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kirana Senior	02-Nov-2014 17:17        kirana About Contact  Quote this Post!
x 0   x 0  Alert Admin	Isn't it more like he will inject properties on UE portfolio into FCL?
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i_love_girls Veteran	02-Nov-2014 07:51        i_love_girls About Contact  Quote this Post! Style: Flexible   Mood:
x 0   x 0  Alert Admin	Charoen better sells FCL shares to buy it better.
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Kyoto2008 Elite	01-Nov-2014 23:56        Kyoto2008 About Contact  Quote this Post!
x 0   x 0  Alert Admin	He gets cash back from sale of shares in the brewery in Myanmar too.      kirana      ( Date: 01-Nov-2014 18:44) Posted: I think Charoen is a little headache with F&N saga in Myanmar. Now that it is over, he will move forward to concentrate on this one.
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kirana Senior	01-Nov-2014 18:44        kirana About Contact  Quote this Post!
x 0   x 0  Alert Admin	I think Charoen is a little headache with F&N saga in Myanmar. Now that it is over, he will move forward to concentrate on this one.
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Kyoto2008 Elite	01-Nov-2014 04:06        Kyoto2008 About Contact  Quote this Post!
x 0   x 0  Alert Admin	Saw in analysts' reports on OCBC that OCBC will receive a lot of cash from the sale of UE shares.    It sounded as if it is a done deal. I do think so, which is the only reason I am holding on to my precious UE shares for the day to arrive. There is a little runup on UE price, each time price moves the suspicion is that insiders are buying ahead of news of the deal being completed, ie Charoen buyup of the 36% of UE shares from OCBC/GE. This kind of movement gives me a flutter in the heart, it is sweet but it is not good just like sugar is bad for the islets of langerhan.    It is only exhilirating when Charoen eats up that 36% and has to call us all shareholders Ah Gong to get the remaining shares. Not that I like to be a grandfather, I just like to have control over the right price to sell my UE shares.      Well, if Lippo or Straits Trading also bid, then I' d have to see who is the most convincing party lor!
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Kyoto2008 Elite	29-Oct-2014 16:12        Kyoto2008 About Contact  Quote this Post!
x 0   x 0  Alert Admin	That' s why this UE is a hidden gem, was wondering why they went through all the trouble to buy Wearnes, go through rights issue, and now sell off parts of Wearnes. All along, they were after the China properties that Wearnes kept in their books as cost.    Now these properties are in UE at cost as well. So Charoen smelt an oppportunity to come in and snatch away the properties at a bargain price.      If you google, Kim Eng mentioned these China properties during the Wearnes takeover by UE.  Straits Trading also bid for Wearnes.      But the issue is that noone really could pin a figure on how much the properties are worth. For us retailers, we know Charoen is hungry for UE for this reason.    OCBC won' t want to keep as they are in banking, not in property development and would want to dispose of non core assets asap so that they can concentrate on their Wing Hang purchase. Should be a done deal.    Let' s wait patiently.
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kirana Senior	29-Oct-2014 09:05        kirana About Contact  Quote this Post!
x 0   x 0  Alert Admin	Kyoto, the report is a good read. Dated 2010. Question is what is holding the price level at current 2.85?
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kirana Senior	29-Oct-2014 08:28        kirana About Contact  Quote this Post!
x 0   x 0  Alert Admin	I think part of it had been realized by selling off MF and E&E as well as automobiles business
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rlong8288 Master	29-Oct-2014 08:25        rlong8288 About Contact  Quote this Post!
x 0   x 0  Alert Admin	Based on the below UE is worth very much more than it current price.
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Kyoto2008 Elite	29-Oct-2014 01:18        Kyoto2008 About Contact  Quote this Post!
x 0   x 0  Alert Admin	In summary, UE has some valuable assets such as the China properties that were obtained from the takeover of Wearnes.    These properties are accounted at cost in UE' s books.    Revaluing these China properties would take time, and it would also mean that UE' s value would be revised upwards to account for the valuable China properties. Kyoto2008      ( Date: 29-Oct-2014 01:13) Posted: Read this article done in 2010 on Wearnes.    Ignore all the other businesses &   subsidiaries, just focus on the China properties.    UE paid slightly over $4.00 for Wearnes ($4.15?).  If what the article says is accurate, Wearnes is worth $7.47 per share.        Kim Eng also mentioned that the Chinese properties were stated at cost in Wearne' s books, but noone really did a thorough study on the value of these properties.    Since the Wearnes China properties are now in UE' s books, they need to be valued at market price in order for OCBC and Charoen to agree at a fair value for sale/purchase of the 36% stake in UE.  So perhaps this is why the whole discussion is taking a longer time than earlier stated.      But for us retailers, it looks like there' s a lot of meat for everyone who hold UE shares now as  UE' s  market value  does seem to be a lot more than analysts' estimates.      So the delay is good news, we are possibly going to get a higher price as the OCBC price to Charoen will set a first benchmark.  The higher that price, the better for us retailers.  Of course, we can hold out for an even higher price, see if all co operate.   .From SG Value Stocks Thursday, February 25, 2010 Why WBL Corp   BACKGROUND INFORMATION FROM SGXThe Company was incorporated in 1912, under the name CFF Wearne & Co as a public company. However, it traces its history to a family automotive business in the early 1900s. WBL Corporation Ltd (&ldquo Wearnes&rdquo ) is a dynamic international group with key activities in Technology Manufacturing, Automotive Distribution and Technology Solutions. Management continues to focus on building the Group&rsquo s operational and technical expertise to keep Wearnes in the forefront with the leaders in these areas and to build and sustain shareholder value. Today, Wearnes is ranked among the top 75 companies by market capitalisation on the SGX-ST and has revenues of some S$2 billion with operations in over 10 countries.   While the company' s main revenue (and profit) drivers are from technology, the company' s substantial landbank in China is of keen interest to us. WBL Corp also has various property assets in Singapore, Malaysia and a sand mine in Australia, all of which have potential for future property development. The company generally trades with low liquidity and suffers from a lack of broker coverage, and thus has a higher potential of being an undervalued stock. Is that really the case? Let' s examine the company' s underlying assets to find out more: Outstanding Shares The company issued $158,427,479 worth of convertible bonds back in April 2009 (at $1 par, convertible at $2.29). As of 31 Dec 2009, there remain 37,117,474 shares to be issued to satisfy the convertible issue, which means that there are 281,924,862 fully diluted shares outstanding (including unissued ESOS). This brings market cap to a manageable $1.4 billion (at today' s close). Brief valuation overview Last reported NAV per share: $3.34 (price-to-book 1.5X) Fully diluted NAV per share: $2.89 (price-to-book 1.74X)   Of course, NAV is not a good reflection of WBL' s underlying value, considering the many assets (including the huge undeveloped landbank) which are carried at book value. However, based on book value alone, valuations are already not demanding. Chinese property assets The company' s FY2009 (end Sep 2009) annual report lists the various development properties and undeveloped landbank in five cities in China - Shenyang, Chengdu, Chongqing, Suzhou and Shanghai. To be conservative, we have simply assumed that all WBL' s development properties in China are undeveloped land, and have looked at recently transacted land prices as a gauge of valuation.     Land Area (sqm) Estimated Price per sqm (RMB) Estimated Valuation (in RMB) Shenyang, China 134,432 3000 403,297,200 Chengdu, China 325,864 4000 1,303,456,000 Chongqing, China 51,660 1300 67,157,740 Suzhou, China 133,502 1300 173,552,197 Shanghai, China 213,869 7000 1,497,081,600 Total     3,444,544,737 According to our estimates, the Chinese property assets are worth at least RMB 3.4 billion, or about $706 million. Assuming the stake in Ampwalk (KL) is worth RM550psf, the 2,451 sqm of commercial property adds another $6 million to " development properties" for a total of $712 million. These assets are carried at $258.5 million on the balance sheet (as at 30 Sep 2009). Listed Equities WBL Corp owns substantial stakes in three listed companies - Singapore-listed MFS Technology (77%), Nasdaq-listed Multi-Fineline Electronix Inc (58%), and Singapore-listed United Engineers (about 9.2%, classified as available-for-sale non-current financial assets on the balance sheet). As at 25 February 2010, these stakes were collectively worth $614.9 million (based on market value).   Listed Equity investments (as at 25 Feb 2010)   MFS Tech $113,653,800.00 MULTI-FINELINE ELECTRONIX INC., $457,369,208 United Engineers $43,858,240   $614,881,248.23 Debt position Looking at the balance sheet on 31 Dec 2009, WBL' s cash and receivables exceed total liabilities by about $75 million. Other unlisted entities This consists of all the other major businesses - automotive, construction, the Australian sand mining operations etc. Most of these businesses are profitable but we are not going to attribute any value to them first. Stock appears undervalued Based on the market values of the three listed entities and our conservative estimates for the Chinese development properties (including the Ampwalk property in KL), and factoring in net cash of $75 million, we arrive at $1.4 billion, which indicates that we are getting all other businesses (the unlisted entities) for free. Notwithstanding this, the Chinese assets have been valued conservatively (as if they were raw undeveloped land, at slightly lower than market prices), so we are getting the future development potential of the land for free as well. Throw in the long history of the company with a good track record of corporate governance, and we are getting exposure to the lucrative Chinese property market via the guise of an under-researched technology company.   A target price is difficult to derive, but assuming an RNAV of $1.1 billion for the development properties, and another $400 million for the unlisted businesses (according to Kim Eng' s estimates), coupled with the $615 million listed equities, we can derive a $7.47 RNAV for WBL Corp.
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Kyoto2008 Elite	29-Oct-2014 01:13        Kyoto2008 About Contact  Quote this Post!
x 0   x 0  Alert Admin	Read this article done in 2010 on Wearnes.    Ignore all the other businesses &   subsidiaries, just focus on the China properties.    UE paid slightly over $4.00 for Wearnes ($4.15?).  If what the article says is accurate, Wearnes is worth $7.47 per share.        Kim Eng also mentioned that the Chinese properties were stated at cost in Wearne' s books, but noone really did a thorough study on the value of these properties.    Since the Wearnes China properties are now in UE' s books, they need to be valued at market price in order for OCBC and Charoen to agree at a fair value for sale/purchase of the 36% stake in UE.  So perhaps this is why the whole discussion is taking a longer time than earlier stated.      But for us retailers, it looks like there' s a lot of meat for everyone who hold UE shares now as  UE' s  market value  does seem to be a lot more than analysts' estimates.      So the delay is good news, we are possibly going to get a higher price as the OCBC price to Charoen will set a first benchmark.  The higher that price, the better for us retailers.  Of course, we can hold out for an even higher price, see if all co operate.   .From SG Value Stocks Thursday, February 25, 2010 Why WBL Corp   BACKGROUND INFORMATION FROM SGXThe Company was incorporated in 1912, under the name CFF Wearne & Co as a public company. However, it traces its history to a family automotive business in the early 1900s. WBL Corporation Ltd (&ldquo Wearnes&rdquo ) is a dynamic international group with key activities in Technology Manufacturing, Automotive Distribution and Technology Solutions. Management continues to focus on building the Group&rsquo s operational and technical expertise to keep Wearnes in the forefront with the leaders in these areas and to build and sustain shareholder value. Today, Wearnes is ranked among the top 75 companies by market capitalisation on the SGX-ST and has revenues of some S$2 billion with operations in over 10 countries.   While the company' s main revenue (and profit) drivers are from technology, the company' s substantial landbank in China is of keen interest to us. WBL Corp also has various property assets in Singapore, Malaysia and a sand mine in Australia, all of which have potential for future property development. The company generally trades with low liquidity and suffers from a lack of broker coverage, and thus has a higher potential of being an undervalued stock. Is that really the case? Let' s examine the company' s underlying assets to find out more: Outstanding Shares The company issued $158,427,479 worth of convertible bonds back in April 2009 (at $1 par, convertible at $2.29). As of 31 Dec 2009, there remain 37,117,474 shares to be issued to satisfy the convertible issue, which means that there are 281,924,862 fully diluted shares outstanding (including unissued ESOS). This brings market cap to a manageable $1.4 billion (at today' s close). Brief valuation overview Last reported NAV per share: $3.34 (price-to-book 1.5X) Fully diluted NAV per share: $2.89 (price-to-book 1.74X)   Of course, NAV is not a good reflection of WBL' s underlying value, considering the many assets (including the huge undeveloped landbank) which are carried at book value. However, based on book value alone, valuations are already not demanding. Chinese property assets The company' s FY2009 (end Sep 2009) annual report lists the various development properties and undeveloped landbank in five cities in China - Shenyang, Chengdu, Chongqing, Suzhou and Shanghai. To be conservative, we have simply assumed that all WBL' s development properties in China are undeveloped land, and have looked at recently transacted land prices as a gauge of valuation.     Land Area (sqm) Estimated Price per sqm (RMB) Estimated Valuation (in RMB) Shenyang, China 134,432 3000 403,297,200 Chengdu, China 325,864 4000 1,303,456,000 Chongqing, China 51,660 1300 67,157,740 Suzhou, China 133,502 1300 173,552,197 Shanghai, China 213,869 7000 1,497,081,600 Total     3,444,544,737 According to our estimates, the Chinese property assets are worth at least RMB 3.4 billion, or about $706 million. Assuming the stake in Ampwalk (KL) is worth RM550psf, the 2,451 sqm of commercial property adds another $6 million to " development properties" for a total of $712 million. These assets are carried at $258.5 million on the balance sheet (as at 30 Sep 2009). Listed Equities WBL Corp owns substantial stakes in three listed companies - Singapore-listed MFS Technology (77%), Nasdaq-listed Multi-Fineline Electronix Inc (58%), and Singapore-listed United Engineers (about 9.2%, classified as available-for-sale non-current financial assets on the balance sheet). As at 25 February 2010, these stakes were collectively worth $614.9 million (based on market value).   Listed Equity investments (as at 25 Feb 2010)   MFS Tech $113,653,800.00 MULTI-FINELINE ELECTRONIX INC., $457,369,208 United Engineers $43,858,240   $614,881,248.23 Debt position Looking at the balance sheet on 31 Dec 2009, WBL' s cash and receivables exceed total liabilities by about $75 million. Other unlisted entities This consists of all the other major businesses - automotive, construction, the Australian sand mining operations etc. Most of these businesses are profitable but we are not going to attribute any value to them first. Stock appears undervalued Based on the market values of the three listed entities and our conservative estimates for the Chinese development properties (including the Ampwalk property in KL), and factoring in net cash of $75 million, we arrive at $1.4 billion, which indicates that we are getting all other businesses (the unlisted entities) for free. Notwithstanding this, the Chinese assets have been valued conservatively (as if they were raw undeveloped land, at slightly lower than market prices), so we are getting the future development potential of the land for free as well. Throw in the long history of the company with a good track record of corporate governance, and we are getting exposure to the lucrative Chinese property market via the guise of an under-researched technology company.   A target price is difficult to derive, but assuming an RNAV of $1.1 billion for the development properties, and another $400 million for the unlisted businesses (according to Kim Eng' s estimates), coupled with the $615 million listed equities, we can derive a $7.47 RNAV for WBL Corp.
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Kyoto2008 Elite	27-Oct-2014 22:25        Kyoto2008 About Contact  Quote this Post!
x 0   x 0  Alert Admin	Could this be the reason for the delay in Charoen purchasing the 36% stake of UE from OCBC/GE? The UE E& C is being sold to Southern Cap Grp (http://www.channelnewsasia.com/news/business/singapore/united-engineers-to-sell/1397176.html).    This is engineered by UE as part of their divestment program, so it' s likely to go forward without hitches. See no issue with the deal being completed. Now, the question uppermost on UE shareholders' mind is WHY DID UE BOUGHT WEARNES AND NOW SELL OFF SOME OF WEARNES' ASSETS. But UE didn' t sell the properties in China under Wearnes.    It' s rumoured that the properties are worth a lot.      So is this what causes the delay in buyup of the 36%?          As the China properties are recognised as book, but the intrinsic value is worth many time more?                If we google a little and look back at why UE bought Wearnes in 2013, it seems that it' s for the Chinese properties.  Tell me I am wrong, coz I rely on google for this angle. mcking      ( Date: 25-Oct-2014 08:42) Posted: --- Post Removed by User ---
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kirana Senior	25-Oct-2014 10:31        kirana About Contact  Quote this Post!
x 0   x 0  Alert Admin	I reread all the posts here wirh interest. I find that Charoen style corporate actions always very colourful and mind game. I also came across a report posted on Valuebuddies highlighting the relationship between various parties. Charoen has good and cordial relationship with OCBC during 2013 F& N offer.
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hem2998 Veteran	25-Oct-2014 09:34        hem2998 About Contact  Quote this Post!
x 0   x 0  Alert Admin	Related is the MFS Tech divestment..UE has over 80% stake
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Kyoto2008 Elite	24-Oct-2014 19:53        Kyoto2008 About Contact  Quote this Post!
x 0   x 1  Alert Admin	Quite common for this stock.  Seen it many times at the initial announcement, price can move 10 cents up and down many times within one day. rlong8288      ( Date: 24-Oct-2014 19:29) Posted:     It also happen yesterday pricing spirals up during tail end of both trading but pricing trend lower during opening of trading days ( that' s what I have been noticing) and this situation really puzzles me ....   Kyoto2008      ( Date: 24-Oct-2014 19:16) Posted: Noticed that as the price spirals upwards, the large lot buyers appeared chomping huge blocks of UE shares.    Parcels of more than 100  to 350 lots were bought up at near the closing.  Also from the way price is rising, possibly insiders are buying up ahead of the news of successful deal.
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rlong8288 Master	24-Oct-2014 19:29        rlong8288 About Contact  Quote this Post!
x 0   x 0  Alert Admin	It also happen yesterday pricing spirals up during tail end of both trading but pricing trend lower during opening of trading days ( that' s what I have been noticing) and this situation really puzzles me ....   Kyoto2008      ( Date: 24-Oct-2014 19:16) Posted: Noticed that as the price spirals upwards, the large lot buyers appeared chomping huge blocks of UE shares.    Parcels of more than 100  to 350 lots were bought up at near the closing.  Also from the way price is rising, possibly insiders are buying up ahead of the news of successful deal.
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Kyoto2008 Elite	24-Oct-2014 19:16        Kyoto2008 About Contact  Quote this Post!
x 0   x 0  Alert Admin	Noticed that as the price spirals upwards, the large lot buyers appeared chomping huge blocks of UE shares.    Parcels of more than 100  to 350 lots were bought up at near the closing.  Also from the way price is rising, possibly insiders are buying up ahead of the news of successful deal.
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rlong8288 Master	24-Oct-2014 15:32        rlong8288 About Contact  Quote this Post!
x 0   x 0  Alert Admin	heavy resistance at 2.82 rlong8288      ( Date: 24-Oct-2014 09:30) Posted: Share price is back to yesterday level again
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rlong8288 Master	24-Oct-2014 09:30        rlong8288 About Contact  Quote this Post!
x 0   x 0  Alert Admin	Share price is back to yesterday level again
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kirana Senior	24-Oct-2014 07:18        kirana About Contact  Quote this Post!
x 0   x 0  Alert Admin	Felt like what I think. Looking at the strength I am tempted to buy more
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