Winas (formerly: Sinwa Limited)

[Ben]

Sinwa closed today (15Apr13) up another $0.014 and at the day's high of $0.183, with 890 lots done.

Having cleared the non-performing vessel assets and the loss-making engineering business, Sinwa is now debt-free and has returned to its core well-established and profitable ship supplies business. Since controlling shareholder Mike Sim - now in his 60's - is no longer on the BOD or actively running the business, I wonder whether he would be prepared to sell his stake if a serious buyer comes knocking? I suppose any deal and the GO resulted from it would have to take reference from the latest NAV/share of approx. $0.28. Or am I just dreaming again?

I think he will. In fact, he had entered an agreement previously to sell his stake but was later abandoned. Using the previous minimum price and factoring in the rights shares, the transaction if any should be in the region of ~$0.30. However, such transaction may not trigger a GO. Let's see...

Are you referring to the proposed sales of 58M shares to Sinohit in 2010, but was later cancelled as Sinohit did not make the initial payment?

I am also of the view that Mike Sim will sell if there is a serious offer. He is almost 70 years old, and I am not aware that any of his children or relatives is working in the company. Anyone can confirm? He shares holding in the company is slightly more than 40%, so any buyer buying over his entire stake will have to make a GO.

I am also dreaming.