free conversion of warrant to mother is even better. Lol!

Posted by sctan > 2019-12-24 21:33 | Report Abuse

One thing correct is new share issued price can not be lowered than par value.

Posted by investor77 > 2019-12-24 21:34 | Report Abuse

What situation, or possibility in the short time, that can arise to make Insas share price go above RM 1 rgt.?

At least warrant holders can get some value to their holding,say a few cents. !!! Better than tangan kosong !!

Posted by dragonslayer > 2019-12-24 22:37 | Report Abuse

Aiyo...why no see the black cat lately....takda shouting Cantekkkkkkk.....lol....boss still havent show his last card kah...left less than 2 moons leh....so secretive lagi kah...boss still so kiamsiap.....xmas day...no give xmas gift one.....dunno Chinese New Year ada give angpow or not leh....boss is pai angmoh gong..or...teng lang gong one..anyone one know kah.....lol...aiyoyo...kikiki

Posted by Insasman > 2019-12-25 08:07 | Report Abuse

It’s risk free gambling - buying at 82 sen to get RM1 MGO is 22% for 2 months or 11% per month!

Posted by Insasman > 2019-12-25 11:20 | Report Abuse

Sorry I meant risk free investing

Posted by investor77 > 2019-12-25 12:00 | Report Abuse

Proposal for Win Win Situation for warrant, ord shareholders.

As 888 suggested, create a situation or rumours that Insas shares will go up in price, above RM1 ! How to do that, easy ! If there is wind or suggestion by Insas board that it proposes to reward shareholders by giving Bonus of 1 to 1 and/ or issue new Warrant in ratio of 1 to 2, then Insas price will go up.

Another way, a white knight can buy up to 10 % of share capital by buying outstanding warrants at 0.05 cents and convert to ord shares to convene EGM. Then he can propose the above to Insas board.

Then, when share price just go above RM 1, all outstanding warrant holders will convert to ordinary shares rather than zero warrant value. Company will get lots of cash to offer higher dividends, and white knight will gain as share price will be higher than 1.05 rgt.

Any comments ?

Posted by investor77 > 2019-12-25 13:38 | Report Abuse

Fundamentals of Insas is superb. NTA of RM2.50, eps of >10cents, PE <8, DY of 2/80, 2.5%. Some Funds that are smart enough like London Trust, trying to take over iCapital, maybe can buy up and take control, and then break up, sell Inari shares and the Stock Broking, Leasing, etc and he will really gain a lot !!!

Investors like Leno and other Value Investors have been buying lots of Insas as they know it is grossly Under Valued for a long time. Question, many have been asking is - Why is the price of Insas so low, for a very long time. Most recent it touches RM1/- is in 2017 !! A blogger, like KCChong, Alex Lu, Calvin Tan, or others, should do an article on Insas to inform investors of a very Good Buy.

For how long is this situation of 80 cents value, going to last ? Major shareholder is afraid of buying more than 33 % as it will trigger MGO. So, the only way is to convince people to buy the Mother Share as by any count, it is grossly UnderValued, and they will be rewarded in due time. It only takes a little spark to get a fire started, and that little spark could be that someone is taking over Insas !!

Posted by Insasman > 2019-12-25 13:57 | Report Abuse

I think the chongker has bought the 170m wb to burn, to ensure that he will be the only substantial conversion come February at which point his shareholding will increase from just under 33% to about 40%

This will then trigger the MGO at RM1, the conversion price and he will make sure that another 10% accept the MGO to make it unconditional

He will then slowly buy up the shares until he has sufficient say 70-80% before he unlocks value

We minority shareholders can only hope for the RM1 crumb - you can forget about getting any more unless you are prepared to wait one or two years for the unlocking

Posted by Insasman > 2019-12-25 14:10 | Report Abuse

You give too much credit to the chongker

If I were the chongker, why would I admit newcomers to the party - as the saying goes less men more share

If you do the sums, you will see that the chongker stands to make over RM500m from the value unlocking if the MGO is successful

What is a few sen to him (to buy us out) when he stands to make at least RM1.50?

We can always rely on basic human greed

Posted by investor77 > 2019-12-25 14:12 | Report Abuse

I think you are right.

Only thing is - What is the best action that the present warrant holders who bought the warrant at 5 cents or more, should do ?

To pay the exercise price at Rm1, and hope the price will go up later, or lose the capital as its not worth to pay 1 rgt, to get an 80 cents share, which for all you know can languish at below Rm1 for a very long time !!

Posted by Insasman > 2019-12-25 14:17 | Report Abuse

Why pay RM1 to convert when you can buy parent for 82 sen?

Just kiss your warrant cost goodbye and more importantly learn from the expensive mistake

Posted by Insasman > 2019-12-25 14:19 | Report Abuse

If you believe the theory, you should buy as much parent shares as you can and wait for the RM1 MGO in February

Posted by investor77 > 2019-12-25 14:35 | Report Abuse

Insasman, yes, thanks for the sugestion. Cut loss on the warrant, and buy parent. Wait for price to go up, and recover your losses.

If many believe this theory, which is very logical, and should be spread around, then many will buy the mother share as it will go up to RM1 by end Feb. So can recover losses from Warrants !!

Posted by Insasman > 2019-12-25 14:41 | Report Abuse

I gave bad news for you

From what I can see, the chongker has been suppressing the price and will continue to do so until the MGO In February

The warrants are as good as dead - as you know you couldn’t even sell them for half a sen (the lowest possible price) for the past few days

Posted by Insasman > 2019-12-25 14:42 | Report Abuse

Should be I have bad news for you

Posted by Insasman > 2019-12-25 14:54 | Report Abuse

One main reason Insas has so badly underperformed all these years is the reputation of the chongker (I shall be generous here and just say it’s not good)

A lot of the participants here think that he will do something to enhance the share price but they will be sadly mistaken in February when they are offered a measly RM1

The chongker could easily have declared a 50 sen dividend which could have made warrant conversion attractive but he refused to do so even when the company has so much idle cash

So if he can kill potential shareholders without a second thought, what makes you think he will treat existing shareholders differently?

Posted by investor77 > 2019-12-25 15:36 | Report Abuse

True,

many suffered from the share price which hardly moved, even with very strong fundamentals.

Am I right to say that this is the only share that before expiry, selling at half cent, and yet nobody wants them ?

Posted by Insasman > 2019-12-25 15:41 | Report Abuse

There are many others

It all depends on the price of the mother share, and whether it’s worth it to convert

I

Posted by Insasman > 2019-12-25 16:11 | Report Abuse

deMusangking what do you think will happen in the next two months?

Posted by Insasman > 2019-12-25 19:06 | Report Abuse

888next

Noted but I think he has proxies who already own 10% who will accept the MGO and make it unconditional at the first time of asking

The 2% creeping rule will not be necessary

Posted by Insasman > 2019-12-25 19:39 | Report Abuse

In fact, as soon as the chongker announces his RM1 MGO, I am sure the company will do maximum buyback which will help to indirectly increase his 40% stake by another 2 to 3%

It is scandalous that the company refused to do anything for the past 5 years to help us shareholders but will be ever ready to help the chongker to screw us

Posted by Insasman > 2019-12-25 19:48 | Report Abuse

The multi page buyback statement in the annual report is a mockery

After saying that the buyback is good for shareholders blah blah blah, the directors go on to say that they will not do it as it will trigger the mgo requirement even though they also say that the chongker can ask for a waiver if the buyback triggers the mgo

The directors should be sued for making this statement as it is clearly detrimental to us minotity shareholders

The directors should instead tell the chongker that they wish to do the buyback and ask him to apply for a waiver

Posted by Insasman > 2019-12-25 19:55 | Report Abuse

And we all know why the directors will not do so - as they are answerable to the chongker

Posted by Insasman > 2019-12-25 19:58 | Report Abuse

That was my complaint to Mr Quah of the MSWG and I asked him to raise the matter at the AGM

Posted by investor77 > 2019-12-25 20:33 | Report Abuse

Both of you are very knowledgable about Insas affairs.

Minority shareholders are always at the losing end, and in this case, warrant holders also!!

Posted by Insasman > 2019-12-25 20:40 | Report Abuse

With all due respect to SS Lee, his choice of Insas as 2020 top pick will be way off the mark

I repeat, the chongker will convert his warrants in February to trigger the RM1 mgo and once unconditional, he will slowly collect in the market until his greed level is reached before he unlocks the value in Insas

All we can hope for after the mgo is that the price will inch up as he collects more shares and we can sell to him at more than RM1

Posted by Insasman > 2019-12-25 20:43 | Report Abuse

I am a big holder but I am not greedy

RM1 is more than acceptable to me as there is also almost no risk

Posted by Insasman > 2019-12-25 20:51 | Report Abuse

The chongker has 83m warrants - he cannot buy so many shares without affecting the price

In any event, the price is controlled by him and he can push it to RM1 tomorrow if he wants to

He is suppressing the price remember?

Posted by Insasman > 2019-12-25 20:52 | Report Abuse

Btw he can’t even buy 1 share without triggering the mgo

Posted by Insasman > 2019-12-25 20:53 | Report Abuse

He has not bought any shares in the past 5 years