I look at the situation of New Toyo value play and find father and son are actually playing with shldrs. The stock is illiquid and during the crisis, they took the rights issue at huge discount after the heavy sell down. ie, raise their stakes thru proxy. In the midst of crisis the Co actually reported solid performance.
To me its obvious, if SAH the cash is striped off, its a shell Co. and can be RTO easily with a deal and that cash depending on how much cash remain in the shell can be a stake used for participating in the new business.
If the major shldrs decides to keep the cash for New Toyo, its got to find internal investment to grow the cigarette related capital investment which is hard to see it happening? Other division of business is not doing well in the face of worldwide slow down?
High chance then for special dividend, if they cannot find use for it?
well, can father and son carry their money with them to the Next World?
I firmly believe in karma
(06-07-2012, 09:53 AM)ValueBeliever Wrote: [ -> ]I look at the situation of New Toyo value play and find father and son are actually playing with shldrs. The stock is illiquid and during the crisis, they took the rights issue at huge discount after the heavy sell down. ie, raise their stakes thru proxy. In the midst of crisis the Co actually reported solid performance.
To me its obvious, if SAH the cash is striped off, its a shell Co. and can be RTO easily with a deal and that cash depending on how much cash remain in the shell can be a stake used for participating in the new business.
If the major shldrs decides to keep the cash for New Toyo, its got to find internal investment to grow the cigarette related capital investment which is hard to see it happening? Other division of business is not doing well in the face of worldwide slow down?
High chance then for special dividend, if they cannot find use for it?
if 12 cents special dividend, the returns based on current share price (28 cents) will be a whopping 40%!
Shanghai Asia shareholders will be more anxious for its dividends this coming
August when it declare its financial results.
Hope for the best.
From New Toyo's pt of view, it doesnt matter whether SAH makes money or lose money rite?
Any profit or loss will accrue to SWP...
(09-07-2012, 12:34 PM)ken Wrote: [ -> ]Shanghai Asia shareholders will be more anxious for its dividends this coming
August when it declare its financial results.
Hope for the best.
Why couldn't the Yen Family do a similar thing i.e. to veto against the SAH sales asset which was really to the detriment of the minority shareholders?
Some of the people questioned whether they were in cahoots with the Lius family...?
SAH's financial performance continued to improve by leaps and bounds after the sales asset on the cheap!
********
Nera falls after privatisation deal off
print |email this article SINGAPORE- Shares of satellite telecom firm Nera Telecommunications Ltd fell as much as 12 per cent after it said its shareholders had voted against a proposed privatisation offer by Singapore Technologies Engineering's unit.
By 0233 GMT, shares of Nera were down 10 per cent at S$0.40, with over 7.4 million shares traded, compared to its average volume of 29.2 times over the last five sessions. Its shares have fallen about 5 per cent so far this year, compared to the FT ST Fledgling Index's 14 per cent rise.
DMG & Partners said shareholders rejected the offer as NeraTel's shares had surged as high as S$0.50, which was more than ST Engineering's offer of S$0.45 a share.
NeraTel also reported a better-than-expected 184 per cent jump in first quarter net profit to S$6.5 million, DMG said.
"As such, public investors now believe that the company could potentially perform better and is worth more than the offer price," said DMG in a report. -- REUTERS
a lot of people have come to this conclusion...
nothing can stop the SIN industries such as gambling, smoking, prostitution, drugs , etc...they will continue to bloom and prosper....
Big tobacco players such as MAT, PMI will just keep moving to new countries and richer consumers will continue to smoke the more premium brands...
The whole cycle keeps repeating
Banzai to the SIN industries
http://www.tremeritus.com/2012/07/11/cas...e-is-done/
British American Tobacoo Starts Australian Discount Brand
British American Tobacco Plc’s (BATS) Australian unit, maker of the country’s most popular cigarette brand Winfield, introduced its first discount label to compete with illegal tobacco products.
A pack of 25 cigarettes under the “Just Smokes” brand sells for A$11.50 ($11.40) at retailers, including the Coles supermarket chain, Scott McIntyre, a spokesman at British American Tobacco in Sydney, said in a telephone interview today. Winfield sells for A$15.75 at Coles and can cost as much as A$20 for a package of 25 at independent convenience stores.
British American Tobacco is fighting the Australian government in court over its plan to be the first country to implement a law requiring cigarettes to be sold in plain packages. Australia’s discount tobacco market, measured by the number of cigarettes sold, has grown 63 percent since the government increased excise tax by 25 percent in 2010, according to the London-based company’s estimates.
“We’ve never had a product in this segment before,” McIntyre said. “A few years ago, the market didn’t exist.”
The counterfeit tobacco market in Australia, including cigarettes sold in fake branded packages, tripled in 2011 from a year earlier to an estimated 407,000 kilograms (897,000 pounds), based on a report by Deloitte & Touche LLP.
The contraband market, such as cigarettes smuggled in to avoid duties, has also more than tripled in the same period to an estimated 430,000 kilograms, according to the report, which was commissioned by British American Tobacco, Philip Morris International Inc. (PM) and Imperial Tobacco Group Plc. (IMT)
“While counterfeit and contraband cigarettes do exist in Australia, tobacco companies overstate their availability as an excuse to push their own products harder,” Health Minister Tanya Plibersek said in an e-mailed statement today. “It is always disappointing to see efforts by tobacco companies to keep Australians smoking.”
New Toyo NAV is only 28 cents, excluding SAH.
Is New Toyo mis-leading investors in its annual report by still including SAH NAV ?
think of it this way...
how do stocks normally behave?
Once special dividend is declared, the share price will be higher by the amt of dividend declared.
Today price = 28 cents
Special dividend = 12 cents
Cum-dividend share price = 40 cents.
NAV of New Toyo (with 34% SAH stake) = 36.5 cents.
Tye Soon with NAV of only 21 cents shot up from below 20 cents to 30 cents when only 5 cents of special dividend is declared...
Mr Market does not really care about NAV. Shares can trade way above NAV or way below NAV like a lot of S-chips.
NAV 50, 60 cents but trading at only a few cents..plenty out there
(16-07-2012, 04:17 PM)Stockerman Wrote: [ -> ]New Toyo NAV is only 28 cents, excluding SAH.
Is New Toyo mis-leading investors in its annual report by still including SAH NAV ?