With its impressive branding and marketing, ECOWORLD sure did well in a soft property market. Its share price have more potential upside due to its ever increasing net profit, EPS and decreasing gearing.Starting FY2017, a proportion of EWI will be included into EW balance sheet. Its chairmain Tan Sri Liew already vowed to make them a better and bigger company than Sp Setia. Furthermore, in a recovering economy and property market, among the sectors that will recover the fastest is property stock.
Eco World International is aiming to list on Bursa Malaysia in March 2017 and raise more than $478.47 million. GuocoLand Limited will buy a 27% stake in Eco World International Berhad during its IPO.
AIMING FOR TARGET PRICE 1.88 SET BY SOMR BANK N BROKERAGES. STRONG GROQTH COMPANY. STRONG INTERNATIONAL BRAND. CATALYSTS FOR PRICE TO GO UP INCLUDE GOOD GROFITS TO BE ANNOUNCED FOR NEXT Q PLUS THE LISTING OF ITS ECOWLD INTERNATIONAL FOR WHICH TOP BANKER QUEK OF HONG LEONG BANK WILL SUBSCRIBE 27%
Datuk Leong Kok Wah Flagship: Eco World Development Group Bhd/Salcon Bhd Net worth: RM1.392bil
The rise of Eco World Development Group Bhd has steered the affable Leong, who is better known as Eddy Leong in corporate circles, as among the top-40 richest businessmen in the country.
The year 2016 saw Leong indirectly increasing his stake in property development company Eco World. A private company where he is a shareholder - Sinarmas Harta Sdn Bhd - paid RM149mil to take up a private placement exercise in the developer.
The faith in Eco World has paid off well for its investors, Leong included.
Eco World’s brand has landed the developer prominent developments such as the Bukit Bintang City Centre project. It has also gained traction with strong partners such as the Employees Provident Fund (EPF).
The two are developing a mixed project on 890ha in Kuala Selangor that has an RM15bil gross development value.
Eco World and the EPF are also undertaking maiden township developments in Penang.
Besides property development, Leong also holds about a 10.5% stake in water-treatment company, Salcon Bhd,
It has won new water-treatment contracts in Terengganu and Johor totalling RM232.2mil.
The contracts are to build a 120 million-litres-per-day water-treatment plant in Kuala Terengganu and upgrade the Sungai Lebam water-treatment plant and distribution system in Johor.
These contracts will beef up Salcon’s order book by about 40%.
Going forward, Leong is expected to further bask in the corporate limelight as Eco World International, an associate of Eco World, goes for an initial public offering in the first quarter of this year.
Eco World: EGMs to be held on Feb 20 instead. Eco World Development Group (EW) has revised the date of its two EGMs, called to decide on the proposed subscription of up to 27% in Eco World International (EWI) and the proposed acquisitions of two pieces of land in Penang, to Feb 20. In the original notices to Bursa Malaysia on Jan 31, EW had fixed Feb 14 for the EGMs to seek approvals for its unit Eco Horizon SB’s proposed purchase of 374.6 acres in South Seberang Prai for RM875.2m and its unit Eco World Capital (International) Ltd’s proposed subscription of up to RM777.6m worth of EWI shares in conjunction with EWI’s IPO. (StarBiz
KUCHING: Eco World Development Group Bhd (Eco World) has set an ambitious target of RM4 billion of property sales in financial year 2017 (FY17) ending October 2017.
Following a company briefing, AllianceDBS Research Sdn Bhd (AllianceDBS Research) believed the property developer is able to meet its sales target in FY17 given the overwhelming response for the group’s launches in FY15-FY16.
The research firm in a report yesterday said the group’s property sales in FY17 will be supported by 15 on-going projects and two new projects to be launched in FY17 namely Eco Forest at Semenyih, Selangor and Eco Horizon at Batu Kawan, Penang.
AllianceDBS Research opined that Eco World continued to bank on the group’s internal marketing and sales team to generate more sales riding on the group’s strong brand name and track record in property development.
Besides that, the research firm believed the company’s innovative township products will remain well-received in the market as the property developer’s townships continued to gain traction with more deliveries completed.
It gathered that there would be more than 4,700 units to be completed in FY17 which could help generate more interest from potential buyers
Besides, the research firm also opined that the company’s focus on township projects with gated-and-guarded strata-titled homes will offer healthy and sustainable long-term demand as the township project matures.
It added the property developer’s eco-friendly amenities and impressive landscaping features commonly found in the group’s townships will continue to attract overwhelming response for the properties.
In the meantime, AllianceDBS Research observed that Eco World has achieved RM3.8 billion of gross property sales in FY16, including sales from joint ventures or associate interest.
The research firm noted the amount was derived from the group’s Malaysian operation alone where 15 out of the 18 projects have been launched.
As compared with Eco World’s sales of RM3 billion in FY15, AllianceDBS Research said the property developer’s sales in FY16 grew by 26 per cent which was an impressive results given the weak sentiment for the property market.
As at end of October 2016, Eco World had RM4.9 billion in unbilled sales which will support the group’s earnings for the next three years.
Once the company’s projects go into full swing over the next few years, the townships can turn into self-sustaining developments which will generate even stronger interest among property buyers.
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....
Erie
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Posted by Erie > 2017-01-26 13:39 | Report Abuse
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