Del Monte Pacific

[CityFarmer]

Halt lifted with the following press release. This type of risk is unthinkable in Singapore , a blessing definitely

PRESS RELEASE: INCIDENT AT DMPI CAMP PHILLIPS

Del Monte Pacific Limited (“DMPL”) wishes to inform the SGX that at around 6.00 PM yesterday, February 19, 2013, a group of members of the New People’s Army, a leftist militant group entered Camp Phillips, a residential community for Del Monte Philippines, Inc (“DMPI”) employees in Bukidnon, Philippines.

The Group had apparently tried to rob a Petrol Station outside the Camp and retreated inside the Camp when confronted by the Philippine National Police. They burned three heavy equipment units to cover their retreat to the mountains. One security guard was fatally shot while resisting their entry. All residents of the camp were unharmed.

DMPL wishes to stress that the incident does not in any way affect the Plantation and Cannery operations and both are running normally.

[CityFarmer]

The company announced its FY report. As expected, bonus issue of 2-for-10 after Rule 838 no longer an issue. The dividend of 1.51 US cents is proposed, 4% higher than last year.

http://info.sgx.com/webcoranncatth.nsf/V...F003497E7/$file/DMPL-4Q2012-MDA.pdf?openelement

Summary:
- Full year sales up 8% to a record US$460m, while net profit up 17% to US$32.1m
- Strong consumer demand for Del Monte brand in the Philippines and S&W in Asia
- Declared dividend of 1.51 US cents per share, or 75% payout of 2nd half 2012 profit
- Declared bonus share issue subject to regulatory approvals

(vested)

[CityFarmer]

The company did share-buy-back on 28 Feb and 1 Mar, total of 2,227 lots with price approx S$0.89

http://info.sgx.com/webcorannc.nsf/Annou...endocument
http://info.sgx.com/webcorannc.nsf/Annou...endocument

It is a bit of surprise to me since i assume the market price is slightly over-valued. It seems that i may need to review the valuation

(vested)

[CityFarmer]

The company did another share-buy-back on 4th Mar, total 199 lots @ $0.90

http://info.sgx.com/webcorannc.nsf/Annou...endocument

[CityFarmer]

The bonus issue approved in-principle by SGX this round.

http://info.sgx.com/webcoranncatth.nsf/V...0002A5688/$file/DMPL-AIP_on_BonusIssue_1April2013_2.pdf?openelement

[CityFarmer]

The company share price of > 90 cents seems over-hyped, both by improved margin with renewed contracts, and Myanmar sales IMO

25x earning, 3x book value and dividend yield of 3%... Divested, and will look for re-entry opportunity.

[CityFarmer]

Del Monte Pacific plans dual-listing on Philippine Stock Exchange

Del Monte Pacific has announced that the company is seeking a secondary listing of its ordinary shares on the Philippine Stock Exchange (PSE).

The Board believes that in addition to the company’s primary listing on the Mainboard of the Singapore Exchange, it would be beneficial for the company and its shareholders to have a secondary listing on the PSE.

http://www.theedgesingapore.com/the-dail...hange.html

[CityFarmer]

CIMB report on 1QFY13, TP $0.86, rating Outperform

Del Monte Pacific - A lesson in branding
A buoyant Philippine economy and strong sales for its branded business drove Del Monte’s 1Q13 revenue. But earnings were hurt by the poor performance of its non-branded business. Structural changes and continued focus on brand equity will drive earnings growth. Even though the first quarter is seasonally weak, 1Q13 core net profit was below expectations, at 12.4% of our full-year forecast and 13.2% of consensus. We reduce FY13-15 core EPS by 3-5% to reflect the still-weak European market. We reiterate our Outperform rating, with our target price at a slightly lower S$0.86, still based on 20x CY14 P/E, its 5-year historical average forward P/E. Catalysts will come from the continuation of structural changes and improved market penetration.

http://remisiers.org/cms_images/research...052013.pdf

[CityFarmer]

Dual-list is no longer a catalyst... or it is just a bad timing...

Singapore-listed Del Monte plunges on Philippine debut

MANILA — Del Monte Pacific, the first Singapore-listed firm to have a dual listing in Manila, fell as much as 11 per cent on its debut after the company’s controlling shareholder sold some shares at a discount.

Del Monte, which grows, processes and sells canned and fresh pineapple and other fruits, listed 1.3 billion shares on the Philippine Stock Exchange at a debut price of 29.80 pesos (S$0.88) without undertaking an initial public offering.

http://www.todayonline.com/business/sing...pine-debut

[CityFarmer]

Forward PE of 22.5x... F&B counters are demanding higher valuation...

DBS Vickers maintains buy call for Del Monte Pacific with 97 cents target price

DBS Vickers is standing by its buy call on Del Monte Pacific with a target price of 97 cents. “We maintain our Buy recommendation with a DCF-backed TP of $0.97, implying FY14F PE of 22.5x. This is projected to decline to 16.3x by FY15F. We view DMPL as inexpensive, trading at c.17.6x PE on FY14F, compared to regional F&B peers’ trading at an average PE of 24x.”

DBS Vickers’ analyst Andy Sim says he sees Del Monte Pacific as a key branded consumer play with 60% revenue from Philippines with clear growth drivers in place, supported by its established brands.

http://www.theedgesingapore.com/the-dail...price.html