ValueBuddies.com : Value Investing Forum - Singapore, Hong Kong, U.S.

Good afternoon every1. The Laurels fully sold.

Update: The Laurels Jun 2014
Cumulative Units Sold to-date: 229
Median Price ($psf) in the Month: 2,810
Units sold in the month: 1
Cumulative Units Launched but Unsold: 0
Total Number of Units: 229


Update: Waterwoods EC Jun 2014
Cumulative Units Sold to-date: 215
Median Price ($psf) in the Month: 804
Units sold in the month: 14
Cumulative Units Launched but Unsold: 158
Total Number of Units: 373

https://www.ura.gov.sg/realEstateIIWeb/p...rch.action

<vested><not a call to buy or sell>

Waterwoods update:
234 units sold left 139 units. (as of 13/7/2014)

July sales will be good....

(13-07-2014, 02:34 PM)Behappyalways Wrote: [ -> ]Thx CY09.

I was thinking of writing an email after the 2Q interim result. Maybe it is better to write it now. I will forward to my friends and ask them to sign in and emailed to the mgmt. I hope all those who have vested interest and agreed with what CY09 wrote would also forward the email to the management. We need a sizeable group of investors to write to them else the management might decide not to do anything about it. Our last group email to them made them called for a board meeting to discuss our requests. Hence I hope all those who agree with the email content would participate and put in the effort to forward the email to Sing Holdings.

As of 1Q2014 result, net debt to equity is 0.7 times (0.8 in FY2014) with net debt of $158.2m and equity $225.3m. With the $100m receivables from the CSC of The Laurels, Sing Holdings' 70% stake would be around $70m cash. Together with more units of Waterwoods sold and progressive payments collected from Waterwoods which they would use to pare down long term debts, cash would increase significantly while debts are being pared down with collection from Waterwoods....net debt to equity would be 0.3 or 0.4 by 2Q2014. Company could easily do a pay out and if there is an attractive project, company could easy take on debts since net debt to equity might be around 0.3 in 2Q2014.

So please do your part and forward the email if you agree with CY09.

I will post the email as below.....


or you can visit the website to get the email address.

http://singholdings.com/contact-us.html


14 July 2014

Sing Holdings Limited
96 Robinson Road
#10-01 SIF Building
Singapore 068899

Dear Board of Directors and Mr Lee



Referring to your email dated 18 March 2014, you mentioned: "With regard to a share buyback scheme, the Board is of the view that the basic criteria is that a company must have cash in excess of its operational and expansion needs." and "In view of the funding requirement as explained above and without a large cash float, the Board is of the view that it would not be appropriate for our Company to deploy its financial resources to embark on a share buyback scheme or to distribute a sizeable dividend, as these may curtail its ability for business expansion and compromise its financial position."

Firstly, with the Laurels obtaining CSC status in end March; the company would have collected the remaining approximate $100M of proceeds. Netting off dividend repayment to minority owners in the Laurels JV, loan repayments and cash proceeds from the Waterwoods EC project, Sing Holdings currently has a substantial cash balance. With a cash reserves in excess of its operational needs, Sing Holdings is in a strong position to conduct a share buyback scheme or distribute a sizable dividend.

Secondly, I wish to highlight the Board should view share buybacks on the same basis as any land acquisition. This is because substantial value of Sing Holdings is now in the Robin Road site. Buying the company shares now is no different from using the excess cash for land acquisition or any investment opportunities. In addition, a share buyback enables shareholder to enjoy a 40% return. This is because the company now trades at about 70% to its reported NAV of 54.5 cents. Thus for every 38 cents spent by the company in buyback, shareholders obtain a return of 54.5 cents immediately. Under current challenging property conditions, it is tough for the company to seek out land acquisitions providing a 40% return on capital and with such certainty.

Lastly, I wish to highlight during the period of 21 May 2014 to present, Mr Lee Sze Hao and F. H. Lee Holdings, both majority shareholders, have purchased shares from the open market. Given that we, the minority shareholders, had previously voiced out the undervaluation of Sing Holding's; it seems both groups hold similar views that Sing Holdings' fundamental value is being undervalued by the market. It is worth noting Mr. Lee Fee Huang, Mr. Lee Sze Hao and Mr. Lee Sze Leong have deemed interest in F. H. Lee Holdings and sit on the current Board of Directors. Therefore, initiating a share buy back scheme and exercising it should not be of a problem.

I sincerely hope the Board can re-consider its position under present circumstances.
Thank You.

Yours Sincerely
Shareholder A's name
Shareholder B's name
.....
.....
Shareholder E's name

Good news is 237 units of Waterwoods have been sold, translating to approx sale of 63.2% of total GFA. Estimated Break even level is 70% of the total GFA.

Also, just curious, how many buddies here sent the new email to Sing Holdings? As of now, I have not received a reply from them.

(14-07-2014, 10:38 AM)opmi Wrote: [ -> ]From observations (CMA, Petris, etc), SIAS only step in when minority shareholders are obviously being whacked. Sing holdings haven't reached that stage yet.


For the 10% idea, u organise the effort is it?


Sent from my iPhone using Tapatalk

I have divested most of my stake and swapped them over to tuan sing almost 11mths ago. Im no longer in a position to lead such a move as I dont have more than 1M shares anymore.

Can Sing Holdings sell Robin Residences as 99 year leasehold?

All eyes on Spring Grove en bloc bid
http://www.stproperty.sg/articles-proper...d/a/173072

Good evening Behappyalways san and All.

Confirmed Sing Holdings will be selling Robin Residences as FH.

<vested>

Thanks kbl

I was thinking maybe significant shareholder should delist and then sell Robin as leasehold. They can market it cheaper if leasehold which would push up sales.

I wrote another email today asking if they received my earlier emails. This is what I received just now.....
--------------------------------------------------------------------------
Dear .......

We refer to your email on 14 July 2014.

With regard to a share buyback scheme, this issue has been deliberated
repeatedly by the Board of Directors. The Company's position and rationale,
as clearly explained in our email to you on 18 March 2014, remain the same.
Other than its operational needs, the Company requires a healthy cash
balance for business expansion and to ride through any market downturn.

On your second point, we hold a different view. Our shareholders invest in
the Company knowing it to be a property developer and investor. We will
continue to focus on our core business instead of trying to grow the Company
through share buyback.

Lastly, purchases made by Mr Lee Sze Hao and F. H. Lee Holdings (Pte)
Limited are purely their personal choices and as with all other
shareholders, such personal decisions are independent of the Company's
consideration. As Directors of the Company, the Board members steer the
Company and make decisions to the best interests of the Company.

Yours sincerely
Tay Puay Kuan
CFO

(12-07-2014, 06:17 PM)CY09 Wrote: [ -> ]Replied to Ms Tay today,

Thank you for your email.

Referring to your email dated 18 March 2014, you mentioned: "With regard to a share buyback scheme, the Board is of the view that the basic criteria is that a company must have cash in excess of its operational and expansion needs." and "In view of the funding requirement as explained above and without a large cash float, the Board is of the view that it would not be appropriate for our Company to deploy its financial resources to embark on a share buyback scheme or to distribute a sizeable dividend, as these may curtail its ability for business expansion and compromise its financial position."

Firstly, with the Laurels obtaining CSC status in end March; the company would have collected the remaining approximate $100M of proceeds. Netting off dividend repayment to minority owners in the Laurels JV, loan repayments and cash proceeds from the Waterwoods EC project, Sing Holdings currently has a substantial cash balance. With a cash reserves in excess of its operational needs, Sing Holdings is in a strong position to conduct a share buyback scheme or distribute a sizable dividend.

Secondly, I wish to highlight the Board should view share buybacks on the same basis as any land acquisition. This is because substantial value of Sing Holdings is now in the Robin Road site. Buying the company shares now is no different from using the excess cash for land acquisition or any investment opportunities. In addition, a share buyback enables shareholder to enjoy a 40% return. This is because the company now trades at about 70% to its reported NAV of 54.5 cents. Thus for every 38 cents spent by the company in buyback, shareholders obtain a return of 54.5 cents immediately. Under current challenging property conditions, it is tough for the company to seek out land acquisitions providing a 40% return on capital and with such certainty.

Lastly, I wish to highlight during the period of 21 May 2014 to present, Mr Lee Sze Hao and F. H. Lee Holdings, both majority shareholders, have purchased shares from the open market. Given that we, the minority shareholders, had previously voiced out the undervaluation of Sing Holding's; it seems both groups hold similar views that Sing Holdings' fundamental value is being undervalued by the market. It is worth noting Mr. Lee Fee Huang, Mr. Lee Sze Hao and Mr. Lee Sze Leong have deemed interest in F. H. Lee Holdings and sit on the current Board of Directors. Therefore, initiating a share buy back scheme and exercising it should not be of a problem.

I sincerely hope the Board can re-consider its position under present circumstances.

Feel free to edit or send it

As expected, take it or leave it

It seems the company is insistent on business expansion. For Minority investors, my view is the company will continue to dish out at least 1 cents dividend through its strong balance sheet

With Sing Holdings likely to have 80M of cash after repayments and deducting minority's share with a freehold development to be sold soon, I wonder what are their plans?