PETALING JAYA: The entry of low-profile investor Brahmal Vasudevan into Scicom (MSC) Bhd has caught the attention of the market, with the company’s share price already up 28% since Monday.
Scicom chief executive officer Leo Ariyanayakam when contacted said the entry of Brahmal could be a reflection of investors seeing growth in the company.
“When I first noticed Brahmal’s take-up, I thought it was interesting that savvy investors are now looking at us. They must see something interesting in our business,” he told StarBiz.
According to Bursa Malaysia’s off-market transactions, a block of 10.3 million Scicom shares had been traded in a deal on Tuesday at an average price of 54 sen valuing the deal at RM5.562mil. Brahmal, who runs private equity firm Creador Sdn Bhd, is believed to be the buyer of this block.
He, however, declined to comment when contacted.
The seller of Scicom shares is believed to be Lembaga Tabung Haji (LTH), which had ceased to be a substantial shareholder in Scicom on Sept 6 after selling down its shares since early June when it held a 7.14% stake.
Dealers said that other investors were looking to follow Brahmal’s lead, seeing as he made significant returns via his investment in MyEG Services Bhd. Brahmal had emerged as a substantial shareholder in MyEG in October last year at a price of around 80 sen per share. Then, in September, he pared down his stake in the e-government service provider to 2.2% from 5.11% at an undisclosed price base on Bursa filings. At that time, the stock had traded in a range of RM1.80 to RM2.00.
An analyst said that Scicom was poised to enjoy an earnings growth, pointing to Scicom’s fourth-quarter net profit of RM5.3mil, which was a significant 35% rise year-on-year. The latest quarterly earnings of 1.78 sen a share values the stock at 10.5 times based on yesterday’s closing price of 70 sen.
For the financial year ended June 30, 2013, it recorded a net profit of RM14.56mil and declared a dividend of 3 sen per share, translating into a payout ratio of about 60% of total profits. The company had RM15.61mil in cash and a zero debt position as at end-June 2013.
On Scicom’s growth, Leo said that company would be moving into solutions and that their patronage in business process outsourcing would move more intricately along the value chain.
“Clients do not just see things from a single perspective. It is important for us to provide the aspect of vertical integration, so in order to do that, we have to get involved in the supply chain as well,” Leo said. Scicom derives 93% from its outsourcing operations, and 7% from its other businesses.
Among them are its wholly-owned Scicom Academy, which graduated 3,940 students through its various certification programmes for both governmental and corporate clients, and its 70%-owned Scicom International College Sdn Bhd, which was recently awarded a full college licence and is currently obtaining accreditations from the Malaysian Qualification Agency for its planned diploma programmes.
SMRT long term tp is RM1, if you can hold till end of the year, not lying here
last quarter they do 5 million profits x 4 imagine + cyberjaya medical 5million profit count yourself 25mil at least, at pe 8 should be market cap 200million, now only 120 million, still long way to go man
brahmal bought scicom shares from lembaga tabung haji, a crossover, you wont see it, he crossed at 50cents, now rm1, within 6 months time, myeg he bought at 80cents on oct 2012, at oct 2013, he sold at 2.20, one year time frame
manay more, ghlsys he bought at 50c, surge to rm1, within 1 year, oldtown also more than 100%, bonia he bought at rm3, now rm5.xx, within 1 year
so smrt his cost around 40cents+, within a y ear 80cents tp should be there
THIS COMPANY IS GOING FOR MAIN MARKET SOON, be mindful of that, maybe will happen in 6 months time when they consolidate their cyberjaya profits
its a wonderful surprise to me. I chased the share at 42 cts during the uptrend.(warrant) ...day after that its start to fall slowly till 36 cts. Was counting t plus 4 to buy cheap .I did q but did not get. Today, i was busy with work but what a wonderful surprise !! I envisage despite the UMA,it will rocket up .I study this share.....always breaking new high wk by wk .....where is the TOP ?? I cant see coz im not a tech expert
mind you wong get uma at 85 cents, the stock dropped to 83 and hit 89 next day, maybe ananda is coming into smrt, haha ananda right hand man aka brahmal= ananda himself
ecoworld - uma - tan sri liew dbhd - uma - sootan dsonic - uma - mamaktir somemore? soon i guess...
4u2c, UMA is just nothing. bursa punya nak tunjuk ada buat kerja , saja tanya director SMRT kenapa share price go up... macamtu saja... Bursa punya staff pun makan gaji juga, kena tunjuk ada buat kerja ma...
the reason why wong corrected is because of the small cap sell down, nothing to do with UMA, UMA is just bursa knockng at door Bursa: "oi, u go up too much liao, why huh?" Director" duno", Bursa: " continue to go up then, dont go up too much ya" Company: "ok!"
Risk trader: u really cnt pakai 1....harvest u say sure will limit up until 0.400 but nw???I oway gt view ur comment....really cnt pakai....monday sure I will sai lang on tis counter....even I loss a lot of money in this counter, I oso no care, I jus wan bet wif you only.......
UMA is just bursa knocking at door Bursa: "oi, u go up too much liao, why huh?" Director" duno", Bursa: " continue to go up then, dont go up too much ya" Company: "ok!"
SMRT HOLDINGS BERHAD (“SMRT” or “Company”) (Formerly known as SMR Technologies Berhad)
REPLY TO THE LETTER FROM BURSA MALAYSIA SECURITIES BERHAD DATED 16 MAY 2014 (REF : NM-140516-62624)
After having made due enquiries with the directors, major shareholders and such other relevant persons, our reply to the query by Bursa Malaysia Securities Berhad dated 16 May 2014 is as follows :
1. Whether there is any corporate development relating to your Group’s business and affairs that has not been previously announced that may account for the trading activity including those in the stage of negotiation/discussion. If yes, kindly provide the details including status of the corporate development to enable investors to make informed investment decision;
No, there has not been any corporate development related to the Group’s business and affairs that has not been previously announced that may account for the trading activity including those in the stage of negotiation/discussion.
2. Whether there is any rumour or report concerning the business and affairs of the Group that may account for the trading activity and in this respect, you are required to comply with Rules 9.09 and 9.10 of the LR;
No, there is no rumour or report that we are aware of concerning the business and affairs of the Group that may account for the trading activity and in this respect, we are in compliance of Rules 9.09 and 9.10 of the LR;
3. Whether you are aware of any other possible explanation to account for the trading activity; and
No, we are unaware of any possible explanation to account for the trading activity.
4. Whether you are in compliance with the LR, in particular Rule 9.03 of the LR on immediate disclosure obligations.
Yes, the Company is in compliance with the Listing Requirement in particular Rule 9.03 of the LR on the immediate disclosure obligations.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
FX Lee
5,194 posts
Posted by FX Lee > 2014-05-16 20:48 | Report Abuse
UMA doesn't stop it from going up