China Huiyuan Juice 1886

[winston]

Not vested. And I dont think this piece of news is worth the 14% rise now.

DJ Uni-President To Raise Stake In Huiyuan Juice In 2010 - Report

TAIPEI (Dow Jones)--Taiwanese food maker Uni-President Enterprises Corp. (1216.TW) plans to raise its stake in juice maker China Huiyuan Juice Group Ltd. (1886.HK) next year, the Economic Daily News reported Monday, citing an unnamed manager at Uni-President.

Uni-President paid US$30.3 million for a 5% stake in Huiyuan Juice in 2005 but it had been unable to increase its stake because of Taiwanese regulations that capped investments in China, the paper cited the unnamed manager as saying.

The Taiwan government relaxed the rules regarding investments in China in July 2008.

Newspaper Web site: http://udn.com

Source: Dow Jones Newswires

[winston]

Not vested.

Mr. Ng, the chief financial officer, company secretary, Authorised Representative and qualified accountant of the Company, has resigned with effect from 18 March 2010.

[winston]

Not vested.

DJ MARKET TALK: UBS Downgrades China Huiyuan Juice To Sell

1150 [Dow Jones] STOCK CALL: UBS downgrades China Huiyuan Juice (1886.HK) to Sell vs Neutral, cuts target to HK$4.90 vs HK$5.30, with house expecting Huiyuan has taken additional loans to meet significant capex demands, resulting in less-flexible balance sheet with net debt-to-equity ratio of 32% in 2010.

After reviewing its sales and cost assumptions, house cuts FY10 EPS estimate by 4%. "We believe that 1H earnings, due late August, could disappoint."

Notes, seasonality, ramp-up of new factories, new sales reps, and the new sales office will be likely factors. Expects 1H10 pre-ex earnings of CNY69 million or just 30% of house's FY10 forecast, and flattish growth from difficult 1H09. Stock flat at HK$5.47.


Source: Dow Jones Newswire

[winston]

Not vested

Juice group seeks waiver on loan
Friday, September 10, 2010

China Huiyuan Juice Group (1886) has breached covenants on a US$250 million (HK$1.95 billion) three-year loan completed in April, and is seeking a waiver from lender banks.

The borrower, which controls more than 10 percent of China's fruit and vegetable juice market, has already fully drawn the loan, but has breached covenants on the deal related to debt ratios, bankers directly involved in the deal said.

Under the loan agreement, Huiyuan needs to maintain a maximum total debt-to-tangible net worth of 0.65 times and a maximum total debt-to-earnings before interest, taxes, depreciation, and amortization of five times.

However, its recently announced interim results, breached both ratios, sources said.

The borrower is now offering a 50 basis points waiver fee to the 18 lenders, and is trying to loosen covenants on the deal to take it through to the end of December, sources said.

The proposed amendments include a maximum total debt-to- tangible net worth of 0.7 times from the original 0.65 times, a maximum total debt-to-ebitda of 7.75 times from five times, and a minimum interest coverage ratio of four times from 4.5 times.

The borrower will need 66.67 percent consent from its existing lenders to get the waiver and to pass the amendments.

Huiyuan shares closed 1.2 percent lower yesterday at HK$5.93.

In July, French good group Danone sold its 22.98 percent stake in Huiyuan for around 200 million euros (HK$1.97 billion) to Hong Kong-based private equity group SAIF partners.

Source: REUTERS

[winston]

Not vested

Squeeze on Huiyuan
Monday, September 13, 2010

Huiyuan Juice (1886) said it is still negotiating with lenders to obtain a waiver for its long-term loans being reclassified as short-term liabilities.

China's largest fruit and vegetable juice maker said it can repay its debts if immediate repayments are required during the 12 months after June 30.

"There are no negotiations or agreements relating to intended acquisitions or realizations which are disclosable," the company said in its filing to the Hong Kong stock exchange.

At one stage, Huiyuan shares dropped more than 10 percent last Friday and were down 5.9 percent, at HK$5.58, before they were suspended.

Two loans of US$250 million (HK$1.95 billion) and US$56 million, respectively, have been reclassified as short-term liabilities because the covenants were breached, including loan-to-tangible-net-worth ratio above 0.65 times.

It made the juice maker's current liabilities exceed its current assets by 617 million yuan (HK$708 million) on June 30.

Huiyuan Juice is due to resume trading today.

TONY LIAW


http://www.thestandard.com.hk/news_deta ... 00913&fc=1

[winston]

Not Vested. From Dr. Check, The Standard HK:-

China Huiyuan Juice (1886) breached covenants on a US$250 million (HK$1.95 billion) three-year loan and is seeking a waiver from lender banks.

The borrower is now offering a 50 basis point waiver fee and needs 66.67 percent consent from its 18 lenders to pass the amendments.

Huiyuan posted a first-half net loss of 72.25 million yuan (HK82.9 million) but the market expects it to record a profit for the full year.

Private equity group SAIF Partners bought 10.7 percent of Huiyuan at HK$6 a share. Investors now have the chance to buy the stock at a cheaper price.

[winston]

Banks unlikely to squeeze juicemaker for payback
Thursday, September 16, 2010

Normally any "bad" news involving a good company means buying opportunities. Mengniu Dairy (2319) was a prime example last year.

When Coca-Cola failed to buy Huiyuan Juice (1886), the stock fell sharply early last year from around HK$10 to below HK$5.

Recently, Huiyuan fell 10 percent after breaching certain financial covenants of US$250 million (HK$1.95 billion) worth of syndicated loans. The firm is now negotiating with its lenders to obtain waivers. China's largest juicemaker has offered a 0.5 percent waiver fee as compensation.

At least two-thirds of the banks must agree before the deal can go through.

Dr Check can't see any reason for the bankers to disagree.

For the six months to June, Huiyuan's gross profit surged 146.8 percent to 544.5 million yuan (HK$627.18 million) while gross profit margin jumped from 25.1 to 36.8 percent. It has the ability to generate net cash inflows. Net profit in 2007 hit 640 million yuan. It's highly possible that it can make huge profits again. Then, the stock is likely to surge once again.

http://www.thestandard.com.hk/news_deta ... 00916&fc=7

[winston]

Not vested. From Dr. Check, The Standard HK:-

As for local stocks, keep an eye out for Huiyuan Juice (1886), which holds 52 percent of China's juice market.

Beijing may lift entry barriers to its concentrated juice beverage industry.

Huiyuan just returned to the black in the first half. The stock has fallen to the HK$3.40 level - an all-time low .

When Coca-Cola wanted to acquire this firm in 2008, the stock stood around HK$10. Was that too high or is the current price too low?

[winston]

not vested

Ray Sze sets HUIYUAN JUICE (01886) TP at $3.00

Ray Sze, Director of Tianda Securities Limited, said HUIYUAN JUICE (01886)'s net profit grew 56.6% to RMB311 million, although revenue inched up only by 3.2%.

Profit margin for 2010 was 36.7% and fell to 26.9% in 2011, but it soared to above 30% in 2012 as inflation slows down.

The group set aside RMB340 million for capital expenditure in 2012 for setting up factory facilities and upgrading production system.

Recent decline in the prices of white sugar and raw materials has cut production costs substantially. The decrease in the price of PET resin and increase in utilization rate of factories also favoured gross and net profit margin.

Overall factory utilization rate has increased from 30% in 2011 to 40% in 2012. The slide in stock price earlier has factored in the write-down of revaluation of convertible notes last year.

The lawsuit against Yunnan Kawagarbo would only bring minimal impact on HUIYUAN JUICE's stock price.

The net value per share of HUIYUAN JUICE is now at $4.4 and investors are advised to buy now with near-term target price $3.

Source: AAStocks Financial News

[winston]

not vested

HUIYUAN JUICE (01886.HK)'s IR loss amounts to RMB32.16M

HUIYUAN JUICE (01886.HK) announced its results for the first half of 2012.

Loss amounted to RMB32.16 million with loss per share 2.2 fen.

In the same period of last year, a net profit of RMB149 million was booked. No dividend was declared.

Source: AAStocks Financial News