is true la those people bought and snatch at 0.54 cts if pick up by now kena jail la, if want come out early from jail must sell back to the Bhs crooks at a loss hahahahahahaha really Chinaman corner stocks.
yesterday good shakeout at 41..remove contra and weak player already..with DJIA up 100+ points and rising crude oil, we will see changed sentiment in mid cap stocks
....remember Harvest Court (now known as Anzo) when its share price moved from 0.08 to 2.13 in 2011......today BHS has turned that story into reality....."Green" business
From waste to paper BHS has embarked on a new environmental business that utilises what management describes as “ground-breaking technology” to process palm empty fruit bunches (EFB) into pulp and paper. This technology, called PRC-RBMP, is patented in China, Malaysia, Indonesia and Thailand. The EFB fibre length produced by the PRC-RBMP technology has been tested and verified by the Forest Research Institute of Malaysia.
Malaysia: a net importer of pulp and paper Malaysia currently consumes 3.2m MT of pulp, paper and paperboard annually but only produces 1.9m MT. Hence, it is a net importer of pulp and paper. On the other hand, Malaysia generates 20-30m MT of EFB a year, which has no economic value other than as biomass for energy generation. At an average price of US$700 per MT for paper, there is an addressable market potential of US$4.9bn domestically.
Building a plant in Pekan BHS has been granted a 26-acre piece of land in the Pekan Green Technology Park to set up a 10,000 MT wood-free paper pulp production line that will be ready in 1H17 at a cost of RM50m. The EFB will be secured from Felda’s surrounding palm oil mills in Pahang. Management has guided that the plant will add RM12-15m to its bottom line when it is ready.
BHS to trade at only 2-3x P/E? In phase 2, Felda-BHS is exploring a JV to build another plant with 100,000 MT capacity. it is possible that the project could yield net profit of RM120m-150m, according to management. Assuming BHS holds a 50% stake in phase 2, this could translate into total group net profit of RM72m-90m (including net profit of RM12m-15m from phase 1). At the current market capitalisation of RM200m, this translates into a prospective P/E of only 2-3x.
Felda: a strategic shareholder and partner In Sep 2014, Felda emerged as a substantial shareholder, with an 11.3% stake in BHS. BHS is partnering with Felda and has secured unlimited access to Felda’s EFB for 10 years at RM10/MT.
Valuation In our view, the closest comparables for BHS are CB Industrial Products (CBIP), which manufactures, markets and trades palm oil mill equipment, and Heng Huat, which converts EFB into mattresses and cushions. CBIP is trading at a FY16 P/E of 12x based on the Bloomberg consensus forecast while Heng Huat is trading at a historical P/E of 14x FY15.
Wah looks like a huge potential for BHS. With Felda involved & the new CEO, so literally all the palm oil waste from Felda will be turned into "Paper" gold. Definitely can start collecting BHS now & wait for it to "Ripen" into $$$. This is a much better buy than any other palm oil related stock for now. Buy Buy Buy
Sudah mati la Bhs next resistance level 0.38 cts, if drop below 0.38 cts next level 0.18 cts this company actually sudah bankrap hutang more than income
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....
UMA
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Posted by UMA > 2016-01-12 09:05 | Report Abuse
Yes i coming