King Wan Corporation

[GFG]

http://www.bangkokpost.com/business/news...h-ipo-cash

Its debut on the Stock Exchange of Thailand has been slated for April 28.

Is this news reliable?
KW has thus far not released any announcement via SGX
I thought the company is obliged to release such information.
How can we be finding out about this from some random news article written by a journalist, when the company has not mentioned a word

[heifien91]

OSK-DMG highlights likely rise in King Wan's dividends

Analyst: Lee Yue Jer

Kaset Thai Industry Sugar (Kaset Thai)’s IPO to go ahead. The Bangkok Post published an article on 4 April that stated that Kaset Thai plans to float 957.83m IPO shares from April 21-23 to raise funds for its expansion.
This is the key catalyst that investors have been waiting for and comes as a positive surprise after the recent news that the IPO deadline had been pushed back to Aug 2014.
IPO price not confirmed but King Wan will benefit either way. If the IPO is priced high, King Wan will be able to offload its stake in its Thai associate at an attractive price during the IPO period.

If the listing multiple is on the low side, the company will receive more shares in Kaset Thai, as the value of its stake is fixed at c.SGD50m. King Wan will, thus, enjoy upside potential plus possible yield on its Kaset Thai shares. Either way, the company’s shareholders will benefit from the upcoming IPO.

Raising dividend forecast for FY14 final dividend. We expect King Wan to liquidate part of its Kaset Thai stake regardless of the IPO valuation. This will result in sufficient cash inflow to pay a higher dividend. We believe the potential final dividend for FY14 is in the 1.5-2 cents range, but estimate it at 1.5 cents to be on the conservative side.
Time to double the dividend, maintain BUY and SGD0.43 TP. We continue to expect King Wan to pay a 3 cents dividend every year from FY15 onwards, with 1.5 cents from its core businesses and 1.5 cents from the continued liquidation of its Kaset Thai stake. This raises the foreseeable sustainable yield to 10%. Maintain BUY and SGD0.43 TP, which is based on a 7% yield.

(Vested)

SG Value Investor
http://www.sgvalueinvestor.wordpress.com

[BestPrice]

KTIS shares not listed yet (IPO on 28 April 2014) but I just found out that on the KTIS company website, there is a historical share price page (could be a trial site).

Looking at the "historical prices", the KTIS IPO price could be 5.00 Baht (or maybe 5.XX Baht).

http://ktis-th.listedcompany.com/historical_price.html

[GPD]

KTIS shares not listed yet (IPO on 28 April 2014) but I just found out that on the KTIS company website, there is a historical share price page (could be a trial site).

Looking at the "historical prices", the KTIS IPO price could be 5.00 Baht (or maybe 5.XX Baht).

http://ktis-th.listedcompany.com/historical_price.html

I am only aware of the KTIS group website but not this one. Has this been around for a long time?

The listing should be imminent. There should be some announcements from KingWan soon on this. Only worries now is that Q4 results disappoints which may limit its upside.

[BestPrice]

KTIS shares not listed yet (IPO on 28 April 2014) but I just found out that on the KTIS company website, there is a historical share price page (could be a trial site).

Looking at the "historical prices", the KTIS IPO price could be 5.00 Baht (or maybe 5.XX Baht).

http://ktis-th.listedcompany.com/historical_price.html

I am only aware of the KTIS group website but not this one. Has this been around for a long time?

The listing should be imminent. There should be some announcements from KingWan soon on this. Only worries now is that Q4 results disappoints which may limit its upside.

If I remember correctly, it has been around since early March this year.

[BestPrice]

The IPO price is 10 Baht.

http://www.set.or.th/en/company/ipo/upco...o_set.html

[LittleBoyInvestor]

The IPO price is 10 Baht.

http://www.set.or.th/en/company/ipo/upco...o_set.html

Great news.

The listing of KTIS will unlock further potential in KingWan's stock.

I cannot wait for the special dividends to be coming in

Praying it will be 1.5cents special dividend + 1.5 ordinary dividend. 3.0cents will be a very delicious yield!

(Vested)
Little Boy
http://littleboyinvestment.blogspot.sg

[GFG]

The IPO price is 10 Baht.

http://www.set.or.th/en/company/ipo/upco...o_set.html

Great news.

The listing of KTIS will unlock further potential in KingWan's stock.

I cannot wait for the special dividends to be coming in

Praying it will be 1.5cents special dividend + 1.5 ordinary dividend. 3.0cents will be a very delicious yield!

(Vested)
Little Boy
http://littleboyinvestment.blogspot.sg

even if there is a special dividend coming up, it is unlikely to be declared within this coming Q4 results.
The Q4 ends in March 2014, whereas this listing is only in late April.
I don't think KW will sell all its allocation of KTIS, and even if they do, the Q4 report will already have been prepared, without any thought for a special dividend.
Going forward, there may be a special dividend in FY15.
But any thoughts of an unusually high dividend this coming quarter is going to be disppointed

[GPD]

Does any know where we can get hold of the IPO prospectus for KTIS (english version)?

KW might just keep its stake in KTIS and receive dividend income from it. Every 3.5% div yield from the $50mil KTIS investment can support a 0.5cents div payout. They may dispose some holding if the price is attractive enough.

For the last 2 FY, KW has paid out 1.5 cts in dividend but cash has been depleting. Last FY EPS is 2 cts so the payout ratio is 75%. EPS for this 9 months is 1.8cts. KW may not have explosive growth but to maintain 1.5cts div from the non-Thai operation should be plausible.

So from FY15 onwards I expect a dividend of 2.0-2.5cts as norm plus special div whenever KTIS declare a bumper div or when KW disposed of some share or from its core business itself. For those who had accumulated before this KTIS event (ard 20cts), they should be sitting on a delicious cash cow with a 10% yield + capital gain. I believe KW can get re-rated to 40cts without too much difficulties.

By the way, correct me if I am wrong, the net gain from the KTIS investment is $28mil since in their book, asset held for sale is £22mil.

Anyone know what is going on with the Dalian Shicheng investment? Seems like no news for quite a while.

(vested)

[BestPrice]

Today SET got one new IPO

ICHITAN GROUP Public Company Limited

IPO price: 13 Baht

First day closing price: 16.20 Baht (up 3.20 Baht or 24.6%)

http://www.set.or.th/en/company/ipo/upco...o_set.html

http://www.ichitangroup.com/investor.php

If KTIS share price IPO day can go up by the same amount 3.20 Baht to 13.20 Baht, will be a 32% increase in share price. This will allow King Wan to have a gain of about 4 cents per share.