Good start to imagine the valuation. If 124km with average 5.2 years remaining give valuation of RM 4.3billion. WCE 233km with about 30+10 years concession should give valuation of at least RM 10b (RM4.3b x 3), just my imagination.
--------------- in 2022 ALR paid the following generous amount to take over the soon to be expired highway concessions (let's omit Smart in the discussion) : $1.19 bil for Kesas , 57.5 km concession expiring 2023(1 year left from 2022) $2.21 bil for LDP, 40km concession expiring 2030 (8 years left from 2022) $863 mil for Sprint ,26.5 km , concession expiring 2031/2034 (avg 10 years left) Total sum paid for 3 highways = $4,263 mil Total length for 3 highways = 124 km Remaining concession live (weighted avg basis) = 5.2 years only ! (Note ; once concession expire, no toll would be collected)
Let's factor in the distance and concession remaining live into the equation : ALR paid $4,263 mils for 124 km and for 5.2 years concession, ie $6.6 mil per km per concession year !
WCE is 233 km and remaining concession is 40+10 years (concession runs from 2013, 10 years lost!) . How much should it potentially worth ??
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....
Tibbers
570 posts
Posted by Tibbers > 2023-07-10 09:49 | Report Abuse
wow 0.90 this month.