That's too far down the road ....not sure the PH government will come out with what roti canai again .....many uncertainties, unless the toll completed and really start collect money frm users and reflected in the WCEHB accounts
MWE/TAN SRI S.U beli 26% pada harga RM1.35 sesaham. Wa ada kereta jual, ada rumah jual, ada kedai jual, ada emas jual, beli WCEHB! Dalam masa 2 tahun untung 300%-500%.
That's too far down the road ....not sure the PH government will come out with what roti canai again .....many uncertainties, unless the toll completed and really start collect money frm users and reflected in the WCEHB accounts
this is the reason i buy. for the future dividend yield
Mee too but what holding me back to add more is the PH roti canai policy Today announce A tomorrow announce B , can change easily And talking announce things without use brain especially stupid LIM GUAN ENG
haha. relax bro. Tht day in close door meeting with all FM , LGE said will honor contract, will not touch toll road until got money, and he expect next 3 yrs wont touch them. if cancel also might be 1 ,2 toll which i think is older or nearer contract term end. So no need pay so much mah.
I believe as a Finance Minister he will honor his word, and the contract signed will be intact still. End of day, EPF, KWAP,PNB all owning big projects in Malaysia. Why harm own tax payers or rakyat money right?
Projek baru mula, MWE beli 26% pada harga RM1.35 sesaham. Mahu tunggu projek sudah siap baru mula beli ke? Kalau projek sudah siap atau 90% siap, harga saham WCEHB sudah jadi RM6.90 bukan lagi macam harga sekarang 690 sen!
I think the reason to why the share price went down was due to the cost escalation of the West Coast Expressway (WCE) project from the initial RM5.94bil to now RM6.69bil. The impact to shareholders is that now they will need to fork up more money to be injected into West Coast Expressway Sdn Bhd (WCESB) which is 80% owned by WCEHB. Total equity to be injected has gone up to RM1.56bil from the initial RM1.2bil.
As of Nov 18, the company has already injected a total or RM600 mil. The announced RCULS is expected to add another RM318mil additional equity injection into WCESB which brings the total amount to RM918mil. So, the company still need to raised another RM642mil from equity after this.
Basically, if you decide to invest into this company you need to prepare another RM0.50 per share for the RCULS subscription and another RM0.62 per share for future equity fund raising. This brings the total additional cash to be invested to RM1.12 per share (on top of the current share price of RM0.495). Off course you can always decide not to subscribe to any of the fund-raising exercises but it will dilute your position later.
If you are looking to diversify your portfolio outside of WCE Holdings (due to funding uncertainties of WCE project), I would recommend you to look at MBMR.
MBMR is a direct proxy to Perodua via its 22.6% interest in the company. Valuation is cheap at only 6.0x PE (based on target FY18 PATAMI of RM145mil. 9m PATAMI is already RM106mil). PB is low at only 0.5x BV. 4Q18 results is expected to be higher than 3Q18 and last year's 4Q17.
For FY19 growth will be driven by the still high demand of new Myvi and the newly launched SUV and also the new Alza in 2H19.
Please go through the analyst reports (https://klse.i3investor.com/servlets/stk/pt/5983.jsp) and do your own analysis before making any decisions. Most analysts have a TP of above RM3 for the company with Hong Leong being the lowest at RM3.13 and Maybank the highest at RM4.50.
Refer to page 9 for the details on the delay of construction to August 2022.
For the increase in project cost to RM6.69bil you need to read the paragraph before the summary table. Below is an extract from page 10:
"In view of the above, the project cost for the WCE Project will now increase further by approximately RM0.57 billion to RM6.69 billion (from the RM6.12 billion announced in the RCULS Announcement). Such increase in project cost will have to be funded by the shareholders of WCESB on a pro-rata basis and hence the Equity Contribution will increase from RM1.38 billion to RM1.95 billion. Based on the Company’s 80% equity interest in WCESB, the Company is now required to inject RM1.56 billion in the form of equity, convertibles and/or subordinated advances into WCESB, in order to fulfil its share of the Equity Contribution."
Hi RainT,
They still have yet to finalised on the right issue date (other terms will be the same as the link above). They are trying to get approval from Bursa for non residents shareholder to participate in the right issue.
That one is outdated. Im privy to new information, which i did not have when i wrote it then. This new information has led me to understand my previous assumptions are too optimistic. I cannot disclose this information as its P&C.
Having said that, im fine with keeping my 2% position. There is enough tail end benefit that should be interesting.
Projek ECRL batal-WCEHB TP-RM5++. multiple limit up Projek ECRL diteruskan(kosRM80b)-WCEHB TP-RM5++. harga tiket sangat mahal. Projek ECRL diteruskan(kos RM60b)-WCEHB TP-RM4++. harga tiket masih mahal. Jika kerajaan ambil alih- RM1.50-RM3.00 per saham. Jual-jual jangan tak jual!
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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....
RainT
8,448 posts
Posted by RainT > 2018-11-18 13:30 | Report Abuse
Wait and waiting for the toll to complete ......