Fuji Offset Plates Manufacturing

Since Cityfarmer brought out the post on the share manipulation in FOP, I thought I shall highlight this company.

A cigar butt with a proven management, FOP has in its ranks the main management of Super Group.

Cash per share $0.20
Cash + Properties (NTA) per share approximately $0.43

Too much cash, no good ideas so far, they have been investing in water purification and some printing business. They clearly want to exit out of their existing business but will take time for management to come out with ideas on what to do to lift earnings. Currently making small losses with no big impact to their cash.

Lightly vested.

A little update half a year on...

Cash per share $0.20
Investment property per share $0.12 @ book value, $0.29 @ market value
Debt $0.4 million $0.0088 per share
NAV $0.4477

Current price $0.32
Price to RNTA 0.65
Price to RNAV 0.52

The company has also managed to regain their money paid in exchange for equity in Shenzhen Jiaxinda Printing Co Ltd, a subsidiary of Xpress Holdings Ltd although this repayment by the boss of Xpress Holdings Ltd will take place over the next two years.

A little update after the release of full year results some time ago..

Cash per share $0.212
Investment property per share $0.121 @ book value less depreciation, $0.293 @ market value
No debt
NAV $0.4493

Current price $0.275
Price to RNTA ~0.61
Price to RNAV ~0.45

Hope Super Group gets a takeover offer then David Teo can focus some energy on this business.

Yet another update 4 months on..

FOP wishes to sell its freehold industrial plot (1 out of the 3 investment properties on hand) to K-Fix, a subsidiary of Kingsmen C. K-Fix has been leasing this premise and I do think they will need it for a long time now hence K-Fix/Kingsmen has decided to purchase the plot instead of leasing it.

Good news?

Summation of ALL three investment properties on hand is just 14.6 million SGD. (http://infopub.sgx.com/FileOpen/2013%20F...leID=21025)

"The excess of the net proceeds of the Property to be disposed of over the net book value is
S$8,818,000 and the gain on disposal of the Property is S$7,712,500."

A gain of 7.7 million SGD is approximately 15 cents of cash per share.

Add this to my previous figure of 21cents of cash per share, you get a whooping 36cents of cash per share. Current bid price of 31cents seems to be too much of a joke still.

No S-chip here, and I figure this cash is really there. Hopefully this is a first salvo of what is to come. With around 18million of cash, the company may attempt to find a new driver of growth. Hope I am going to be watching a movie unfold here (not horror movie I hope).

problem with this stock is market liquidity, bid/ask spread too wide...difficult to buy or sell.

That is what I have a penchant for. I am a believer of the supply demand logic. I waited patiently for people to sell down when I was trying to get invested, I will wait for the day for demand to go crazy due to some corporate action and with Mr Market seeing its true value. Let's see!

Hi psolhawk,

What did you use the gain from the investment instead of the total cash that is likely to be received to add into the potential cash on hand? Is that any exiting loan on the property or something that I didn't realize?

(08-09-2014, 10:04 AM)psolhawk Wrote: Yet another update 4 months on..

FOP wishes to sell its freehold industrial plot (1 out of the 3 investment properties on hand) to K-Fix, a subsidiary of Kingsmen C. K-Fix has been leasing this premise and I do think they will need it for a long time now hence K-Fix/Kingsmen has decided to purchase the plot instead of leasing it.

Good news?

Summation of ALL three investment properties on hand is just 14.6 million SGD. (http://infopub.sgx.com/FileOpen/2013%20F...leID=21025)

"The excess of the net proceeds of the Property to be disposed of over the net book value is
S$8,818,000 and the gain on disposal of the Property is S$7,712,500."

A gain of 7.7 million SGD is approximately 15 cents of cash per share.

Add this to my previous figure of 21cents of cash per share, you get a whooping 36cents of cash per share. Current bid price of 31cents seems to be too much of a joke still.

No S-chip here, and I figure this cash is really there. Hopefully this is a first salvo of what is to come. With around 18million of cash, the company may attempt to find a new driver of growth. Hope I am going to be watching a movie unfold here (not horror movie I hope).

(08-09-2014, 10:05 PM)investright Wrote: Hi psolhawk,

What did you use the gain from the investment instead of the total cash that is likely to be received to add into the potential cash on hand? Is that any exiting loan on the property or something that I didn't realize?

(08-09-2014, 10:04 AM)psolhawk Wrote: Yet another update 4 months on..

FOP wishes to sell its freehold industrial plot (1 out of the 3 investment properties on hand) to K-Fix, a subsidiary of Kingsmen C. K-Fix has been leasing this premise and I do think they will need it for a long time now hence K-Fix/Kingsmen has decided to purchase the plot instead of leasing it.

Good news?

Summation of ALL three investment properties on hand is just 14.6 million SGD. (http://infopub.sgx.com/FileOpen/2013%20F...leID=21025)

"The excess of the net proceeds of the Property to be disposed of over the net book value is
S$8,818,000 and the gain on disposal of the Property is S$7,712,500."

A gain of 7.7 million SGD is approximately 15 cents of cash per share.

Add this to my previous figure of 21cents of cash per share, you get a whooping 36cents of cash per share. Current bid price of 31cents seems to be too much of a joke still.

No S-chip here, and I figure this cash is really there. Hopefully this is a first salvo of what is to come. With around 18million of cash, the company may attempt to find a new driver of growth. Hope I am going to be watching a movie unfold here (not horror movie I hope).

Hi investright,

You're right, I shouldn't be talking about the gain only since they are getting back the sale amount in cash. 35million RM is approximately 13.67million SGD which translates to around 27.39 cents of cash/shares.

That is a solid 48 cents of cash per share and despite some people playing up the share price (today) to 35 cents, the current bid and sell price still remain immensely attractive for investors standing on the sidelines.

My gut feel is that after the management ceased the Fuji Ice Skating Rink business, they have been busy with Super Group but they are obviously not unaware of the gems they have within FOP. This first sale is an indication to me that they are putting more thoughts into FOP now. To me, that is comforting.

(09-09-2014, 01:11 PM)psolhawk Wrote:

(08-09-2014, 10:05 PM)investright Wrote: Hi psolhawk,

What did you use the gain from the investment instead of the total cash that is likely to be received to add into the potential cash on hand? Is that any exiting loan on the property or something that I didn't realize?

(08-09-2014, 10:04 AM)psolhawk Wrote: Yet another update 4 months on..

FOP wishes to sell its freehold industrial plot (1 out of the 3 investment properties on hand) to K-Fix, a subsidiary of Kingsmen C. K-Fix has been leasing this premise and I do think they will need it for a long time now hence K-Fix/Kingsmen has decided to purchase the plot instead of leasing it.

Good news?

Summation of ALL three investment properties on hand is just 14.6 million SGD. (http://infopub.sgx.com/FileOpen/2013%20F...leID=21025)

"The excess of the net proceeds of the Property to be disposed of over the net book value is
S$8,818,000 and the gain on disposal of the Property is S$7,712,500."

A gain of 7.7 million SGD is approximately 15 cents of cash per share.

Add this to my previous figure of 21cents of cash per share, you get a whooping 36cents of cash per share. Current bid price of 31cents seems to be too much of a joke still.

No S-chip here, and I figure this cash is really there. Hopefully this is a first salvo of what is to come. With around 18million of cash, the company may attempt to find a new driver of growth. Hope I am going to be watching a movie unfold here (not horror movie I hope).

Hi investright,

You're right, I shouldn't be talking about the gain only since they are getting back the sale amount in cash. 35million RM is approximately 13.67million SGD which translates to around 27.39 cents of cash/shares.

That is a solid 48 cents of cash per share and despite some people playing up the share price (today) to 35 cents, the current bid and sell price still remain immensely attractive for investors standing on the sidelines.

My gut feel is that after the management ceased the Fuji Ice Skating Rink business, they have been busy with Super Group but they are obviously not unaware of the gems they have within FOP. This first sale is an indication to me that they are putting more thoughts into FOP now. To me, that is comforting.

i opened a position this morning (im part of the somebody to play it up to 35 cents haha, albeit a very small position). the liquidity and the lack of catalyst is one big issue though.

Use stanchart online trading, the damage to your wallet for brokerage charges is minimal as stanchart does not charge minimum commission. I am using it for all my unloved illiquid stocks where I am happy to lap up a 1 lot anytime.