PWORTH is gaining momentum! I value it around RM 449mx70% (new concessionaire)+ RM 60m (old asset)=RM 374m, assuming that it uses right issue or GSR Pe Ltd listing in SGX. That would be some 36-39 sen using sum of part method.
On the flip side, potential drop to 13-15 sen if the concessionaire purchase fails (low risk though)
Of course, the uptrend in lumber price since early 2017 is the icing on the cake.
So far, PWORTH has raised some RM34.6m through private placement and special issues. Current D/E is around 39.6%, still room for further borrowing for bank for the purchase if so desired.
Date to watch 31/3/2018, cash option will expire. Action to watch: PWOETH has yet to call EGM for shareholders' approval for the purchase of the new concessionaire. Pending fund raising via GSR listing: No prospectus sighted yet….
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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....
ginger9038
95 posts
Posted by ginger9038 > 2017-12-29 10:47 | Report Abuse
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