Pacific Century    Last:0.47    +0.005

Lovely Gem

In theory the share price tomorrow should jump to around 39 cents (i.e. a 34% increase from today&rsquo s close).

This is the sum of S$0.355 (the share price the day before the company surprised the market by not paying a HY dividend) plus S$0.033 (the dividends the company is about to receive from PCCW/HKT).

39 cents would imply an 11% dividend yield which seems reasonable.

 

Well if the SS holds close to 90% of the company, nothing will be prejudicial to the shreholders.
As he rewards himself the 10% minority will get the payout as well :)

 

This generous set of 2nd half dividends has allayed the disappoint of not having an interim dividend in the first half. Much thanks to Richard Li and PCCW. I hope there will be further good news for PCRD down the year

Neutral_Guy      ( Date: 29-Feb-2024 19:03) Posted: Not bad for a 4.2cents dividends. About 15% returns based on 29cents share price.

 

Hmm&hellip this dividend is effectively the net full year &ldquo operating&rdquo cashflow of Pacific Century (i.e. dividends from PCCW and HKT minus operating costs including interest). So they made up for not paying a dividend in the HY.

As you say, a 15% dividend yield. The potential for paying more dividends should grow as 1) interest rates fall, 2) PCCW/HKT dividends increase, and 3) their Exoduspoint investment continues to be realised over time.

 

Not bad for a 4.2cents dividends. About 15% returns based on 29cents share price.

 

 
Agree with your maths. But given the net debt position is only around 17% LTV the gearing is pretty comfortable now. There isn&rsquo t any need to pay down debt any further as then the gearing would be too low/inefficient. If they do continue to pay down debt rather than distribute a dividend, the only reason I can think of that they would choose to do this is that they intend to wind down the company.

 

Debt ard 200over m Every year dividend ard 90 to 110m If they choose to pay debts, less dividend or no dividend. If choose to distribute all, do the math Anyway after they clear off the debts.... Should be very comfortable. I accumulate when price is good.. At your own risk. Need holding power, hopefully some Corp actions.

 

I don' t think that' s realistic, at least in terms of an ordinary dividend. If there is a wind down that is a different matter.

For a normal dividend I would be expecting somewhere around 1.2 cents.

 

Expecting a good dividend of at least 8 cents !

 

Well, both HKT and PCCW' s results were strong.

So will Pacific Century pay out the FY dividends it is about to receive and also the HY dividends it received In August?

If they don' t, it makes me even more suspicious that Richard Li is planning a take private or a wind down (which would be even better, at least for those of us who can hold PCCW shares).
 

 

I don' t think so. I think it' s more that the company can only buy a small amount of shares back without breaching the mandatory offer threshold, and since its such a small number there is no rush and they might as well wait to buy as cheaply as possible.

Were a privitisation to occur the price would be a completely different matter. They would need to offer a price that clears the market, and given the underlying value of this company is so transparent they would have to offer a price relatively close to that if they wanted to actually succeed in buying the volume of shares they want in a privtisation.

 

Maybe $0.28 is the price set for privatisation.

 

The company very disciplined - only buying back at S$0.28, not higher.

 

anyone receive reissuance money from paccent??? what is that about?

 

With the possible lucrative sale of fibre broadband business stake and impending FWD insurance IPO by Richard Li may inject some life into PCRD share price in the coming weeks and months!

 

Yes. The only way is up.

 

At last, crossed $0.30 and selling dru up.

 

Ah yes I see it now - in 2000.

Even taking this to one side, looking at share price performance without adjusting for corporate events doesn' t make much sense anyway given the capital distributions this company has made over the years.

 

Remembered it did crossed $20 and there was 1 for 10 split...... long time ago.
 

Alignment      ( Date: 11-Dec-2023 15:37) Posted: The price of this company has not been above $0.50 ever.

 

Very undervalued stock even at 50 cents

Alignment      ( Date: 11-Dec-2023 15:37) Posted: The price of this company has not been above $0.50 ever.