py1818 Tks for your daily bulletin & confirmation on possible trend reversal.
py1818 * @sailang_now @earlyretirement @Investor123456 BjLand Highest price 0.52 Major Resistant 0.33 Major Resistant 0.31 Price 0.30 Support 0.29 Support 0.28 Support 0.26 Major support 0.25 Support 0.24 Support 0.22 Support 0.20
Verdict - Downtrend is about to be reversed provided price is able to stay above major resistant 0.31 and 0.33.
- Bjcorp just announced its detailed restructuring plan, with key headlines figures such as RM2b divestment within 2 years, RM5b divestment within 5 years, paring 50% of borrowings/debts within 3 years.
- Operationally, Bjcorp has more than 20 types of businesses brands including lottery (Bjtoto), hotels & malls( Four seasons, ritz carlton, Berjaya time square, >10 berjaya brand hotels in Malaysia & overseas), brokerages & insurance(Interpac securities, Saigon bank, Berjaya Sompo), retail & food(Cosway, 7-eleven, starbucks, jollibean, kripy kreme), property development(Bjland), telco (redtone, u-mobile) and education (Berjaya college).
- The operations is too diversified and messy before this as it is not easy to manage such many subsidiaries. This have caused Bjcorp to trade at steep discount of its book value and been generating losses.
- Nevertheless, with Jalil coming into the board, we can see that Bjcorp’s plan is to streamline the whole business model to be more organised and unlock plenty of value within its assets. With the planned divestment of non-core assets by selling off unprofitable businesses, this can clean up the balance sheet and there are good potential to turnaround the business.
- Financially, Berjaya Corp currently has about RM1.2b cash and RM5b debt. Divestment of RM2b assets within 2 years (+40sen/share) and RM5b within 5 years(RM1/share) will largely strengthen the cash position and paring down debts. If everything is in line with the restructuring plan, Bjcorp potentially turn into net cash company within few years after clearing all loss-making operations.
- With the restructuring plan ongoing and Bjcorp turn into profit, this will also unlock the value of other core business which was previously discounted. There are plenty of value in the group’s subsidiaries; such as U-mobile(talks of going IPO), Bjtoto(defensive and churning good profit), 7-eleven, landbanks in Bjland (worth more than RM5-6b estimated) and many others which are yet to be factored in.
- To give a sense, Bjcorp now trading at only about 0.3x book value(a 70% discount to true value). If we strip out Bjcorp’s stake in Bjland and Bjtoto, its only 0.2x book value (a 80% discount). The conglomerate’s NTA is at RM1.18(excluding accretion from unlocking various busineses’ value), while current share price only 33sen. This means that there is a potential >400% share price upside if everything goes well for them.
- From TA perspective, Bjcorp attempts to rally from recent selldown(with low volume). It breakout and stay above near-term resistance of 32.5sen which is deemed healthy. Subsequent resistances are at 38.5sen and 46.5sen respectively.
Disclaimer: This is not a Buy/Sell call or any recommendations, just personal analysis. Do trade at your own risk.
Currently all Berjaya companies has a cross holding ownership structure which needs to be addressed & unwound to attract more institutional holders from current 6%. So expect more trimming of non direct interest shares sales from various VT companies from time to time. As long as the direct interest controlling shares are not sold & tightly held by major shareholders & market can absorb the excess shares there shouldn't be major issues unlike the current sell down of Serba Dinamik.
Excerpt of Transformation Plan by Jalil. Compliance and Governance - addressing the cross-holding ownership structure (current trimming of non direct interest through sale of shares by various non core business VT companies)
Posted by sailang_now > Jun 15, 2021 11:23 PM | Report Abuse
If too high level somebody has just simplified the impact of Jalil's Transformation Plan for benefit of everyone...
*BJCORP at 33.5sen*
- Bjcorp just announced its detailed restructuring plan, with key headlines figures such as RM2b divestment within 2 years, RM5b divestment within 5 years, paring 50% of borrowings/debts within 3 years.
- Operationally, Bjcorp has more than 20 types of businesses brands including lottery (Bjtoto), hotels & malls( Four seasons, ritz carlton, Berjaya time square, >10 berjaya brand hotels in Malaysia & overseas), brokerages & insurance(Interpac securities, Saigon bank, Berjaya Sompo), retail & food(Cosway, 7-eleven, starbucks, jollibean, kripy kreme), property development(Bjland), telco (redtone, u-mobile) and education (Berjaya college).
- The operations is too diversified and messy before this as it is not easy to manage such many subsidiaries. This have caused Bjcorp to trade at steep discount of its book value and been generating losses.
- Nevertheless, with Jalil coming into the board, we can see that Bjcorp’s plan is to streamline the whole business model to be more organised and unlock plenty of value within its assets. With the planned divestment of non-core assets by selling off unprofitable businesses, this can clean up the balance sheet and there are good potential to turnaround the business.
- Financially, Berjaya Corp currently has about RM1.2b cash and RM5b debt. Divestment of RM2b assets within 2 years (+40sen/share) and RM5b within 5 years(RM1/share) will largely strengthen the cash position and paring down debts. If everything is in line with the restructuring plan, Bjcorp potentially turn into net cash company within few years after clearing all loss-making operations.
- With the restructuring plan ongoing and Bjcorp turn into profit, this will also unlock the value of other core business which was previously discounted. There are plenty of value in the group’s subsidiaries; such as U-mobile(talks of going IPO), Bjtoto(defensive and churning good profit), 7-eleven, landbanks in Bjland (worth more than RM5-6b estimated) and many others which are yet to be factored in.
- To give a sense, Bjcorp now trading at only about 0.3x book value(a 70% discount to true value). If we strip out Bjcorp’s stake in Bjland and Bjtoto, its only 0.2x book value (a 80% discount). The conglomerate’s NTA is at RM1.18(excluding accretion from unlocking various busineses’ value), while current share price only 33sen. This means that there is a potential >400% share price upside if everything goes well for them.
- From TA perspective, Bjcorp attempts to rally from recent selldown(with low volume). It breakout and stay above near-term resistance of 32.5sen which is deemed healthy. Subsequent resistances are at 38.5sen and 46.5sen respectively.
Disclaimer: This is not a Buy/Sell call or any recommendations, just personal analysis. Do trade at your own risk.
You can find more clarity on CEO's transformation plan here from theedgemarket report especially the new BCorp Organization chart. I think they still have to take full control of BJLand through some form of merger & acquisition to put effect to Jalil's operational plan which will be clearer once details comes in July. Also pls take note Bursa exemption for BLand shareholders liquidity float expires in September & that Tsvt acquired another 40.5 million direct shares in BJLand recently.
I like both ideas but Tvst being an old Fox will not showhand too early. Privatization is not the only option, It could also be takeover of the remaining 13% BlLand minority shares ala Ancom style in exchange for a mix of cash & shares in BCorp?
kahhoeng distributing all toto shares to bland shareholders as special dividend and bcorp inject other gambling business not owned by toto into toto in exchange for shares? that should be good.
kahhoeng not really lah, experts trying to gauge the impact of CEO's plan, and it's a difficult one given everything is still anything but vague... I would have expect Jalil to announce at least one concrete deal, like privatizing BLand with its listing status be transferred to a REIT comprising of BCorp buildings, malls, office buildings, etc. or sell to UMobile for backdoor listing...
Jalil coming into the board, we can see that Bjcorp’s plan is to streamline the whole business model to be more organised and unlock plenty of value within its assets. With the planned divestment of non-core assets by selling off unprofitable businesses, this can clean up the balance sheet and there are good potential to turnaround the business.
Berjaya Corp currently has about RM1.2b cash and RM5b debt. Divestment of RM2b assets within 2 years (+40sen/share) and RM5b within 5 years(RM1/share) will largely strengthen the cash position and paring down debts. If everything is in line with the restructuring plan, Bjcorp potentially turn into net cash company within few years after clearing all loss-making operations.
the restructuring plan ongoing and Bjcorp turn into profit, this will also unlock the value of other core business which was previously discounted. There are plenty of value in the group’s subsidiaries; such as U-mobile(talks of going IPO), Bjtoto(defensive and churning good profit), 7-eleven, landbanks in Bjland (worth more than RM5-6b estimated) and many others which are yet to be factored in.
Bjcorp now trading at only about 0.3x book value(a 70% discount to true value). If we strip out Bjcorp’s stake in Bjland and Bjtoto, its only 0.2x book value (a 80% discount). The conglomerate’s NTA is at RM1.18(excluding accretion from unlocking various busineses’ value), while current share price only 33sen. This means that there is a potential >400% share price upside if everything goes well for them.
Posted by sailang_now > Jun 15, 2021 11:23 PM | Report Abuse
If too high level somebody has just simplified the impact of Jalil's Transformation Plan for benefit of everyone...
*BJCORP at 33.5sen*
- Bjcorp just announced its detailed restructuring plan, with key headlines figures such as RM2b divestment within 2 years, RM5b divestment within 5 years, paring 50% of borrowings/debts within 3 years.
- Operationally, Bjcorp has more than 20 types of businesses brands including lottery (Bjtoto), hotels & malls( Four seasons, ritz carlton, Berjaya time square, >10 berjaya brand hotels in Malaysia & overseas), brokerages & insurance(Interpac securities, Saigon bank, Berjaya Sompo), retail & food(Cosway, 7-eleven, starbucks, jollibean, kripy kreme), property development(Bjland), telco (redtone, u-mobile) and education (Berjaya college).
- The operations is too diversified and messy before this as it is not easy to manage such many subsidiaries. This have caused Bjcorp to trade at steep discount of its book value and been generating losses.
- Nevertheless, with Jalil coming into the board, we can see that Bjcorp’s plan is to streamline the whole business model to be more organised and unlock plenty of value within its assets. With the planned divestment of non-core assets by selling off unprofitable businesses, this can clean up the balance sheet and there are good potential to turnaround the business.
- Financially, Berjaya Corp currently has about RM1.2b cash and RM5b debt. Divestment of RM2b assets within 2 years (+40sen/share) and RM5b within 5 years(RM1/share) will largely strengthen the cash position and paring down debts. If everything is in line with the restructuring plan, Bjcorp potentially turn into net cash company within few years after clearing all loss-making operations.
- With the restructuring plan ongoing and Bjcorp turn into profit, this will also unlock the value of other core business which was previously discounted. There are plenty of value in the group’s subsidiaries; such as U-mobile(talks of going IPO), Bjtoto(defensive and churning good profit), 7-eleven, landbanks in Bjland (worth more than RM5-6b estimated) and many others which are yet to be factored in.
- To give a sense, Bjcorp now trading at only about 0.3x book value(a 70% discount to true value). If we strip out Bjcorp’s stake in Bjland and Bjtoto, its only 0.2x book value (a 80% discount). The conglomerate’s NTA is at RM1.18(excluding accretion from unlocking various busineses’ value), while current share price only 33sen. This means that there is a potential >400% share price upside if everything goes well for them.
- From TA perspective, Bjcorp attempts to rally from recent selldown(with low volume). It breakout and stay above near-term resistance of 32.5sen which is deemed healthy. Subsequent resistances are at 38.5sen and 46.5sen respectively.
Disclaimer: This is not a Buy/Sell call or any recommendations, just personal analysis. Do trade at your own risk.
Bjcorp now trading at only about 0.3x book value(a 70% discount to true value). If we strip out Bjcorp’s stake in Bjland and Bjtoto, its only 0.2x book value (a 80% discount). The conglomerate’s NTA is at RM1.18(excluding accretion from unlocking various busineses’ value), while current share price only 33sen. This means that there is a potential >400% share price upside if everything goes well for them.
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Posted by awesome20 > 2021-06-15 20:24 | Report Abuse
tomorrow coming