Yeoh family raises shareholding in YTL Power By Liew Jia Teng
KUALA LUMPUR: The Yeoh family seems to be tightening its grip on YTL Power International Bhd ( Financial Dashboard), the utility arm of the YTL group.
YTL Corp Bhd ( Financial Dashboard), which is already the controlling shareholder of YTL Power, bought some 67.72 million shares or 0.96% equity stake in the utility group on Tuesday, according to a filing with Bursa Malaysia yesterday.
The latest share purchase brings YTL Corp’s direct and indirect stakes to 56.75% or almost 3.98 billion shares.
Following the acquisition, the shareholding of Tan Sri Dr Yeoh Tiong Lay, the founder of YTL Corp, has increased to 61.15%, while the family’s investment vehicle Yeoh Tiong Lay & Sons Holdings Sdn Bhd’s shareholding is now 60.85%.
Tiong Lay is the executive chairman of both YTL Power and YTL Corp.
While the block of shares purchased is not large, it raises the question on the rationale behind the acquisition. The Yeoh siblings have also been actively converting their warrants to YTL Power shares in the past two months.
A check on the filings with Bursa Malaysia showed that at least 49 million warrants have been converted at the price of RM1.14 per share since early October.
YTL Power managing director Tan Sri Francis Yeoh Sock Ping exercised 13.33 million warrants on Oct 21. The conversion, which cost him about RM15.2 million, raised his shareholding to 0.21% in the utility group, up from 0.01% as at Sept 26, 2014.
On the same day, Datuk Seri Michael Yeoh Sock Siong converted 7.66 million warrants, Datuk Yeoh Seok Hong 13.53 million warrants and Datuk Yeoh Soo Keng 5.18 million warrants.
Meanwhile, YTL Power deputy managing director Datuk Yeoh Seok Kian converted 3.98 million warrants and Datuk Yeoh Soo Min exercised 3.76 million warrants.
Earlier on Oct 9, Datuk Mark Yeoh Seok Kah also converted 1.6 million warrants.
According to YTL Power’s latest annual report, the siblings’ combined direct and indirect stakes in the company stood at 1.28% as at Sept 26, 2014.
Bloomberg data showed that following the conversion of the warrants, their shareholding increased to 1.87% as of today. All seven siblings are on the board of YTL Power.
The derivatives were issued in 2008 and will only expire on June 11, 2018. The siblings have held on to the warrants for more than six years, thus raising the question on what prompted them to convert the warrants now.
It came as a surprise when YTL Power declared an interim dividend of 10 sen per share for the fourth quarter ended June 30. The ex-date was on Oct 29. This may be a reason why the Yeoh family members converted their warrants.
But could it be just that?
Source: The Edge
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YTL Power
37 posts
• Page 1 of 4 • 1, 2, 3, 4
Re: YTL Power
by winston » Mon Feb 10, 2020 8:55 am
not vested
YTL Power’s UK investments bearing fruit
By DANIEL KHOO
YTL POWER INTERNATIONAL BHD’s (YTL Power) investments in the United Kingdom are growing steadily and it is looking to expand further in the country.
Majority-owned by parent company YTL Corp Bhd, YTL Power first forayed into the UK many years ago during the height of a financial crisis, which opened a rare opportunity for the Malaysian listed firm to expand its business.
“The investment into UK’s Wessex Water Ltd was made back in 2002. Wessex Water was previously owned by the US-based Enron Corp which suddenly declared bankruptcy in 2001. So, they called for a bid. We went for the bid but at that time, there were also concerns of the true value of Wessex Water, ” YTL Power’s managing director Datuk Yeoh Seok Hong tells StarBizWeek.
“But because we had the experience of owning a regulated asset in Australia (ElectraNet Pty Ltd), we were very confident that regulated assets were very well-governed because of the oversight role performed by their regulators and that the company was operationally and financially sound. So, we tendered and actually won the bid in 2002, ” Yeoh says.
YTL Power has a 33.5% investment in ElectraNet, which is the owner and operator of the South Australian electricity transmission network.
The investment in ElectraNet – the company’s first foreign investment – was first made in the year 2000 shortly after the 1997 Asian Financial Crisis.
Wessex Water is a utility company that supplies water and treats sewerage for the south-west region of the UK.
Wessex Water has seen its regulatory capital value (RCV) growing from £1.3bil (approximately RM7bil) when it was first acquired by YTL Power in 2002 to £3.3bil (approximately RM17bil) in 2019, a result of its capital investment programme over the past 18 years to renew and upgrade its infrastructure.
“There are ten regulated water and sewerage companies (WASCs) in the UK. These ten companies are given licences for different territories. In our case, it is the licence to source, treat and distribute water plus sewerage that covers 10,000 sq km and 2.8 million customers across the south-west of England, ” Yeoh says.
“Every five years, the regulator determines the tariff levels that each WASC can charge customers. This is computed mainly on the basis of an allowed rate of return on the company’s RCV or asset base. The WASCs are further incentivised to outperform the efficiency targets set during the price determination, as this improves their returns, ” he adds.
Yeoh says that the licence given to Wessex Water is “perpetual” in nature, as there is a 25-year notice period required for any termination of the licence.
“This water business never dies and the long-term value and stability of the business can be seen in how the bond markets in the UK have evolved to finance the industry. Banks and investors have the confidence to finance on a very long-term basis via long-dated bonds that can see maturities of up to 50 years.
“For us, we are disciplined and we have maintained our leverage levels below the ceiling allowed by the regulator, ” he says.
Wessex Water is regulated by Ofwat, the independent economic regulator for the UK water and sewerage industry, and three other standard quality regulators.
Yeoh notes that Wessex Water has consistently performed well, ranking near or at the top of the industry’s performance rankings over the years.
“I think as a Malaysian company, we feel very proud to be rated by Ofwat as one of the most efficient water companies in the UK, ” Yeoh says.
Wessex Water’s group chief executive Colin Skellett, who is based in the UK, says that the company ranks as one of the top water and sewerage companies in the UK.
“In the UK, there is a very tight regulation of drinking water and it is a criminal offence to supply water that is not fit for human consumption. Wessex is on the top of the league table in the UK when it comes to supplying drinking water, ” Skellett says.
Skellett adds that all in all, Wessex Water has to fulfill four regulatory bodies’ standards when supplying water to consumers in the UK.
He notes that among the recognition Wessex Water has achieved throughout the years include the company having the fewest customer complaints, being holders of the ServiceMark with distinction and also obtaining the Queen’s Award for Enterprise.
“YTL Power has been owning Wessex Water for 17 years. When Wessex Water was first taken over from Enron, I remember I asked Yeoh what he wanted from this acquisition and he told me to focus on making it the best that it could be, ” Skellett says.
“With YTL taking a long-term view of this business makes them ideal investors. Enron (previous owner) just wanted to make a quick buck and you can’t make a quick buck out of this business, ” he adds.
The Wessex Water business has today grown quite a bit from its initial stages.
“We are contributing about £75mil a year as dividends to YTL Power from £50mil a year when Wessex Water was initially acquired from Enron. But this changes every five years when the regulators look at the tariffs, as the whole principle of the UK system is to get the shareholders to drive management to improve efficiency as the shareholders will benefit from it. And this efficiency gains are given back to our customers by a reset in the tariff base, ” Skellett explains.
“If we only had to do the same thing every five years, water tariffs would come down every five years. However, what instead happens is that there would be new standards given every five years, such as raising bathing water or drinking water standards, ” he says.
According to Yeoh, new investments into Wessex Water are internally funded, where dividends are then reinvested into the business.
New venture into the UK property scene
The growth in the business has earned YTL Power enough capital over the years to start another type of business in the UK - the property sector.
The Brabazon master-plan development located in the city of Bristol has been planned since three years ago and will be YTL Power’s first foray into the property sector in the UK.
It has a gross development value (GDV) of about £2.5bil to be developed over 15 years on a 380-acre land space via YTL Power’s UK unit – YTL Developments (UK) Ltd.
“The highlight of this development is the YTL Arena Complex of 400,000 sq feet floor space that is located on a historical air hangar where the Concorde airplane was previously manufactured. We are anticipating a very high footfall to the tune of 1.5 million-1.6 million a year. We are now thinking of reshaping this development as a regional entertainment destination, ” YTL Developments’ CEO Lee Liam Chye tells StarBizWeek.
“Apart from the arena which is basically an indoor stadium, there will be food and beverage outlets, farmers market and other forms of entertainment that would make it a very keen development that will attract lots of interest from the region. We are working on this and hope to finalise our plans by the third quarter of this year, ” Lee says.
Lee, who will be stationed in Bristol for the time being, explains that the land which is being developed by YTL was previously an airfield.
“The surroundings of this airfield got developed and the government decided to re-purpose this area for housing development. But BAE, being an aviation company, decided this wasn’t its core business and this piece of land then became available for sale, ” he says.
“This type of master-plan development is new in the UK, as they stopped undertaking such developments in the 1970s. So, when we bought this parcel of land, we decided that we would not cut it up and outsource it to other developers. YTL would like to hold it and develop it ourselves and this is a very different business model compared to what usually happens in the UK, ” Lee adds.
A master-plan development is a large-scale, mixed-used development with commercial and residential components.
Lee says YTL Developments paid about £65mil some three years back for the initial portion of land of about 354 acres.
“This 354 acres will consist of housing, public amenities, a town centre, parks and schools. The air hangar where the arena will be was purchased after we acquired the 354 acres. We were offered to buy the 26-acre adjacent plot of land and we bought it as the price was very reasonable, ” Lee says.
The first phase will see the construction of 278 homes with a GDV of £90mil on a nine-acre plot of land.
Eventually, Lee says that the Brabazon development could have up to 4,000 homes from the planned 2,675 homes presently, as the government has requested for more homes to be built due to a housing shortage in the country.
Bristol, the city where YTL Power’s development is located, is about an hour and 13 minutes train ride from the capital city of London.
Meanwhile, even as the UK enters into a post-Brexit era, Yeoh says he sees a bright future for companies doing business in the country.
“We are very bullish on the UK, but they have been going through a very tough time due to Brexit in the last three years. And the effects are seen in their currency exchange: the sterling pound. I think the pound has dropped considerably as well, almost on par with the ringgit’s drop against the US dollar, ” Yeoh says.
“All this is due to the political uncertainty arising from Brexit, but now with Brexit done, we expect that the pound will improve over time, ” he adds.
He notes that the result of the UK general election at the end of last year had also taken away a major hurdle and uncertainty for the company’s outlook in the country.
The UK general election, which was held on Dec 12,2019, saw the Conservative Party led by Prime Minister Boris Johnson obtaining a landslide majority against the Labour Party.
The Labour Party had promised in its election manifesto a programme to nationalise assets and move away from years of a pro-privatisation policy if it won.
“I feel that the dark clouds or storms are clearing and this will be very good for our group, as our value will still be there while there is huge potential for improvement in the asset values, moving forward, ” Yeoh says.
“Under the Boris Johnson government, I expect they will encourage more investment in infrastructure and other economically important sectors. In the last price determination phase (by the water regulator Ofwat), the focus was on bringing down the water tariff but this new government looks more focused on encouraging further investments and infrastructure spending, ” he adds.
YTL Power, which today derives about half of its turnover from the UK and some 85% of its revenue from abroad, counts itself a Malaysian company and is proud to be listed on the Malaysian stock exchange: Bursa Malaysia.
“As we are domiciled here, our profits are still repatriated to Malaysia despite being derived from our overseas businesses, and we use those earnings to pay dividends to our shareholders and invest in new businesses here. Having repatriated somewhere in the region of RM8bil over the past ten years or so, we feel that our foreign investments have turned out well, bringing foreign earnings to Malaysia, benefiting our shareholders and enabling us to venture into new businesses as well, ” Yeoh says.
With a market capitalisation of RM5.91bil, Yeoh says he believes the company is very much undervalued based on its asset profile and bolstered by its unencumbered cash reserves of approximately RM8.75bil.
YTL Power’s long and short-term borrowings as at Sept 30,2019 stood at RM27.92bil.
Yeoh says YTL Power has a long-standing policy of maintaining cash reserves to enable it to act quickly when good expansion opportunities arise, and the post-Brexit environment is expected to yield some good prospects on this front.
It just has to wait for the right opportunities and the right timing.
Source: The Star
https://www.thestar.com.my/business/bus ... ring-fruit
YTL Power’s UK investments bearing fruit
By DANIEL KHOO
YTL POWER INTERNATIONAL BHD’s (YTL Power) investments in the United Kingdom are growing steadily and it is looking to expand further in the country.
Majority-owned by parent company YTL Corp Bhd, YTL Power first forayed into the UK many years ago during the height of a financial crisis, which opened a rare opportunity for the Malaysian listed firm to expand its business.
“The investment into UK’s Wessex Water Ltd was made back in 2002. Wessex Water was previously owned by the US-based Enron Corp which suddenly declared bankruptcy in 2001. So, they called for a bid. We went for the bid but at that time, there were also concerns of the true value of Wessex Water, ” YTL Power’s managing director Datuk Yeoh Seok Hong tells StarBizWeek.
“But because we had the experience of owning a regulated asset in Australia (ElectraNet Pty Ltd), we were very confident that regulated assets were very well-governed because of the oversight role performed by their regulators and that the company was operationally and financially sound. So, we tendered and actually won the bid in 2002, ” Yeoh says.
YTL Power has a 33.5% investment in ElectraNet, which is the owner and operator of the South Australian electricity transmission network.
The investment in ElectraNet – the company’s first foreign investment – was first made in the year 2000 shortly after the 1997 Asian Financial Crisis.
Wessex Water is a utility company that supplies water and treats sewerage for the south-west region of the UK.
Wessex Water has seen its regulatory capital value (RCV) growing from £1.3bil (approximately RM7bil) when it was first acquired by YTL Power in 2002 to £3.3bil (approximately RM17bil) in 2019, a result of its capital investment programme over the past 18 years to renew and upgrade its infrastructure.
“There are ten regulated water and sewerage companies (WASCs) in the UK. These ten companies are given licences for different territories. In our case, it is the licence to source, treat and distribute water plus sewerage that covers 10,000 sq km and 2.8 million customers across the south-west of England, ” Yeoh says.
“Every five years, the regulator determines the tariff levels that each WASC can charge customers. This is computed mainly on the basis of an allowed rate of return on the company’s RCV or asset base. The WASCs are further incentivised to outperform the efficiency targets set during the price determination, as this improves their returns, ” he adds.
Yeoh says that the licence given to Wessex Water is “perpetual” in nature, as there is a 25-year notice period required for any termination of the licence.
“This water business never dies and the long-term value and stability of the business can be seen in how the bond markets in the UK have evolved to finance the industry. Banks and investors have the confidence to finance on a very long-term basis via long-dated bonds that can see maturities of up to 50 years.
“For us, we are disciplined and we have maintained our leverage levels below the ceiling allowed by the regulator, ” he says.
Wessex Water is regulated by Ofwat, the independent economic regulator for the UK water and sewerage industry, and three other standard quality regulators.
Yeoh notes that Wessex Water has consistently performed well, ranking near or at the top of the industry’s performance rankings over the years.
“I think as a Malaysian company, we feel very proud to be rated by Ofwat as one of the most efficient water companies in the UK, ” Yeoh says.
Wessex Water’s group chief executive Colin Skellett, who is based in the UK, says that the company ranks as one of the top water and sewerage companies in the UK.
“In the UK, there is a very tight regulation of drinking water and it is a criminal offence to supply water that is not fit for human consumption. Wessex is on the top of the league table in the UK when it comes to supplying drinking water, ” Skellett says.
Skellett adds that all in all, Wessex Water has to fulfill four regulatory bodies’ standards when supplying water to consumers in the UK.
He notes that among the recognition Wessex Water has achieved throughout the years include the company having the fewest customer complaints, being holders of the ServiceMark with distinction and also obtaining the Queen’s Award for Enterprise.
“YTL Power has been owning Wessex Water for 17 years. When Wessex Water was first taken over from Enron, I remember I asked Yeoh what he wanted from this acquisition and he told me to focus on making it the best that it could be, ” Skellett says.
“With YTL taking a long-term view of this business makes them ideal investors. Enron (previous owner) just wanted to make a quick buck and you can’t make a quick buck out of this business, ” he adds.
The Wessex Water business has today grown quite a bit from its initial stages.
“We are contributing about £75mil a year as dividends to YTL Power from £50mil a year when Wessex Water was initially acquired from Enron. But this changes every five years when the regulators look at the tariffs, as the whole principle of the UK system is to get the shareholders to drive management to improve efficiency as the shareholders will benefit from it. And this efficiency gains are given back to our customers by a reset in the tariff base, ” Skellett explains.
“If we only had to do the same thing every five years, water tariffs would come down every five years. However, what instead happens is that there would be new standards given every five years, such as raising bathing water or drinking water standards, ” he says.
According to Yeoh, new investments into Wessex Water are internally funded, where dividends are then reinvested into the business.
New venture into the UK property scene
The growth in the business has earned YTL Power enough capital over the years to start another type of business in the UK - the property sector.
The Brabazon master-plan development located in the city of Bristol has been planned since three years ago and will be YTL Power’s first foray into the property sector in the UK.
It has a gross development value (GDV) of about £2.5bil to be developed over 15 years on a 380-acre land space via YTL Power’s UK unit – YTL Developments (UK) Ltd.
“The highlight of this development is the YTL Arena Complex of 400,000 sq feet floor space that is located on a historical air hangar where the Concorde airplane was previously manufactured. We are anticipating a very high footfall to the tune of 1.5 million-1.6 million a year. We are now thinking of reshaping this development as a regional entertainment destination, ” YTL Developments’ CEO Lee Liam Chye tells StarBizWeek.
“Apart from the arena which is basically an indoor stadium, there will be food and beverage outlets, farmers market and other forms of entertainment that would make it a very keen development that will attract lots of interest from the region. We are working on this and hope to finalise our plans by the third quarter of this year, ” Lee says.
Lee, who will be stationed in Bristol for the time being, explains that the land which is being developed by YTL was previously an airfield.
“The surroundings of this airfield got developed and the government decided to re-purpose this area for housing development. But BAE, being an aviation company, decided this wasn’t its core business and this piece of land then became available for sale, ” he says.
“This type of master-plan development is new in the UK, as they stopped undertaking such developments in the 1970s. So, when we bought this parcel of land, we decided that we would not cut it up and outsource it to other developers. YTL would like to hold it and develop it ourselves and this is a very different business model compared to what usually happens in the UK, ” Lee adds.
A master-plan development is a large-scale, mixed-used development with commercial and residential components.
Lee says YTL Developments paid about £65mil some three years back for the initial portion of land of about 354 acres.
“This 354 acres will consist of housing, public amenities, a town centre, parks and schools. The air hangar where the arena will be was purchased after we acquired the 354 acres. We were offered to buy the 26-acre adjacent plot of land and we bought it as the price was very reasonable, ” Lee says.
The first phase will see the construction of 278 homes with a GDV of £90mil on a nine-acre plot of land.
Eventually, Lee says that the Brabazon development could have up to 4,000 homes from the planned 2,675 homes presently, as the government has requested for more homes to be built due to a housing shortage in the country.
Bristol, the city where YTL Power’s development is located, is about an hour and 13 minutes train ride from the capital city of London.
Meanwhile, even as the UK enters into a post-Brexit era, Yeoh says he sees a bright future for companies doing business in the country.
“We are very bullish on the UK, but they have been going through a very tough time due to Brexit in the last three years. And the effects are seen in their currency exchange: the sterling pound. I think the pound has dropped considerably as well, almost on par with the ringgit’s drop against the US dollar, ” Yeoh says.
“All this is due to the political uncertainty arising from Brexit, but now with Brexit done, we expect that the pound will improve over time, ” he adds.
He notes that the result of the UK general election at the end of last year had also taken away a major hurdle and uncertainty for the company’s outlook in the country.
The UK general election, which was held on Dec 12,2019, saw the Conservative Party led by Prime Minister Boris Johnson obtaining a landslide majority against the Labour Party.
The Labour Party had promised in its election manifesto a programme to nationalise assets and move away from years of a pro-privatisation policy if it won.
“I feel that the dark clouds or storms are clearing and this will be very good for our group, as our value will still be there while there is huge potential for improvement in the asset values, moving forward, ” Yeoh says.
“Under the Boris Johnson government, I expect they will encourage more investment in infrastructure and other economically important sectors. In the last price determination phase (by the water regulator Ofwat), the focus was on bringing down the water tariff but this new government looks more focused on encouraging further investments and infrastructure spending, ” he adds.
YTL Power, which today derives about half of its turnover from the UK and some 85% of its revenue from abroad, counts itself a Malaysian company and is proud to be listed on the Malaysian stock exchange: Bursa Malaysia.
“As we are domiciled here, our profits are still repatriated to Malaysia despite being derived from our overseas businesses, and we use those earnings to pay dividends to our shareholders and invest in new businesses here. Having repatriated somewhere in the region of RM8bil over the past ten years or so, we feel that our foreign investments have turned out well, bringing foreign earnings to Malaysia, benefiting our shareholders and enabling us to venture into new businesses as well, ” Yeoh says.
With a market capitalisation of RM5.91bil, Yeoh says he believes the company is very much undervalued based on its asset profile and bolstered by its unencumbered cash reserves of approximately RM8.75bil.
YTL Power’s long and short-term borrowings as at Sept 30,2019 stood at RM27.92bil.
Yeoh says YTL Power has a long-standing policy of maintaining cash reserves to enable it to act quickly when good expansion opportunities arise, and the post-Brexit environment is expected to yield some good prospects on this front.
It just has to wait for the right opportunities and the right timing.
Source: The Star
https://www.thestar.com.my/business/bus ... ring-fruit
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
-
winston - Billionaire Boss
- Posts: 110207
- Joined: Wed May 07, 2008 9:28 am
Re: YTL Power
by winston » Mon Feb 10, 2020 11:15 am
not vested
Affin Hwang upgrades YTL Power, raises target price to 95 sen
by Nazuin Zulaikha Kamarulzaman
KUALA LUMPUR (Dec 26): Affin Hwang Capital Research has upgraded YTL Power International Bhd to “Buy” at 72 sen with a higher sum-of-total-part (SOTP) based target price of 95 sen (from 85 sen).
In a note today, Affin Hwang said it expects YTL Power to maintain its 5 sen annual dividend (6.9% dividend yield) supported by the earnings/cash flow from Wessex Water.
It noted that although the Water Services Regulation Authority for England & Wales is cutting the return on capital from 3.6% to 1.92% starting CY20, the impact on earnings is manageable as the shortfall in revenue is compensated by a higher regulatory capital value run-off rate.
“While the operating environment of other operating entities (YES Communications and Power Seraya) remains challenging, we believe these entities are able to continue their operations without capital injections from YTL Power,” the research house said.
The research house expects YTL Power’s earnings to start improving by late 2020 when its loss-making Singapore operations turn around and its 45%-owned associate Attarat Power Company starts contributing.
“After three to four years of a challenging operating environment, we now expect the market to consolidate, as the overall capacity will be reduced by another approximate 10% within the next two years, lowering the reserve margin to below the 30% minimum set by the Energy Market Authority,” it said.
It also expects the wholesale selling price to rise to the Uniform Singapore Energy Price level or higher.
According to Affin Hwang, at 0.45 times PBV, YTL Power now trades at sharp discount from its five-year average PBV of 0.8 times, which looks attractive.
Source: The Edge
https://www.theedgemarkets.com/article/ ... ice-95-sen
Affin Hwang upgrades YTL Power, raises target price to 95 sen
by Nazuin Zulaikha Kamarulzaman
KUALA LUMPUR (Dec 26): Affin Hwang Capital Research has upgraded YTL Power International Bhd to “Buy” at 72 sen with a higher sum-of-total-part (SOTP) based target price of 95 sen (from 85 sen).
In a note today, Affin Hwang said it expects YTL Power to maintain its 5 sen annual dividend (6.9% dividend yield) supported by the earnings/cash flow from Wessex Water.
It noted that although the Water Services Regulation Authority for England & Wales is cutting the return on capital from 3.6% to 1.92% starting CY20, the impact on earnings is manageable as the shortfall in revenue is compensated by a higher regulatory capital value run-off rate.
“While the operating environment of other operating entities (YES Communications and Power Seraya) remains challenging, we believe these entities are able to continue their operations without capital injections from YTL Power,” the research house said.
The research house expects YTL Power’s earnings to start improving by late 2020 when its loss-making Singapore operations turn around and its 45%-owned associate Attarat Power Company starts contributing.
“After three to four years of a challenging operating environment, we now expect the market to consolidate, as the overall capacity will be reduced by another approximate 10% within the next two years, lowering the reserve margin to below the 30% minimum set by the Energy Market Authority,” it said.
It also expects the wholesale selling price to rise to the Uniform Singapore Energy Price level or higher.
According to Affin Hwang, at 0.45 times PBV, YTL Power now trades at sharp discount from its five-year average PBV of 0.8 times, which looks attractive.
Source: The Edge
https://www.theedgemarkets.com/article/ ... ice-95-sen
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
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winston - Billionaire Boss
- Posts: 110207
- Joined: Wed May 07, 2008 9:28 am
Re: YTL Power
by winston » Fri Feb 21, 2020 10:19 am
vested
YTL Power International
Telecommunications unit was the main drag
1HFY6/20 core net profit came in below expectations, due to higher-than expected losses at its telecommunications unit.
Reiterate Hold, given the challenging outlook for its international operations, with a potential >5% dividend yield for FY20-22F as share price support.
Source: CIMB
https://rfs.cgs-cimb.com/api/download?f ... 4C697D9222
YTL Power International
Telecommunications unit was the main drag
1HFY6/20 core net profit came in below expectations, due to higher-than expected losses at its telecommunications unit.
Reiterate Hold, given the challenging outlook for its international operations, with a potential >5% dividend yield for FY20-22F as share price support.
Source: CIMB
https://rfs.cgs-cimb.com/api/download?f ... 4C697D9222
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
-
winston - Billionaire Boss
- Posts: 110207
- Joined: Wed May 07, 2008 9:28 am
Re: YTL Power
by winston » Fri Feb 21, 2020 11:37 am
YTL Power (YTLP MK)
Share Price: MYR0.72
Target Price: MYR0.80
Recommendation: Buy
Progress on new projects
1HQFY20 core net profit was below our/market expectations, due to continued weakness at PowerSeraya and Mobile.
Nevertheless, progress was made pertaining to the new projects, with YTLP having finally obtained a government guarantee for Tj Jati A (a precursor to financial close).
Along with the impending commencement of Attarat Power (a significant FY21 earnings growth driver), we think risk-reward has turned favourable.
Upgrade to BUY with a higher 80sen SOP-based TP (+23%).
Source: Kim Eng
https://factsetpdf.maybank-ke.com/PDF/1 ... 4f002a.pdf
Share Price: MYR0.72
Target Price: MYR0.80
Recommendation: Buy
Progress on new projects
1HQFY20 core net profit was below our/market expectations, due to continued weakness at PowerSeraya and Mobile.
Nevertheless, progress was made pertaining to the new projects, with YTLP having finally obtained a government guarantee for Tj Jati A (a precursor to financial close).
Along with the impending commencement of Attarat Power (a significant FY21 earnings growth driver), we think risk-reward has turned favourable.
Upgrade to BUY with a higher 80sen SOP-based TP (+23%).
Source: Kim Eng
https://factsetpdf.maybank-ke.com/PDF/1 ... 4f002a.pdf
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
-
winston - Billionaire Boss
- Posts: 110207
- Joined: Wed May 07, 2008 9:28 am
Re: YTL Power
by winston » Mon Feb 24, 2020 2:16 pm
not vested
YTL Power (YTLP MK) : BUY
Mkt. Cap: US$1,327m I 3m Avg. Daily Val: US$0.85m
Last Traded Price ( 20 Feb 2020): RM0.72
Price Target 12-mth: RM0.86 (19% upside) (Prev RM0.86)
Undervalued world-class assets
2QFY20 below expectations due to higher-than expected losses from mobile business
Wessex Water still the largest contributor
Share price implies Wessex Water undervalued
Maintain BUY with a SOP-based TP of RM0.86
Source: DBS
https://researchwise.dbsvresearch.com/R ... bgfgkfcafi
YTL Power (YTLP MK) : BUY
Mkt. Cap: US$1,327m I 3m Avg. Daily Val: US$0.85m
Last Traded Price ( 20 Feb 2020): RM0.72
Price Target 12-mth: RM0.86 (19% upside) (Prev RM0.86)
Undervalued world-class assets
2QFY20 below expectations due to higher-than expected losses from mobile business
Wessex Water still the largest contributor
Share price implies Wessex Water undervalued
Maintain BUY with a SOP-based TP of RM0.86
Source: DBS
https://researchwise.dbsvresearch.com/R ... bgfgkfcafi
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
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winston - Billionaire Boss
- Posts: 110207
- Joined: Wed May 07, 2008 9:28 am
Re: YTL Power
by winston » Fri Mar 13, 2020 11:51 am
not vested
Buying Tuaspring’s assets
YTLP’s subsidiary YTL PowerSeraya has entered into a put and call option to acquire Tuaspring’s power plants and associated assets for S$331.45m.
The deal's completion is conditional upon the approval of PUB and EMA.
The proposed acquisition is expected to be completed by end-2QCY20.
We expect earnings contribution from Tuaspring to be limited due to the weak power market in Singapore. Reiterate Hold, with SOP-based TP of RM0.71.
Source: CIMB
https://rfs.cgs-cimb.com/api/download?f ... 4DD3881F0C
Buying Tuaspring’s assets
YTLP’s subsidiary YTL PowerSeraya has entered into a put and call option to acquire Tuaspring’s power plants and associated assets for S$331.45m.
The deal's completion is conditional upon the approval of PUB and EMA.
The proposed acquisition is expected to be completed by end-2QCY20.
We expect earnings contribution from Tuaspring to be limited due to the weak power market in Singapore. Reiterate Hold, with SOP-based TP of RM0.71.
Source: CIMB
https://rfs.cgs-cimb.com/api/download?f ... 4DD3881F0C
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
-
winston - Billionaire Boss
- Posts: 110207
- Joined: Wed May 07, 2008 9:28 am
Re: YTL Power
by winston » Tue Aug 29, 2023 10:54 am
not vested
YTL Power International
All-time high net profit
YTLP reported an all-time high normalised net profit of RM1.8bn for FY23, which was up 4x yoy and beat ours and consensus’ forecasts by 35-41%.
This was driven mainly by significant improvement in profitability at Power Seraya on the back of the supply-demand tightness in Singapore.
We reiterate our Add rating with a higher SOP-based TP of RM2.40.
Source: CIMB
https://rfs.cgs-cimb.com/api/download?f ... 5C8DD1AB59
YTL Power International
All-time high net profit
YTLP reported an all-time high normalised net profit of RM1.8bn for FY23, which was up 4x yoy and beat ours and consensus’ forecasts by 35-41%.
This was driven mainly by significant improvement in profitability at Power Seraya on the back of the supply-demand tightness in Singapore.
We reiterate our Add rating with a higher SOP-based TP of RM2.40.
Source: CIMB
https://rfs.cgs-cimb.com/api/download?f ... 5C8DD1AB59
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
-
winston - Billionaire Boss
- Posts: 110207
- Joined: Wed May 07, 2008 9:28 am
Re: YTL Power
by winston » Tue Aug 29, 2023 1:32 pm
not vested
YTL Power stock surged 163%. Still up for the ride?
by M JAY SHEILA
Source: Malaysia Reserve
https://themalaysianreserve.com/2023/08 ... -the-ride/
YTL Power stock surged 163%. Still up for the ride?
by M JAY SHEILA
Source: Malaysia Reserve
https://themalaysianreserve.com/2023/08 ... -the-ride/
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
-
winston - Billionaire Boss
- Posts: 110207
- Joined: Wed May 07, 2008 9:28 am
Re: YTL Power
by winston » Wed Oct 25, 2023 8:33 am
not vested
YTL Power International
S’pore to revamp gas procurement framework
Singapore’s Energy Market Authority (EMA) plans to create an entity (Gasco) that will centrally procure and supply gas for the power sector.
EMA believes that this would ensure sufficient and secure gas supply and offer a long-term solution to the recent spikes in Singapore’s electricity prices.
We see limited near-term earnings impact to YTLP from this change, but longer-term margins could normalise from the current elevated levels.
Source: CIMB
https://rfs.cgs-cimb.com/api/download?f ... FCDEBFBFD5
YTL Power International
S’pore to revamp gas procurement framework
Singapore’s Energy Market Authority (EMA) plans to create an entity (Gasco) that will centrally procure and supply gas for the power sector.
EMA believes that this would ensure sufficient and secure gas supply and offer a long-term solution to the recent spikes in Singapore’s electricity prices.
We see limited near-term earnings impact to YTLP from this change, but longer-term margins could normalise from the current elevated levels.
Source: CIMB
https://rfs.cgs-cimb.com/api/download?f ... FCDEBFBFD5
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
-
winston - Billionaire Boss
- Posts: 110207
- Joined: Wed May 07, 2008 9:28 am
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