Yangzijiang Financial Holding

[weijian]

wow this spin off is indeed unique... with 2 separate entities isn't it more difficult for ships that was built but not delivered to be injected into this entity?

and without raising capital... interesting that he is still savvy

See my post on 2 Oct 2013...wow how time flies... but Chairman Ren is indeed savvy
https://www.valuebuddies.com/thread-588-...#pid165284

But holding ships in inventory is nothing new. Most savvy I think was Jaya Holdings. That's what some of our shipping companies tried to do in the past before a sharp shipping correction undo some of them

Arguably I would say our local tycoons could learn a thing or two from Chairman Ren, in terms of creating value/wealth for themselves and OPMIs. Of course, most of them are more focused on wealth preservation and so they can surely ignore what Chairman Ren has to offer.

An interesting thing to note: YZJMD is going to take up 55% of the NAV in the split entity but it is going to take away 1bil from the 1.4bil cash (or 71.5% of it). Based on my own tracking, ~150mil of cash was injected by GPs for the Maritime Fund but even after accounting for it, it still looks to me that a larger pile of cash is going to YZJMD. Together with a 250mil share placement option by YZJMD post split, it seems like Chairman Ren is loading up his elephant gun at YZJMD side?

THE PROPOSED SPIN-OFF OF THE MARITIME FUND AND MARITIME INVESTMENTS BUSINESS (AS DEFINED HEREIN) OF THE COMPANY THROUGH THE DISTRIBUTION IN SPECIE OF 100% OF THE ISSUED SHARES IN THE CAPITAL OF YANGZIJIANG MARITIME DEVELOPMENT PTE. LTD. (TO BE RENAMED YANGZIJIANG MARITIME DEVELOPMENT LTD.)

Following the Proposed Spin-off, YZJ Maritime will function as a dedicated maritime investment platform, and its focus will be on unlocking value across the entire maritime value chain. From finance leasing and brokerage services to broader investment participation, YZJ Maritime aims to capitalise on its expertise in both shipbuilding and investment to proactively capture high-growth opportunities in the maritime industry, thereby generating sustainable long-term value for its shareholders. As a pure-play maritime development company, it is anticipated that YZJ Maritime will enhance market valuation through sharper capital allocation, tighter strategic focus, and improved operational efficiency.

https://links.sgx.com/FileOpen/YZJF%20-%...eID=855307

[Big Toe]

Fascinating the difference a year makes. No one is quite bothered when YZJF was trading below cash just a year ago except maybe a few guys here. Fast forward to present day, with some allocation, structural changes and an impending spin off, it is valued at 3.X times more?

Granted it attracted institutional investors along the way but essentially it is the same guy running the same show with the same assets.

Reminds me somewhat of MSTR/strategy, where money is raised to buy bitcoin and share price goes up exponentially relative to the increase in bitcoin holdings.
Nothing could be more absurd in MSTR. But between YZJF and MSTR, they are polar opposites.

[weijian]

Cant comment much on Vincent Toe even though he shares the same sir same. (Actually no.)
But it would be nice good to see some stability within a new organization irregardless of capability.
I wouldnt read too much into the departure, for now.

What is true is that it would be extremely difficult and rare to find a capable person to run an entire company for you. Be it fund management or otherwise. If the person is capable enough to do that, usually the heart and the head would not be at the same place. If both the heart and head is at the right place, the person would be working for himself, no reason to do otherwise.

So, Mr Vincent Toe is back in YZJFH's picture and this probably closes the chapter of our earlier "speculation" in Oct2023.

While many tries to take advantage of MAS 5billion EQDP from applying to be the GP to front running the small/med caps that the GPs will buy, Chairman Ren + Vincent Toe will take the approach of pre/post-IPO financing of Spore SMEs. Sounds a little bit like Temasek's 65 Equity Partners but this 100mil fund is considerably smaller and so it will probably operate more in the early stages of the company life cycle.

This is music to the ears of the decision makers at MAS.

Yangzijiang Financial to anchor S$100 million fund of firm led by ex-CEO Vincent Toe

Yangzijiang Financial will be the anchor investor in a S$100 million fund by ICH Asset Management (ICHAM), which is led by the Singapore-listed company’s former chief executive, Vincent Toe.

The fund will focus exclusively on Singapore’s small and medium-sized enterprises (SMEs), and is expecting to start investing from September, Yangzijiang Financial announced in a Monday (Aug 18) bourse filing.

The fund will back SMEs from before they undergo an initial public offering, through to market entry and beyond, including strategic placements after listing.

https://www.businesstimes.com.sg/compani...incent-toe