Fraser & Neave (F & N)

[KopiKat]

Finally, the SGX Annc (5 nos.)

Looks like it is going to be a spinoff and then FNN to participate in FCL placement. Means FNN give away FCL and then use S$1b to buy some back.

The interesting thing is, F&N will subscribe for $1Bil of new FCL shares so that it can give out (all) as Dividend-in-Specie.. ie. F&N biz left with F&B + PP (Printing & Publishing)... no Properties! More details from pg12 of one of the SGX Annc.

Doesn't it the purpose? The most important is TCC continue to own it, in same % of stake, but higher in $ value

Assume Mr. Market value the FCL share in PB of 1 i.e S$5905 mil, then the DIS worth around $4.08 per F&N share owned. (refer to page 6 of the presentation slide below)

http://infopub.sgx.com/FileOpen/Investor...eID=254081

My previous latest valuation of F&N, after capital distribution of $3.28, was $5.75 base on SOTP. Property segment was valued at $5310 mil i.e. $3.68

Update the model now, with property valued as $5905 mil. The updated valuation of F&N pre-DIS is $6.16

So far so good, and more will come IMO...

(vested)

Current market, possible for FCL PB =1? I think Capitaland is ~0.8 now?

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Woah... Opened @ $5.73, +24ct! Vol = 27