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E.1. Updates on Section B (Stock Selections)
Announcements
The 2nd Chance
Portfolio Performance at 31 Dec 2015
The 2nd Chance
KLCI
Source: Capital Dynamics
cumulative return annual return
-8.15%
2.66%
3.12%
-7.01%
Cash balance at 14 Jan 2016:
RM 59,538.85
Add: –
Less:
–
Net Cash Balance Available:
RM 59,538.85
Asset Allocation Percent (%)
Amount (RM)
Cash
100
59,538.85
Equities
-
-
Total
100
59,538.85
Comments:
Section D2
was set up, at our own initiative, to assist our subscribers who may have followed
our stock selections that have subsequently not worked out. The first part was started with
RM15,274.69 cash on 7 Dec 2000. The KLCI was 735.97 points. Subsequently,
The 2nd
Chance Portfolio
reached the original cost of RM80,000 and was closed.
On 30 Oct 2014,
i
Capital re-activated
Section D2
. It assumed that our subscribers initially
invested RM10,000 (or its percentage equivalent) for each dead duck and the quantity bought
was derived from there. Any dividends received have been ignored. We sold these dead ducks
on 30 Oct 2014 and would re-invest the proceeds at the right time. The objective is to recover
our principal as soon as it is realistically possible. Once this is achieved, we will close this
special portfolio again. So far, we have sold 16 counters at a cost of RM160,000.
Counter
Date bought
Qty
Price KLSE CI
Total cost Current price
+/-
Currently, no shares are in this portfolio.
Comments: The Second Chance retains
its portfolio
HAPSENG
Its wholly-owned subsidiary, Hap Seng Land Development
S/B had acquired the entire issued and paid-up share capital
of Golden Suncity S/B (GSSB), comprising 2 ordinary shares
of RM1.00 each at a cash consideration of RM2.00. GSSB
is currently dormant and the acquisition is to facilitate the
company’s business expansion.
AXIATA
With reference to the court case of its subsidiary, Technology
Resources Industries Bhd (TRI) against Tan Sri Dato’ Tajudin Bin
Ramli, Dato’ Bistaman Ramli and Dato’ Lim Kheng Yew, the court
has dismissed the appeal with costs of RM30,000 to be paid by
Tan Sri Dato’ Tajudin Bin Ramli and Dato’ Bistaman Ramli to TRI.
Revenue for 9 months ended 31/12/2015 edged up 3.87% to
RM448.2 mln. Pretax profit climbed 6.72% to RM118.4 mln. Net
profit gained 9.73% to RM88.73 mln. Net earnings per share
were 33.61 sen. 5.00 sen dividend declared.
i
Capital retains its
Buy below RM2.625/Hold rating.
QL
Its subsidiary, Kembang Subur S/B, has entered into a share
acquisition agreement to acquire 100% equity interest in Cargill
Aquaculture Resources S/B (CAR), comprising 4.00 mln ordinary
shares of RM1.00 each at a purchase price of RM1.30 mln.
CAR is principally engaged in the business of breeding, genetic
selection and hatchery operations for the production of aquatic
species.
HUAYANG
BURSA MALAYSIA
STEMLFE
UMW
With reference to the conditional take-over offer from Cordlife
Group Ltd (Cordlife), Cordlife has acquired 0.435 mln shares
The disposal of its 60% stake in UMW Helmsion Engineering P/L
by its 70% owned subsidiary, Vina Offshore Holdings P/L has been
completed.
SERIAL SYSTEM
Its 70% owned subsidiary, Hydra & Thermal Pte Ltd (Hydra),
has entered into a conditional sale and purchase agreement to
acquire 100% of the enlarged capital of Sear-R Corp Ltd (Sear-
R), after capitalisation of the outstanding loans owed by Sear-R
to one of its shareholders. Sear-R is incorporated in Cambodia,
and is engaged in the distribution of consumer electronic products
and household appliances business. The aggregate purchase
consideration is US$1.00 and Sear-R’s net liabilities amount to
US$21,000.
HONG KONG EXCHANGE (HKEx)
YONGDA
Its indirect wholly-owned subsidiary, Shanghai Yongda Investment
Holding Group Ltd, has entered into a binding framework agreement
with respect to a proposed transfer of certain assets by the group in
exchange for certain equity interests in the A-share Listco.
M1
Revenue for 12 months ended 31/12/2015 climbed 7.52% to
S$1.157 bln. Pretax profit inched up 0.6% to S$218.4 mln. Net
profit inched up 1.54% to S$178.5 mln. Net earnings per share
were 19.10 cents. 8.3 cents dividend proposed.
i
Capital retains
its Buy/Hold rating.
SINGAPORE EXCHANGE (SGX)
at RM0.45 per share, 0.14 mln shares at RM0.45 per share,
and 77,000 shares at RM0.45 per share through open market
acquisition.
The objective of this
portfolio is capital recovery.
In terms of time, we hope
it would not take too long.
The investment approach
used by Capital Dynamics
will be a mixture of our
eclectic market timing
and trading. There are no
restrictions on the type of
shares or stock exchange
that will be invested in. Its
funds will come from the
sales of the dead ducks.
The 2nd part started with
RM57,591.50 cash on 30th
Oct 2014. The KLSE CI was
1,842.78 points. This paper
portfolio is supervised
by Capital Dynamics.
Purchases /sales are based
on daily closing prices.
Purchases/sales can be
made any day.
D
| Medium Term Portfolios
E
| Updates
17
Capital Dynamics Sdn Bhd
The week of 21 January – 27 January 2016
Volume 27 Number 21