Having the same positive belief and spirit that Kingsmen will attract an acquirer willing to pay a fair price for the 2 founders' controlling stakes and for the entire business, I am dreaming and speculating for an offer pegged at $1.18/share - a nice number too!
Any other forumers wishing to join in the fun of making a wild guess?
(15-01-2013, 03:03 PM)dydx Wrote: [ -> ]Having the same positive belief and spirit that Kingsmen will attract an acquirer willing to pay a fair price for the 2 founders' controlling stakes and for the entire business, I am dreaming and speculating for an offer pegged at $1.18/share - a nice number too!
Any other forumers wishing to join in the fun of making a wild guess?
If I assume that Kingsmen FY12 EPS is around 9cts. At PE12, the expected takeover offer should be around $1.08.
Are we counting the chicken before they are hatched?
$1.08 is a nice number too! But I suppose any serious suitor should be willing to pay a fair price for Kingsmen's pan-Asian business footprint and future growth potential, as well as its proven management team.
I think it is a little too early to count the chickens. The halt could be about anything - it may not turn out to be a privatization offer.
If I were to make a guess, I would say the offerors would not pay more than a 25% premium over last done, which means a $1/share offer.
Not sure PE 12 is a guiding value. Assuming it is. We need to note that the EPS growth assuming 8.37% rate.
That would implied 1.76 value.
This may scare off investor. So let's cut it down by half to 4% annual growth.
Which we will obtain 1.37 value at least. LOL
Cory
(15-01-2013, 03:31 PM)corydorus Wrote: [ -> ]Not sure PE 12 is a guiding value. Assuming it is. We need to note that the EPS growth assuming 8.37% rate.
That would implied 1.76 value.
This may scare off investor. So let's cut it down by half to 4% annual growth.
Which we will obtain 1.37 value at least. LOL
Cory
It is not really a guiding value. I am just guessing that only a good deal will attract the owners including many of Kingsmen staffs to give up their shares.
Many of senior staffs of Kingsmen are in the top 20 shareholders list.
Selling at PE10 does not sounds like a good deal.
Also to say kingsmen has a lot of cash. A low PE doesnt sound right
If it indeed is a GO, it will be a very satisfying experience for me. I have experienced 2 GOs which I suffered a small loss excluding dividend, one I cashed out just before the GO was announced after the price ran up so much within a few days. I hope I will stay till the end for this one!
My dream price for the GO is $1.20.
(15-01-2013, 04:01 PM)Salty Wrote: [ -> ]Also to say kingsmen has a lot of cash. A low PE doesnt sound right
Indeed. forgotten about the cash.
By the end of last quarter of FY12, I suppose Kingsmen will have around S$50 million cash.
So, $1.28 is a possibility.
I am very sure everyone in this forum will agree with me that $1.28 is an even nicer number!