Boustead Singapore

Correct me if i'm wrong. Votes are only counted amongst those who are present (in person or proxy) and voted (non-abstain) at the AGM. If you did not submit your form or voted in person, in substance you can count yourself from abstaining from all voting.

As a member holding more than 5% of the voting shares, wff would be able to demand a poll to reappoint himself in the event he is voted down, and then exercise his vote this time round (abstinence for conflicted director is only recommended, not mandatory I suppose?) to easily pass the resolution.

I guess the significance of the issue is a hint of that SHH(s) and the management does not see eye to eye either on certain executive decisions taken this year or bringing to light a silent long-running divergence. It is not difficult to make an educated guess from the SHH list. I just hope this does not turn into something bigger and negatively affect the captain of the ship. You would trust him and want him at his best to steer the company pass the storm at this time.

(29-07-2016, 02:05 PM)valueguy Wrote: Any buddies who attended AGM and kind enough to share findings?

I was surprised to see that wff's reappointment as director was voted 37% against. Anyone has any insights?

Nothing special in this agm at beginning. WFF start the agm by asking the floor for qns but no one responded, then voting for the agm started. Mano arrived after the agm and before the egm started. WFF  ask the floor for qns and Mano started the ball rolling and then the rest of the minority shareholder start to ask qns.
Basically the agm started very dull till Mano fired the first salvo. (I guess sg ppl are usually a meek bunch.)



Mano dedicate a speech praising wff at the very end about his character, leadership and etc. saying that the 30+% vote against him must be fat fingers at work or the sh duno what to press.
Personal thoughts:
Wyl din really make any impression in this agm unlike wyw in BP agm. 
This agm is mainly managed by wff

Maybe some ssh unhappy with parachute of a new CEO or ?

(31-07-2016, 12:35 AM)zquan Wrote: Maybe some ssh unhappy with parachute of a new CEO or ?

I thought about that too but dont think so cos the new CEO re appointment is very high. If I am unhappy, i will vote against the new CEO not the chairman although the chairman is the one who propose the new CEO.

(31-07-2016, 12:32 AM)zquan Wrote:

(29-07-2016, 02:05 PM)valueguy Wrote: Any buddies who attended AGM and kind enough to share findings?

I was surprised to see that wff's reappointment as director was voted 37% against. Anyone has any insights?

Nothing special in this agm at beginning. WFF start the agm by asking the floor for qns but no one responded, then voting for the agm started. Mano arrived after the agm and before the egm started. WFF  ask the floor for qns and Mano started the ball rolling and then the rest of the minority shareholder start to ask qns.
Basically the agm started very dull till Mano fired the first salvo. (I guess sg ppl are usually a meek bunch.)



Mano dedicate a speech praising wff at the very end about his character, leadership and etc. saying that the 30+% vote against him must be fat fingers at work or the sh duno what to press.
Personal thoughts:
Wyl din really make any impression  in this agm unlike wyw in BP agm. 
This agm is mainly managed by wff

WFF should have given shareholders a chance to get to know WYL by letting him answer some questions or at least make a short presentation. WYL looked bored throughout the AGM. It doesn't help that WYL is seated right at the end of the table, away from the glare. Given that succession is a concern among some shareholders, this is a missed opportunity. 

I did not attend the BP AGM. Glad to know that WYW shined. Who's the elder bro, btw?

Another addition to our Singapore portfolio is Boustead Singapore (“Boustead”).

Boustead is an old pre-colonial company taken over in 1996 by Mr. Wong Fong Fui who has since grown it to annual revenue in excess of S$480 million.

We like Boustead as it is cheap on a sum-of-the-parts basis.


“At this valuation, we get the Energy division free plus a free call option on its industrial REIT when it is spun off….”

The industrial real estate business + net cash works out to around S$0.63/share. The current share price is S$0.80 which implies that the cash cow Geo spatial business trades at only 6.7x PER.

At this valuation we get the Energy division free plus a free call option on its industrial REIT when it is spun off once its industrial asset size reaches S$700-800 million in a few years.
....
http://www.nextinsight.net/index.php/sto...t-is-cheap

(31-07-2016, 01:55 PM)touzi Wrote:

(31-07-2016, 12:32 AM)zquan Wrote:

(29-07-2016, 02:05 PM)valueguy Wrote: Any buddies who attended AGM and kind enough to share findings?

I was surprised to see that wff's reappointment as director was voted 37% against. Anyone has any insights?

Nothing special in this agm at beginning. WFF start the agm by asking the floor for qns but no one responded, then voting for the agm started. Mano arrived after the agm and before the egm started. WFF  ask the floor for qns and Mano started the ball rolling and then the rest of the minority shareholder start to ask qns.
Basically the agm started very dull till Mano fired the first salvo. (I guess sg ppl are usually a meek bunch.)



Mano dedicate a speech praising wff at the very end about his character, leadership and etc. saying that the 30+% vote against him must be fat fingers at work or the sh duno what to press.
Personal thoughts:
Wyl din really make any impression  in this agm unlike wyw in BP agm. 
This agm is mainly managed by wff

WFF should have given shareholders a chance to get to know WYL by letting him answer some questions or at least make a short presentation. WYL looked bored throughout the AGM. It doesn't help that WYL is seated right at the end of the table, away from the glare. Given that succession is a concern among some shareholders, this is a missed opportunity. 

I did not attend the BP AGM. Glad to know that WYW shined. Who's the elder bro, btw?

(31-07-2016, 09:05 PM)ngcheeki Wrote: Another addition to our Singapore portfolio is Boustead Singapore (“Boustead”).

Boustead is an old pre-colonial company taken over in 1996 by Mr. Wong Fong Fui who has since grown it to annual revenue in excess of S$480 million.

We like Boustead as it is cheap on a sum-of-the-parts basis.


“At this valuation, we get the Energy division free plus a free call option on its industrial REIT when it is spun off….”

The industrial real estate business + net cash works out to around S$0.63/share. The current share price is S$0.80 which implies that the cash cow Geo spatial business trades at only 6.7x PER.

At this valuation we get the Energy division free plus a free call option on its industrial REIT when it is spun off once its industrial asset size reaches S$700-800 million in a few years.
....
http://www.nextinsight.net/index.php/sto...t-is-cheap

 
Sounds about right. I don't think this will go much lower unless oil goes below $30 again.

withdrawal of scrip dividend scheme.

http://boustead.listedcompany.com/newsro...BN88.3.pdf

The Board wishes to announce that having made a re-assessment of the Company’s present capital needs and current cash reserves, it is of the view that the Company is sufficiently capitalised for the time being and that shareholders’ interests are better served by paying the Dividend in cash instead of scrip.

*********************
I dont understand what they meant by shareholders' interest are better served by paying dividend instead of scrip. Are they expecting share prices to go lower or growth to be so slow its better for investors to take the money and invest in some other stocks?

A scrip dividend is equivalent to declaring a cash dividend, followed by subscribing to a non renounceable nil paid rights issue.

There are 2 components to this - (1) cash, (2) increasing capital via issuing rights

From shareholder's POV:
(1) Cash is anti-fragile, an option. This makes sense when the share price is considered under valued.
(2) Allows one to increase stake in the company (if there are non subscribers) but one's stake will be reduced if they need the cash.

From company's POV:
(1) Company doesn't have the cash (or doesn't wait to pay out) but it doesn't say so. Makes alot of sense if share price is overvalued. But if share price is undervalued, cost of capital is high and IRR hurdle comes higher too.
(2) Company needs the capital to expand.

Financial Results for Financial Year ended 31 March 2017 ("FY2017")

Highlights:
• Revenue of S$433.8m was 11% lower than FY2016
• Net profit of S$33.3 million was 18% higher than FY2016
• Net profit would be 9% lower year-on-year.after adjusting for other gains and losses net of non-controlling interests
• The Group’s current order book backlog stands at S$225 million
• The Board has proposed a final ordinary dividend of 1.5 cents per share
• Together with the interim ordinary dividend paid of 0.5 cent per share, the total ordinary dividend for FY2017 would be 2.0 cents per share.

More details in :
1. http://infopub.sgx.com/Apps?A=COW_CorpAn...5.2017.pdf
2. http://infopub.sgx.com/Apps?A=COW_CorpAn...tation.pdf 
3. http://infopub.sgx.com/FileOpen/Boustead...eID=454937