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So either he is just reallocating funds or he sees limited upside in the near future.

sent from my Galaxy Tab S

If it is a marriage deal, it is good for that counter. Unless it is rampant selling in the open market, that means it is bad news known to substantial holder.

And I think CES are all set to soar higher, and bring disappointment to those who has miss the train. LOL

Will Mr Tan ceasing to be a substantial shareholder, most likely CES got limited potential going forth....

Don't follow your logic. Care to elaborate?

(25-03-2015, 09:46 AM)westin1 Wrote: [ -> ]Will Mr Tan ceasing to be a substantial shareholder, most likely CES got limited potential going forth....

If you can recall when Mr Tan was a ss, the share price will slowly rises .... but starting end last year , he sold his shares slowly.... i think CES is most likely to fall after xd....my guess is, it will slowly slowly drift down.....

If I recall correctly, Mr Tan bought most of his shares in Jan-Feb 2013 at an average price of around 75 cents, which is already significantly higher than prices a few years before.

Nevertheless, the share price has continued to climb as did the fundamentals of the company, giving Mr Tan a decent profit on his investment. His motivations behind paring his stake is anyone's guess, but here is something I would like to point out:

Mr Tan is the MD of Kenyon Pte Ltd, a manufacturing firm in the chemical and petrochemical process industry, an industry that is totally unrelated to the core businesses of CES. He is a successful businessman, but being a successful investor might not necessarily follow from the fact. For retail investors with little information, it is not wise to speculate on the motives on his acquisition and subsequent reduction of his interest. Rather, focusing on the fundamentals and growth prospects of the company will prove more rewarding.

Generally, share prices would fall on the XD date, and it doesn't take an oracle to predict that. As for whether it will "slowly slowly drift down", time will tell. But looking at the facts, I would be inclined to disagree.

(25-03-2015, 11:12 AM)westin1 Wrote: [ -> ]If you can recall when Mr Tan was a ss, the share price will slowly rises .... but starting end last year , he sold his shares slowly.... i think CES is most likely to fall after xd....my guess is, it will slowly slowly drift down.....

(25-03-2015, 11:32 AM)Teletubby Wrote: [ -> ]If I recall correctly, Mr Tan bought most of his shares in Jan-Feb 2013 at an average price of around 75 cents, which is already significantly higher than prices a few years before.

Nevertheless, the share price has continued to climb as did the fundamentals of the company, giving Mr Tan a decent profit on his investment. His motivations behind paring his stake is anyone's guess, but here is something I would like to point out:

Mr Tan is the MD of Kenyon Pte Ltd, a manufacturing firm in the chemical and petrochemical process industry, an industry that is totally unrelated to the core businesses of CES. He is a successful businessman, but being a successful investor might not necessarily follow from the fact. For retail investors with little information, it is not wise to speculate on the motives on his acquisition and subsequent reduction of his interest. Rather, focusing on the fundamentals and growth prospects of the company will prove more rewarding.

Generally, share prices would fall on the XD date, and it doesn't take an oracle to predict that. As for whether it will "slowly slowly drift down", time will tell. But looking at the facts, I would be inclined to disagree.

(25-03-2015, 11:12 AM)westin1 Wrote: [ -> ]If you can recall when Mr Tan was a ss, the share price will slowly rises .... but starting end last year , he sold his shares slowly.... i think CES is most likely to fall after xd....my guess is, it will slowly slowly drift down.....

Its a free market. Willing buyer willing seller. Lets put our money where our mouth is. let the first person to make, laugh at the rest.

My other view (also resonates some of the vb views) is that the married deal is a positive news cos it means there are investors willing to do it "big". Like kwm entering into tuan sing. For a sizable married deal, it must mean something or it is sheer madness (if not, insanity). Lets not forget that the recent ces share buy back was at 97.5 cents (correct me if i m wrong).

Moi still vested. (mr market told me impossible, but i just told him i m playing long.)

Ps: i m compelled to agree with you. Similar views

Victoria Street site sold for A$64m

Just to add, the site was purchased back in 2013 for A$32m. After accounting for the depreciation of the AUD, how are the returns?

(27-03-2015, 05:22 PM)Teletubby Wrote: [ -> ]Just to add, the site was purchased back in 2013 for A$32m. After accounting for the depreciation of the AUD, how are the returns?

Some rough calculations here, but a quiet uncertain assumption is the costs of "value add" by CES to secure planning permit.

Architect, engineering, planning, legal cost: 5% of total final sales (assumed at $150M AUD) = $7.5M AUD.
Cost of capital: 6% pa, considering AUD fixed deposits were around 4% most of the time.

Purchase price: $32M AUD = $41.4M SGD (1.2924 exc rate)
Planning permit costs as above: $9.7M SGD
$51.1M * 1.06 ^3 (cost of capital) = $60.9M SGD
Sale price $64.8M AUD = $68.7 SGD (1.06 exc rate)

Profit = $7.8M SGD
GST 10%, AUS Corporate tax 30%, PAT = $4.9M SGD
EPS = 0.007