MDR, Rowsley

MDR: http://www.reuters.com/finance/stocks/financialHighlights?symbol=MDRT.SI

P/E Ratio (TTM) 15.12
Price to Sales (TTM) 0.32
Price to Tangible Book (MRQ) 2.61
Price to Cash Flow (TTM) 14.83
Quick Ratio (MRQ) 1.54
Current Ratio (MRQ) 2.32
Interest Coverage (TTM)  120.56
Almost no debt
Gross Margin (TTM) 9.89%
Net Profit Margin (TTM) 1.83%

Not a value play by the above ratios. However, we should look at MDR as a Myanmar telco play as it looks likely (not 100% certainty though) that MDR will become 1 of 4 telco in future. Myanmar has a population of 48m.


Rowsley: http://www.reuters.com/finance/stocks/financialHighlights?symbol=ROWS.SI

It is an investment holding company held by Billionaire Peter Lim. Find out more about them at the company website: http://www.rowsley.com/about-us/

From publicly available news, it is entering a joint venture with another company that is 30% owned by the Johor Royalty and is purchasing a piece of land in Iskandar for development. It will also be acquiring a property developer firm for this purpose through the issue of shares at $0.15 each.

NAV of each share is reported as $0.0372 in the 2012 annual report.

Again not a value play, but the propects of investing in Iskandar is interesting and the potential partnership looks strong. However, the investment capital required for the development is going to be huge and thus there's a good chance that Rowsley will raise capital in the future. Thus will need to have spare cash to pump in if necessary.

Used items trading

http://singapore.gumtree.sg/

This site offers comprehensive listing and posting of used items for sale. The site is quite well patronised as there are more than 60,000 listing of items.

The categories available are:
- antiques / jewellery / collectibles
- CD / DVD / games / books
- clothes / accessories / baby
- computers / software
- household / furniture
- tickets music / sport / event
- phones
- sports / bicycles / fitness
- tv / camera / audio / music
If you are a property owner that rent out the apartment and need to replace some furniture or electronic items, this is a good place to hunt for low price replacement items.

Koon Holdings rights issue

Koon Holdings Limited is giving a 3 rights for every 5 shares at S$0.19 for each rights.

Basic info
==========
1) Current ordinary shares (OS): 164,208,000
2) $16,324,000 cash and fixed deposits. This works out to $0.099 cash per OS
3) $52,842,000 total equity. This works out to NAV of $0.32
4) Current share price: $0.205
5) Rights issue shares: 98,524,800

Valuation
=========
Assuming the current share price of $0.205 better reflects the true enterprise value (EV) of the share
rather than the cash per OS or NAV.

Assuming full subscription of the rights issue,
EV of each share after rights issue will be ((3 x $0.19) + (5 x $0.205))/8
= (0.57 + 1.025)/8
= 1.595/8
= $0.199375 

Thus the fair value of 1 rights will be $0.199375 - $0.19 = $0.009375

Buying pre-owned game consoles and games

Came across this shop selling both new and pre-owned consoles and games. Worth taking a look.

http://www.qisahn.com/

Singapore Property Index (1984-2011)

Source: https://wiki.smu.edu.sg/w/1011t1is428/images/f/fc/Final_report_Ycube.pdf

Source: http://www.singstat.gov.sg/stats/charts/econ.html

The index was rightly baseline as 100 in 1998 after the sharp drop due to Asia Financial Crisis (refer top chart). Subsequently, the index went north as economies recovered.

However, the new low should now be re-aligned to the period of 2008/2009 after the Global Financial Crisis triggered by the housing bubble in US and the collapse of Lehman Brothers. The new baseline would be in the region of 160 for residential properties (refer bottom chart. Note that both charts are not directly comparable but serves as a good gauge).

Given that the current residential properties index is in the region of 200, any decline back nearer the 160 area would be a good buy. It also means that the current down side is about 40 index points, roughly 20%.

Dual Currency ETF on SGX

There are 7 ETF listed in SGX that is trading in dual currencies.

Some things to note:
1) Since they are listed in SGX, there are no holding costs, unlike buying foreign shares. Thus this is good

2) They are fungible, meaning one can buy in currency A and sell in currency B, vice versa. Again, this is good as you can choose to transact in the currency that is most beneficial to you.

3) Dividend distributions (if any) will be handed out in the primary currency of the listed security. To note.




The 7 ETFs are:
1) CIMB S&P Ethical Asia Pacific Dividend ETF
- Details: http://www.cimbetf.com/index.php?ch=ch_etf_sg&pg=pg_etf_sg_ethical
- Tracks S&P Ethical Pan Asia Select Dividend Opportunities Index.
- The Index is designed to track the performance of ethically conscious, high dividend yielding stocks from the Pan Asia region. To be included in the Index, stocks must have less than 5% revenue exposure to alcohol, gaming, pork, and tobacco. The top 40 highest yielding stocks in the Pan Asia region that meet these criteria are represented in the Index.
- Manager's fee: 0.65% of NAV pa up to max 1%
- Primary current: US$
- Gives dividend annually or more frequently (if any). Newly listed so no dividend record available
- Personal comment for my own reference: I like.


2) CIMB FTSE Asean 40
- Details: http://www.cimbetf.com/index.php?ch=ch_etf_sg&pg=pg_etf_sg_asean
- Tracks FTSE/ASEAN 40 Index
- The Index is maintained by FTSE and represents the 40 largest companies (ranked by market capitalisation) listed on the stock exchanges of Indonesia, Thailand, Malaysia, Singapore and the Philippines
- Manager's fee: 0.65% of NAV pa up to max 2%
- Primary current: US$
- Gives dividend annually (ranging from us$0.23 - us$0.35 per unit). ~3% yield.
- Personal comment for my own reference: I like. However to note that it is Sinagpore heavy (~36%) and Financials heavy (~43%)


3) iShares Barclays Capital USD Asia High Yield Bond Index
- Details: http://sg.ishares.com/product_info/fund/overview/SGX/O9P.htm#
- Fund Size: us$22.36mil
- Management fee: 0.5%
- Dividends: Appear to give quarterly ~us$0.22. ~8% yield
- Personal comment for my own reference: Might be good to have a little investment here for the high yield. Of course, the risk is much higher too.


4) iShares MSCI India Index
- Details: http://sg.ishares.com/product_info/fund/overview/SGX/I98.htm
- Fund Size: US$630mil
- Management fee: 0.99%
- No history of dividends since 2006.
- Personal comment for my own reference: Good for exposure into India, but prefers to have dividends


5) iShares J.P Morgan USD Asia Credit Bond Index
- Details: http://sg.ishares.com/product_info/fund/overview/SGX/N6M.htm#
- Fund Size: us$43.33mil
- Management fee: 0.3%
- Dividends: Appear to give quarterly of ~us$0.12 each. ~5% yield


6) iShares Barclays Captial Asia Local Currency year Bond Index ETF
- Details: http://sg.ishares.com/product_info/fund/overview/SGX/N6L.htm
- Fund Size: us$36.14mil
- Management fee: 0.35%
- Dividends: Appear to give quarterly of us$0.08 each. ~3% yield


7) iShares Barclays Captial Asia Local Currency 1-3 year Bond Index ETF
- Details: http://sg.ishares.com/product_info/fund/overview/SGX/O9Q.htm#
- Fund Size: us$9.4mil
- Management fee: 0.35%
- Dividends: Appear to give quarterly. us$0.04 in feb-12, us$0.05 in jun-12. ~2% yield
- Personal comment for my own reference: Fund size is puny. Don't like.

Lantrovision Rights Valuation

Lantrovision is giving a $0.01 special dividend per ordinary share (OS), and a 100 to 1 consolidation. After which, each consolidated share (CS) is entitled to 12 rights issue at $0.09 each.

Basic info
1) Current ordinary shares: 2,074,939,000
2) $65,290,000 cash and fixed deposits. This works out to $0.0314 cash per OS
3) $95,983,000 total equity. This works out to NAV of $0.0462

Valuation
Assuming the current share price of $0.032 better reflects the true enterprise value (EV) of the share rather than the cash per OS or NAV (both are higher by the way).

EV per 1,000 OS = 1,000 * $0.032 = $32
EV per 1,000 OS after special dividend = 1,000 * ($0.032 - $0.01) = $22

EV per 10 CS = $22
EV per CS = $2.2

Assuming full subscription of the rights issue,
EV per 13 CS after rights (CSAR) = $2.2 + ($0.09 * 12) = $3.28
EV per CSAR = $3.28/13 = $0.2523

Thus the fair value of 1 rights will be $0.2523 - $0.09 = $0.1623

Monetise your garbage. Karang Guni. Rag and Bone

Updates on 14th Jun

Turns out that the companies listed under National Environment Agency either do not collect from residential, or they will charge a fee from $100 to $500 for the disposal.

The online karang guni also collects certain items only.

Found a new source:
http://www.faithrecycle.com/contact_us.htm

email: csr@faith-intl.com 


Posted on 6th Jun
If you have broken stuff to get rid of, such as broken electronics, there are a few avenues to get some money out of them.

1) National Environment Agency
If you want your unwanted household appliances (e.g. used computers, TV sets) to be collected for reuse/recycling, you may contact one or more of the companies listed at their site here.


2) Online Karang Guni
Check them out here.
24 hours collection service

Formula One (F1) IPO on SGX

Formula One (F1) is looking to IPO on SGX next month.

Total listing expected to be US$3B. It will be priced in S$ and any dividends will be distributed in S$ as well.

Currently privately owned by private equity firm CVC Capital Partners.

Share is expected to be bundled with a loan note:
- 10% interest rate to shareholder
- mature in 2060
- may be callable 

Proceeds of the IPO:
- US$450m will be used to partially repay current debt of US$2.2B

A lot depends on the pricing of the IPO, but the bundled loan note looks interesting. Keep a look up on this.

IHH Healthcare IPO

Owned by Malaysia's sovereign wealth fund Khazanah. 

IHH is one of the world's largest private healthcare providers with 16 hospitals, 3000 beds, 60 medical centres and clinics:

1) Singapore - Mount Elizabeth, Gleneagles, Parkway East Hospitals, Mount Elizabeth Novena Hospital.
2) Turkey - 60% of Acibadem AS, Turkey's largest private hospital with 1750 beds.
3) Malaysia - Pantai Hospitals and International Medical University
4) China
5) India - Apollo Hospitals Enterprise Ltd
6) Vietnam
7) Brunei

Current ownership composition:
1) Malaysia's Khazanah 62.1%
2) Japan's Mitsui & Co Ltd 26.6%
3) Dubai-based Abraaj Capital 7.1%
4) Acibadem chief Mehmet Ali Aydinlar 4.2%

Expected IPO date - Jul 2012. It will be dual listed in Singapore and Malaysia. Indicative price should be available on 1 Jun.

This is definitely something to look forward to to gain a good exposure to the healthcare sector, given raising healthcare costs and aging population in Singapore and China. 

Charles Nenners 2012 Updates

Personally, I don't find his prediction accurate. You can do a quick stock take on his calls through the past articles.

Anyway, these are his updates as of Mar 2012:

1. The cycle work points to April 19th as the target date for a peak in stock prices. Expect it to be like 2011. The economy seemed strong at the beginning of the year, and then became weak.
2. Bond market price cycle bottoms in April, and then turns back upward into September. Following that, Bond prices should turn down for many years.
3. Gold should be at a cycle low in the first week of April.

Previous articles on Charles Nenners here.

Facebook IPO Valuation (Update)

Facebook had updated their IPO price range from $28-$35 per share to $34-$38 per share.

Many articles out there had estimated the PE to be about 100x.

A quick comparison to the 2 most popular tech stocks:
1) Apple: PE (TTM) = 13.5x
2) Google: PE (TTM) = 18.5x

This makes facebook quick overpriced, given that it is still trying to monetize their business model. As stated in the earlier post, it only makes for speculative trading.

Facebook IPO, Valuation

Facebook will officially debut on the Nasdaq Stock Market (listed as "FB") on 18th May 2012.


IPO price is expected to be $28 to $35 per share. Of course the trading price on 18th May is expected to be even higher than the IPO price.

Basic Numbers
Revenue: $3.7B
Profit: $1B
Users: 845M
IPO Target: $12B (different numbers reported by articles, from 5B to 13B)
IPO Price (expected): $28 to $35
IPO Shares issue (estimated):  343M (using $12B divided by $35 per share)
Total Class B shares: >2B

Why IPO - Use of Proceeds

"The principal purposes of our initial public offering are to create a public market for our Class A common stock and thereby enable future access to the public equity markets by us and our employees, obtain additional capital, and facilitate an orderly distribution of shares for the selling stockholders. We intend to use the net proceeds to us from our initial public offering for working capital and other general corporate purposes; however, we do not currently have any specific uses of the net proceeds planned. We may use a portion of the net proceeds to us to satisfy a portion of the anticipated tax withholding and remittance obligations related to the initial settlement of our outstanding RSUs, which will become due approximately six months following the completion of our initial public offering. Additionally, we may use a portion of the proceeds to us for acquisitions of complementary businesses, technologies, or other assets. However, we have no commitments with respect to any such acquisitions or investments at this time.

Pending other uses, we intend to invest the proceeds to us in investment-grade, interest-bearing securities such as money market funds, certificates of deposit, or direct or guaranteed obligations of the U.S. government, or hold as cash. We cannot predict whether the proceeds invested will yield a favorable return. Our management will have broad discretion in the application of the net proceeds we receive from our initial public offering, and investors will be relying on the judgment of our management regarding the application of the net proceeds." 

This basically says that facebook doesn't really need the money, so it could be a case of cashing out by the key stakeholders.

Dividend Policy
"We have never declared or paid cash dividends on our capital stock. We currently intend to retain any future earnings for use in the operation of our business and do not intend to declare or pay any cash dividends in the foreseeable future."

Patents
For such a prominent company, Facebook seems to have limited patents and IP.

"As of December 31, 2011, we had 56 issued patents and 503 filed patent applications in the United States and 33 corresponding patents and 149 filed patent applications in foreign countries relating to social networking"
 
"We are currently, and expect to be in the future, party to patent lawsuits and other intellectual property rights claims that are expensive and time consuming, and, if resolved adversely, could have a significant impact on our business, financial condition, or results of operations"

Business Prospect
Given its wide reach and context awareness of its users, the advertising potential of Facebook is huge and could be greater than Google.

Summary
This looks like a speculative trading target since it is not a dividend play and it already has rich valuation. 

Alternative Investments

These are some "exotic" investments featured in Sunday Times dated 29th April 2012

1) Oudh oil from Aquilaria Trees
Who: Asia Plantation Singapore
Min Investment: S$27,500 for 100 trees. Each plantation has 12,000 trees.
Time Frame: 6-7 years
Returns: 19-22% pa.

2) Seaweed Farming
Who: Dynasty Marine Farm
Min Investment: S$4,500 per unit in Sabah
Time Frame: 5 years
Returns: 15% pa

3) Livestock
Who: Salisbury Investments
Min Investment: S$3,100 for 6 cattles reared in Colombia's San Pedro milk region
Time Frame: 1.5 year
Returns: 12-15% pa

Fengshui

Flying star & 8 mansions Feng Shui analyser for home & office:
http://www.skillon.com/fstar.cfm?direct=1


Tai Sui locations:
 http://www.skillon.com/articlesNew.cfm/id/2016



2012 Flying Star Feng Shui Dragon Year - 04 Feb 2012 to 03 Feb 2013:
http://www.skillon.com/articlesNew.cfm/id/2014

Free tools:
http://www.geomancy.net/