JAKS Resources Bhd announced that it had entered into a memorandum of understanding (MoU) with Licogi 13, a joint stock company incorporated in Vietnam to acquire the Lig-Quang Tri (LQT) Solar Power Project as well as future joint-venture arrangements or sale and purchase transactions in respect of other solar and wind energy projects in Vietnam. This is consistent with the group’s plans to venture into the renewable energy business. The Lig-Quang Tri Solar Power Plant (LIG-QTSPP), sitting on nearly 60ha of land in Gio Hai and Gio Thanh communes in the Gio Linh district, has a designed capacity of 49.5MWh, generating 67.96MWh of electricity each year. We understand that the LQT Solar Power Project was built at a cost of US$47.26 million (or about RM197 million). Pending more details, our earnings estimates are kept unchanged for now. All told, we are still wary of the various dilutive effects of equity fundraising done so far and poor execution, especially of its property business. We maintain “neutral” with our TP of 75 sen unchanged for now pending completion of the latest private placement exercise.

We understand that the power purchase agreement for the LIG-QTSPP was executed on Oct 23, 2018 and this project has a life span of 50 years. Currently, the plant is completed and awaiting connection to the national grid. The MoU is non-exclusive to each party and it does not have any legal binding effect or binding commitment in respect of the proposed acquisition. Assuming a purchase price of US$50 million, we estimate that Jaks would need at least RM62.55 million cash (assuming 30% equity and 70% debt) to fund the solar power plant. As such, we suspect Jaks might need to yet again tap the equity market to fund the acquisition. — PublicInvest Research, May 15

DK66:- I read that JAKS recently inked an MOU to buy a solar power plant from a Vietnamese firm LICOGI13.

https://www.theedgemarkets.com/article/jaks-inks-mou-acquire-solar-power-plant-vietnam

From what I see, this looks like a clever business move from JAKS to take advantage of Vietnam's growing demand for electricity where it is already facing severe power shortage.

What is your opinion on this MOU? Thanks!

Philip:- You asked me how long I've held JAKS and whats my performance from holding this stock..So here is the reply if you've missed it..

As of now, I've already grown my initial capital by more than 110% already with 80% realized profit and 40% unrealized gain from mainly buying and selling JAKS and DAYANG. The huge chunk of my profit came from buying and selling JAKS (around 101%).

I had doubled my initial capital from investing in JAKS alone in less than 1 year and 6 months. I could have tripled my fortunes if I had taken action earlier by selling JAKS at a higher price instead of 0.98 cents when it tanked due to the COVID-19 stock market crash.

Before the stock market crash, my paper profit for less than 1 year was 196% (from 52 cents to RM1.54). But I didn't take profit and saw almost half of it wiped out due to the stock market crash caused by COVID-19. But all is not lost as the stock market crashed allowed me to buy back JAKS and JAK-WB with 80% more capital than my initial capital from my first investment with JAKS.

But the best is yet to come. I stand firm with DK66's and OTB's belief that JAKS will hit RM4.00 by next year and RM5/6 by 2022/23.

If JAKS hits RM2.50, my ROC will be 632%.
If it hits RM4.00, it will 1100%!!
If it goes all the way to RM5, it will be 1400%!!
If it hits RM6.00, it will be 1700%!!!

Now you see why I'm so excited about JAKS. It can turn me into a millionaire in just 2 more years!!

I'm sure DK66 and OTB will have far more impressive ROC than mine.

I hope they will make a lot of money as well.

Good luck to all JAKS supporters and shareholders and lets make a lot of money together!!

Yay!

DK66:- Are you keen to buy Yinson? Looks like you're based on the information you're asking.

andr:- Yup. Thanks bro!

Philip:- Thanks for recommending Yinson. I will keep this stock in my radar and will only buy when Yinson is trading below RM2. Right now, I will not chase Yinson even at the current price which is way too inflated and expensive.

If people think that buying JAKS at 85 cents is expensive, what more buying Yinson at RM4.81 at PE of over 25. Too bloody expensive.

Yes, I will consider Yinson only when price reaches reasonable levels. Right now, the upside is pathetic in comparison to the huge downside potential.

This is what I meant when I say that one must buy the tree before it bears good fruit. Now Yinson's tree is way too expensive even if it's bearing good fruit. Too late for me but it's better than to commit financial suicide for a paltry 50% or 80% upside.

Those who bought and held Yinson at RM7 or more are now suffering a paper loss of at least 30%! And for what? For a paltry 50% upside?

Risk a potential 200% downside for an upside of just 50%? That's a sure way of committing financial suicide.

If Yinson was trading at say RM2.00, I'd definitely consider because there is a potential upside of 250% or more. But at the current price, it's a lousy investment as far as risk-reward is concerned.

I still love JAKS and think it's a much better investment.

No offence bro, just my 2 cents worth.

Philip:- If Yinson was trading at low PEs or at RM1.00 or less, I'd definitely invests in it. But now the price is already RM4.81 with the highest price at RM7.42.

No offence but the risk-reward ratio is horrendous! Risk RM4.81 to just get a paltry 54% profit if it got back to it's highest price of RM7.42? But if you're wrong, the stock can tank to as low as anyone's guess i.e. RM2? RM1?!

Lousy risk-reward ratio. So no reason to buy since the upside potential is pathetic.

No offence bro but that's how I see Yinson technically speaking.

Philip:- Can Yinson potentially go up 400 to 500% from it's current price of RM4.81?

DK66:- Spot on brother! What's most important is that the JAKS at RM1.54 is still the same JAKS at RM0.85 fundamentally. Nothing has changed as far as the company and the IPP is concerned. The only big change is the price which is still dirt cheap in light of it's huge upside potential!

Wise investors will take advantage of this temporary selldown to buy JAKS cheap and potentially gain a huge 300 to 600% profit!

To those who hate/don't believe in JAKS:- buzz off and be somewhere else instead of sprouting nonsense here with no facts and figures to back up your silly, mindless, speculative claims!

To those who believe in JAKS:- stand firm! The COD for the turbines are just around the corner. Once the COVID pandemic is over, JAKS will soar like no tommorow!

Uncle Koon drew my attention to JAKS back in 2018 when he was heavily promoting JAKS because of the 25 year IPP contract. But Uncle Koon recommended JAKS at the wrong price! He was wrong in saying that JAKS would fly high when in fact it tanked to as low as 40 cents. Luckily I didn't follow his recommendation blindly and patiently waited for a better price. Otherwise, I would be seating on a huge paper loss instead of profit. Thank God!

When JAKS went down to 70 cents, I still resisted the urge to jump in. Only when JAKS rebounded from it's lowest price of 40 cents and an uptrend was evident, did I decide to jump in at 52 cents. I actually made a mistake because I should have bought more warrant than mother share which would have netted me even more profits.

Again I must give thanks to DK66, icon8888, OTB and to a certain extent Uncle Koon for their recommendations and insighful research into JAKS.

Special thanks to DK66 especially for taking a lot of effort and time to write about JAKS. He is trully an accounting genius and stock investor who invests based on facts and figures.

As of now, I've already grown my initial capital by more than 110% already with 80% realized profit and 40% unrealized gain from mainly buying and selling JAKS and DAYANG.

But the best is yet to come. I stand firm with DK66's and OTB's belief that JAKS will hit RM4.00 by next year and RM5/6 by 2022/23.

Philip:- Thanks for the input. From your comments, I understand that you have a cautious and risk-adverse approach towards investing where you must see the tree bear fruit first before you decide to buy the tree. That is a sound and logical investing philosophy. After all, why should you buy the tree when the tree hasn't even shown that it can bear fruit. Maybe the fruits it bear might even be rotten. LOL

That is all good and well. But here is the catch:- by the time you see the tree bear good fruit, the price of the tree would have gone up by so much that there is little upside room. The idea behind buying the tree before it bears fruit is when the tree is selling dirt cheap where risk-reward ratios are hugely profitable to investors.

JAKS fits perfectly into my risk-reward ratio of at least 1:3 where I will win by at least 300% if I'm right and lose only my capital (which is highly unlikely because JAKS NTA is well above my buying price). Coupled with a 25 year IPP contract, how can you go wrong?

As long as there is tremendous potential room for upside, I'm happy.

BullBear777 bodoh babi macam kerbau ditendang beruang 777 kali..LOL

bullbear777 mana you sorok diri? sudah mati bankrupt? LOL

JAKS power plant will be running at full capacity from day 1 onwards..

HANOI: Vietnam's electricity firm EVN has signed five new deals to buy electricity from Laos starting from next year, the state-run company said.

The South-East Asian nation faces severe power shortages from 2021, as demand outpaces construction of new plants, with demand expected to exceed supply by 6.6 billion kilowatt hours (kWh) in 2021, and 15 billion kWh in 2023.

Pacts signed in Hanoi over the weekend with Laos' Phongsubthavy and Chealun Sekong groups provide for EVN to buy electricity from five hydropower plants, beginning in 2021 and 2022, EVN said.

The plants have combined capacity of 363 megawatts, it added, but gave no details.

The import was approved by the Vietnamese government to mitigate power shortages predicted to hit the country from this year.

The Ministry of Industry and Trade estimates shortages of 3.7 billion kWh in 2021 and nearly 10 billion kWh the following year.

2023 will be the most stressful with the shortage expected to be around 15 billion kWh. From then on it will decrease, with the shortage expected to come down to 7 billion kWh and 3.5 billion kWh in 2024 and 2025 respectively.

The industry ministry has said not more than 5-8% of electricity can be conserved, and the only way out is to import more from Laos and China.

But buying from neighbouring countries is only a band-aid solution, and in the long run it is necessary to speed up work on large power generation projects, The government said in a statement. - Vietnam News/Reuters/Asian News Network

The power shortage in Vietnam is so bad that the Vietnamese government even has to buy electricity from it's neighbour Laos..

https://www.thestar.com.my/news/regional/2020/01/07/vietnam-in-deals-to-buy-laos-electricity-from-2021

newbie8080:- Vietnam will face severe power shortages from 2021 - Vietnam ministry.

Vietnam’s demand for electricity will exceed its supply by 6.6 billion kilowatt-hours (kWh) in 2021, a figure set to increase to 15 billion kWh by 2023, equivalent to around 5% of the country’s forecasted demand for electricity then, the ministry said in an emailed statement.

Strong demand for electricity lies ahead.

https://klse.i3investor.com/blogs/Jaks%20resources/2019-12-29-story-h1481949253-Jaks_Resources_Why_JHDP_in_Vietnam_has_a_bright_future.jsp

Aseng:- JAKS was a pure construction company before they got this IPP from the Vietnamese government. But now the fundamentals of JAKS have changed drastically because of this 25 year IPP project. JAKS is no longer a cyclical stock and has a very high probability of reaching RM4 by 2021 and RM5/6 by 2022/23.

Aseng:- No worries bro. I feel your pain because I also lost money before investing in SKPETRO and some shit ACE market stock. But I learnt from my past mistakes, rearranged my strategy, picked myself up and took massive action.

Now my portfolio is profitable.thank God.

LOL

Yay..JAK-WB turned green already...more paper profit added..

never mindlar, i think you got multiple eyes all over your head, thats why you can scalp multiple counters in 1 day..LOL

hng33:- bro, whylar you so lansi, asked you a few questions a few times but you never reply..

hng33:- how do you manage to play intraday trading with so many counters? Keeping an eye on 1 counter is already difficult let alone 3 or 4? Whats ur secret?

Must be quite stressful..

hng33:- i think your contra profit is 3 to 4 times mine. Jealous of youleh...

SarifahSelinder:- how is your investment in JAKS coming along? Is it profitable now?

sslee: haha..yup support you bro! DK66 and OTB for independent directors of JAKS!

wah...some people here wish for others to go bankrupt..cayalar! thanks makesomemoneyonly for your kind words. I wish you well in your life.

funkyway: 2 reasons:- 1)small profit taking by investors 2) Influenced by the DJIA futures performance.

No matter what, JAKS is still greatly undervalued with a long term TP of RM4.00 by 2021 and RM5/6 by 2022/2023. That's why I'm still holding on my Miss Jaks..only sold for 1 cent profit and quickly buy back again in less than 10 minutes for fear of missing the boat..LOL

Come support your homies and JAKS for a lifetime of fortune!

Or should I say DK66 for president and OTB for vice-president of JAKS?

I support DK66! DK66 for vice-president of JAKS!

I support OTB! OTB for president of JAKS!

i didn't learn from my last mistake..LOL

But never mindlar, 1 cent profit better than nothing...

Aiyar...JAKS hit 0.845...aiseh man..

sslee:- Yup..thats why I told him to focus his time & energy into making money from the stock markets, and not waste time attacking others in this forum. Pointless exercise..

GGecko: how are you doing? Hope ur investment in JAKS is now hugely profitable..

Never be too greedy..be happy with what you have no matter how small the profits are..

I left my beloved wife JAKS to cari 1 cent makan and im happy..capital increase slightly with small increase in my initial investment into JAKS!

I will NEVER leave my beautiful wife Miss Jaks..my long term TP will remain at RM5/6 on 2022/23..

I left the boat to get 1 new girlfriend and I got back again without missing the boat..im still in the running for the big win..i will never leave my beloved JAKS for a long time..

Invest_168: you lucky, if JAKS had gone above 0.92 you would have been left in the dust..hard to say when the stock will move against you or not..

Yay...contra profit of 1 cents again.. should have sold earlier at 0.90 but I was too indecisive..sold at 0.88 buy back at 0.87..

1 cent is better than nothinglar..

Wahlauweh..Dayang opening price 15 cents..celaka regret selling my Dayang to early..