22-Jan-2024 Insider MORGAN STANLEY (a substantial shareholder) acquired 1,074,700 shares on 18-Jan-2024. 22-Jan-2024 Insider MITSUBISHI UFJ FINANCIAL GROUP, INC (a substantial shareholder) acquired 1,074,700 shares on 18-Jan-2024. 22-Jan-2024 Insider MR TOBIAS HJALMAR MANGELMANN (a company director) acquired 500,000 shares at 0.500 on 19-Jan-2024.
JSB LU next few days. Past week operator flush down flsuh out all retail. insider, all big boss and directors buying up at stupid prices. Back to RM1.3 by feb!
Math is the language of universe and chart is the window to the future. Trading below 0.81 bear in driver seat and above 0.81 bull is trying to regain control.
My OPINION: (MAY BE WRONG) Fundamental investors should take profit around 0.8 as recovery towards original value might take require large amount of investor confidence. Which in my opinion, requires a month or two until this situation subsides.
SESB incurred a loss of around 10 sen per unit of electricity supplies as the tariff imposed on consumers in Sabah is at 34 sen per unit, but the generation of power costs 43 sen per unit, The New Straits Times reported.
Sabah Energy Sdn. Bhd. (SESB), is facing its own set of challenges. The state-owned power utility is reportedly incurring a loss of around 10 sen per unit of electricity supplied due to a tariff mismatch. Consumers in Sabah pay 34 sen per unit, while the actual generation cost stands at a staggering 43 sen per unit, as revealed by SESB's chairman. This paints a picture of a technically insolvent company, raising questions about its ability to attract major investors like JP Morgan to invest in Sabah Energy's sector. Math is the language of universe and chart is the window to the future. JSB trading below 0.81 indicates bear is still in driver seat and above 0.81 bull is trying to regain control.
Metaverse, who wrote that? SESB own by TNB (i think 75-85 %) and smaller shareholder is Sabah State Govt. At the moment electricity in Sabah subsidised by State and SESB. True, they have to purchased at higher rate from some producers. That why they are looking at cheaper and green energy. They started this initiative long time ago, but only JSB managed to delivery it.
“SESB should own a minimum 700 megawatt to address base load ensuring stable supply. It should be a gas combined cycle but more ideally coal. The latter idea is opposed by the people. “Right now reserve margins is less than 12 per cent and we should hit 30 per cent by the end of the year which would more or less mean stability. “Currently we have interim solutions for the short term like renting generator sets. But Sabah will be the first in Malaysia to have the Battery Energy Storage System (BESS) capable of storing 100 megawatts to be installed at POIC Lahad Datu,” he said.
This is the best business to be in. I would say, zero risk. Sabah already hunger for electricity. If you been to Sabah, you would know they are not enough power. JSB has long term contract (21 years or more) with fixed rate and formula to pay their operation, financing cost(sukuk, depreciation etc) and make lucrative profit ( pls study Mega First Corporation Berhad). Investor, invest on JSB not SESB. States government want to take SESB from TNB in the future. So writer completely wrong on second part of write up. If not viable, sukuk issuer which has more rigid conditions won't release the funds.
And currently those assets already churning steady income for past few months. Their account will be consolidate with JSB once the acquisition is complete, which I expect by 1st quarter 2024.
The macroeconomic landscape in Sabah is currently characterized by considerable uncertainty. Notably, 70% of the electricity supply in Sabah is generated by Independent Power Producers (IPP) at a cost of 43 sen, while Sabah Electricity Sdn Bhd (SESB) is retailing it at 34 sen. The dependency on the Federal Government to sustain the electricity supply in Sabah, incurring an annual cost of RM800 million, places the region in a precarious energy situation. Unless a viable long-term solution is identified, Sabah faces the prospect of an enduring energy crisis.
Exploring alternatives, aligning with the model adopted by Singapore to procure wholesale power from Sarawak appears to be a pragmatic option for Sabah. This is particularly compelling given the favorable pricing for consumers in Sarawak, ranging from 18 sen to 31 sen. From an investment standpoint in Sabah's energy sector, Ranhill emerges as a prudent choice. With control over 30% of the power market in Sabah, Ranhill is positioned as a reliable player in navigating the challenges and opportunities within the energy landscape.
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....
mf
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Posted by mf > 2024-01-23 09:15 | Report Abuse
target 88sen