Selangor Properties

Re: Selangor Properties

Postby winston » Sat Oct 29, 2016 7:29 pm

not vested

26 February 2016

SPB returns to local property after 15 years

BY DANIEL KHOO

Source: The Star

http://www.thestar.com.my/business/busi ... -15-years/
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Re: Selangor Properties

Postby winston » Sat Feb 04, 2017 5:22 pm

PUAN SRI CHONG CHOOK YEW

Flagship: Selangor Properties Bhd
Net worth: RM1.06bil

Puan Sri Chong Chook Yew, who is 94 years old, is the oldest person to make the top-40 richest list.

Her position on the list has dropped from 34 to 39 in the latest ranking and her wealth has shrunk by some 21% due to the drop in the share price of Selangor Properties in the past year.

Selangor Properties came back to the spotlight on Bursa Malaysia last year after it announced grand forward-looking plans for future new property developments.

The company is also one of the oldest property companies listed on Bursa that has rebranded.

To mark its return to the KL property scene, Selangor Properties launched Aira Residences in October 2016.

The development is a high-rise niche condominium project in Jalan Batai with a gross development value of RM800mil.

After the completion of Aira Residences in about three years, it will then consider the redevelopment of Wisma Damansara in Jalan Semantan, which has currently been put on the backburner.

With the rebranding, the company has also unveiled a change in leadership, given Chong’s seniority and age.

While Chong is chairperson, it is the founder’s son, Wen Chiu Chi, 60, who has taken charge of the company although she remains the matriarch of the family.

Wen, the third of four children in the family, has taken control of the family’s stake in Selangor Properties and according to reports, is the annointed head of the company by the family.

The change in leadership at the company under Wen also coincides with it embarking on a new direction that will see it move to develop the land it owns, instead of selling parcels like it had done in recent times for cashflow and profit.

Selangor Properties has built up a portfolio of prestigious developments in prime locations, including Damansara Heights, Kenny Hills, Gombak and Selayang.

Its investment properties are located at Damansara Heights and includes Menara Milenium, Wisma Damansara, Damansara Office Complex, 16-Shop Batai, SPB Towers and the Taman Tunku Apartments.

Source: The Star
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Re: Selangor Properties

Postby winston » Sun Jun 11, 2017 3:07 pm

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Selangor Properties a long-term play

Unlike most property developers, the company mainly derives its income from property investments located in Bukit Damansara, one of Kuala Lumpur’s swankiest addresses, as well as certain properties in Australia.

With almost no launches in recent years to speak of except for Aira Residence in Bukit Damansara, and shares that hardly move except for a recent spike in late May, the counter is not much covered by analysts.

CIMB Research, which has initiated coverage on the stock under the small-and-mid-cap research scheme, has a “hold” call on the stock with a target price of RM5.12 per share.

It points out that Selangor Properties is “sitting on gold”, as the company has 42 acres of prime, mostly freehold, land in Bukit Damansara and Bukit Tunku that are ripe for development or redevelopment. These parcels of land are worth RM1.8bil and it has net cash of RM775mil.

However, this is one company that is not in any hurry. It has not hurried before, and it will not hurry now. In the infrequent times that the company has appeared in the media, its Bukit Damansara landbank and investment properties have been highlighted. The question is, when will the assets be monetised?

CIMB Research says that nothing is going to happen until the property market perks up, and the research house sees this happening around 2019. That may be when a potential rerating of the stock could come around, especially when the company decides to monetise some of that valuable landbank.

The research house admits that despite the RM5.12 target price, the upside in the short term looks limited. The share price is currently languishing below RM5.

Instead, CIMB Research suggests that “investors with longer investment horizons may find the stock attractive at such cheap valuations”, given its net cash per share of RM2.25 and valuable landbank.

What is holding the counter back right now is also the low core return on equity that CIMB Research estimates to be around 1% to 3% from financial year ending Oct 31, 2017 (FY17) to FY19, as one-third of the assets are cash or cash equivalents that generate low returns.

That will make the counter seemingly undervalued, but because it trades at 30 times the 2018 price-earnings ratio, it is one of the most expensive property stocks under CIMB Research’s coverage.

“We value the stock based on a 50% discount to its revised net asset value; the large discount reflects the uncertainty about its landbank development timeframe and low trading liquidity,” it says. This is a stock for those who certainly have time on their hands and enjoy a leisurely morning cuppa.

Source: The Star

http://www.thestar.com.my/business/busi ... hCQALM4.99
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Re: Selangor Properties

Postby winston » Wed Jun 28, 2017 9:32 am

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Pick-up in property development activities

Selangor Properties’s 1HFY10/17 core net profit was higher than expected, at 95% of our full-year forecast and 55% of the Bloomberg consensus number.

No dividend was declared, as expected.

The earnings outperformance was driven by lower-than-expected effective tax rate and higher-than-expected interest income.

Even though we raise our FY17-19F EPS by 32-87% to reflect the results, we expect the group’s ROE to remain low, at 2-4% in the next three years.

Maintain Hold and TP, still based on a 50% discount to its RNAV.

Source: CIMB

https://brokingrfs.cimb.com/cRVuyi_3X2K ... Ar08w2.pdf
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Re: Selangor Properties

Postby winston » Tue Jan 02, 2018 9:37 am

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Ending the year just as expected

Selangor Properties’ FY10/17 core net profit came in within our estimate at 97% of our full-year forecast, but below Bloomberg consensus at 84%.

Wisma Damansara project has been put under review due to weak market outlook and government’s recent approval freeze on luxury properties priced above RM1m.

As such, we cut our FY18-19F EPS by 8-9% to factor in the delay in the project timeline and weaker sales due to softer market demand.

Maintain Hold with a slightly lower target price of RM5.11, as we roll over our RNAV valuation to FY18F

Source: CIMB

https://brokingrfs.cimb.com/c9TPROcMVuD ... iTXEQ2.pdf
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Re: Selangor Properties

Postby winston » Wed Jun 27, 2018 9:01 am

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Expecting stronger 2H18

1HFY10/18 core net profit came in below expectations due to higher costs, at 40% of our full-year estimate and 42% of the Bloomberg consensus number.

1H18 core net profit rose 23% yoy on stronger revenue, underpinned by improvements in property development and the Australian operations.

We cut our FY18-20F EPS forecasts by 3-8% to reflect the higher-than-expected marketing expenses and changes in project timelines.

Our target price is cut to RM4.40 as we widen our RNAV discount to 60% from 50% previously, after factoring in the rising interest rate environment. Maintain Hold.

Source: CIMB

https://brokingrfs.cimb.com/kJB96rE_wA3 ... klbSg2.pdf
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Re: Selangor Properties

Postby winston » Thu Oct 25, 2018 8:31 pm

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Major shareholders bid to take SPB private for RM622.27m

Under the terms of the proposal, the capital repayment will amount to RM622.27mil or RM5.70 per share, representing a 40.39% premium to the share's closing price on the latest practisable date and a 19.62% premium over the one-year volume weighted average market price (VWAP).


Source: The Star

https://www.thestar.com.my/business/bus ... m622pt27m/
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
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