GL Limited (formerly: Guoco Leisure)

(03-09-2012, 03:45 PM)d.o.g. Wrote:

(03-09-2012, 03:10 PM)propertyinvestor Wrote: I dont understand why you guys are so obsessed with Molokai properties? Its peanuts compared to the Hotel / Oil and Gas royalties asset. If they can raise cash from it good. But really, its not material to begin with.

There are only 5 assets identified in the FY2011 annual report:

Guoman Hotels
Clermont Leisure
Bass Strait Oil Royalty
Molokai Properties
Denarau Properties

Of these, Guoman is clearly the largest. The smallest are Denarau (US$5.6m book value) and Clermont (casino license valued at $US46.5m). The book value of Molokai (~US$170m) actually exceeds that of the Bass Strait Oil and Gas Royalty (US$134m).

So the only asset that can definitely be ignored is Denarau. Clermont, probably. Guoman clearly merits the most time and attention. Molokai and Bass should probably be given at least a look depending on the price of the stock - if it's cheap enough it may not matter. Of course, if the decision to buy hinges on the value of that last 20% of the assets, maybe the stock is not cheap enough.

And cheap is not always good. Cheap can stay cheap for a long time. Quek Leng Chan has many ways to extract value, in the form of salary, director fees, related party transactions etc. Minority shareholders have only a (non-guaranteed) dividend to look forward to, and have to hope for other fools to pay a higher price for their stock.

I believe they have undervalued the O&G Royalties asset. I view GL as a good store of value at current price.

Steady accumulation around current levels since results were out. The repeated block buying today not withstanding weak regional markets is worth monitoring.

Could Marathon be talking to shrewed Quek for a suitable price to bail out their "Wrong-term" holdings just like what happened to 3rd Avenue - hence the lack of opening mkt selling pressure?

Anyway, we can only hope the stamina of the buyer lasts...

(05-09-2012, 05:36 PM)greengiraffe Wrote: Steady accumulation around current levels since results were out. The repeated block buying today not withstanding weak regional markets is worth monitoring.

Hi gg,

How did you notice there were block buying today? I checked but to no avail.

Thanks.

(05-09-2012, 09:18 PM)Stocker Wrote:

(05-09-2012, 05:36 PM)greengiraffe Wrote: Steady accumulation around current levels since results were out. The repeated block buying today not withstanding weak regional markets is worth monitoring.

Hi gg,

How did you notice there were block buying today? I checked but to no avail.

Thanks.

Hi Mate,

If you check time and sales on your online trading platform, you would have notice that sellers @ 0.59 have been cleared at least 2 or 3 times throughout today's trading.

Depending on yr platform, it may reflect as a series of small sells at a single point in time.

I have monitored the trading on and off during the day and I remember huge sellers (at least 200 to 300k) piling up for sale at 59. I thought with lesser buyer at 58.5 bidding, the sellers may have been pressured to hit the bids but they got cleared from buying coming from nowhere.

The closing buyers were another such blocks.

Hi gg,

Thanks , will double check mine again. I trade through iocbc.

Hi gg,

You are spot on , some trades with more than 200 or 300,000 shares were booked buy one single buyer at one go , but from few different counter parties.

Cheers.

Thin volume today. Funny, Marathon has stop selling for the time being.

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Bank of England to make an announcement on staying the path of QE or expanding it later.

The Bank of England persisted with its quantitative-easing program today after Prime Minister David Cameron reiterated his budget plans, leaving the central bank carrying the burden of reviving Britain’s economy.
With Cameron reaffirming his strategy to reduce the deficit, ministers are stressing the role of the central bank in getting the U.K. out of a recession. The Monetary Policy Committee kept its bond-purchase target at 375 billion pounds ($596 billion), as forecast by 38 of 39 economists in a Bloomberg News survey. A separate poll shows economists see the MPC expanding stimulus to 400 billion pounds by the end of 2012.

I believe they have undervalued the O&G Royalties asset. I view GL as a good store of value at current price.
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I would feel that even with the Molokai asset written off, the current price will still be attractive. And probably market has already discounted that?

(07-09-2012, 12:48 PM)Share Investor Wrote: I believe they have undervalued the O&G Royalties asset. I view GL as a good store of value at current price.

I would feel that even with the Molokai asset written off, the current price will still be attractive. And probably market has already discounted that?
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It was already discounted by the market long ago. I didnt even bother about it when I first looked up GL. Who gives a damn about Molokai when investing in GL? Its for the hotels/ casinoes and Oil royalties!