"In a separate filing, Hap Seng said it has entered into another SSA with Gek Poh (Holdings) Sdn Bhd for the acquisition of the entire equity interest in Malaysian Mosaics Sdn Bhd, which manufactures a wide range of porcelain and ceramic tiles for walls and floors of residential and commercial properties, for RM380 million.
Under the deal, Hap Seng has secured a profit guarantee from Gek Poh that Malaysian Mosaics' audited consolidated profit after tax shall not be less than RM30.71 million for the financial year ending Dec 31, 2016 (FY16), not less than RM40.93 million for FY17, not less than RM53.9 million for FY18, not less than RM67.52 million for FY19, and not less than RM81.97 million for FY20."
Kim Hin is affected by one "over blown & yet deal of the century" in its industry. The effect could be very far reaching & men in the industry are anxious to see how bad the effects could be. I don't know what's Chua's next step. Just be cautious.
Huh...? I don't know whether the Chinese ppl in China will have a liking for foreign branded tiles. Even if they do, more prestigious brands from Japan / Korea or Europe could be their preference. Products from the SEA are of lower grade & quality to their perception.
Got to salute KimHin's Chai family, didn't sell their stake to Taib Mahmud. That's why cant enjoy cheap gas & electricity. Good move to Negeri Sembilan.
Kim Hin remains a potential dark horse. I also perplex by some who has bearish view on KimHin but still monitor this stock. This world is interesting with funny people around.
Within this month , many counter stocks posed bad quarterly results and a sudden falled in the stock price and many got trapped without chances of escaping . Buying stocks to keep for long term investments is rather not advisable and that can only apply when the market experience crash and hit that hit the bottom line .
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Posted by jonbravo > 2016-02-26 11:48 | Report Abuse
another OTB recommendation