PNE Industries

[investright]

not sure if I mis-read anything but their current cash of $0.047 and 18% free float ........the Tans can literally privatise the coy with no cash from their own pocket at nav of $0.20.

Please correct my numbers if wrong. Thanks.

Hi can you please elaborate further on what you mean by privatising with no cash at all (at what price is that?)

[Stockerman]

Does it mean that its fate would also depend on the construction and building industries?


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A leading brand name in Southeast Asia, PNE has penetrated the construction and building industry offering emergency lighting products. In Singapore and Malaysia, PNE is involved in the manufacturing and sales of lighting products. Its emergency lightings are certified and approved for used by the various independent certification test laboratories.

[rokcradle]

not sure if I mis-read anything but their current cash of $0.047 and 18% free float ........the Tans can literally privatise the coy with no cash from their own pocket at nav of $0.20.

Please correct my numbers if wrong. Thanks.

Hi can you please elaborate further on what you mean by privatising with no cash at all (at what price is that?)

One way I suppose is for the company to do shares buyback. Use the cash hoard to buy up shares from the open market. Theoretically sounds ok, but practically, due to illiquidity, likely not feasible. To sidetrack, I thought that Popular might be doing what i just described - Cutting dividend and increasing share buyback... you see the founder's shareholdings going up everytime the company buys back shares

[kopihothot]

not sure if I mis-read anything but their current cash of $0.047 and 18% free float ........the Tans can literally privatise the coy with no cash from their own pocket at nav of $0.20.

Please correct my numbers if wrong. Thanks.

Hi can you please elaborate further on what you mean by privatising with no cash at all (at what price is that?)

They pay for the rest of the shares they have not own, own the coy and get its cash hoard........reported nav is ~$0.20.

[smallcaps]

Reading up on the ARs. Noting down any interesting stuff as I go along:

AR 2012:

Information about major customers
Included in revenue arising from contract manufacturing sales to customers is revenue of $46,422,000 (2011 :
$34,058,000) which arose from sales to the Group’s two (2011 : two) major group of customers, each of whom
accounted for more than 10% of the Group’s total external revenue.

Segment revenue for FY12:

Contract manufacturing 58 mil
Trading 36.3 mil

Thus, that 2 major customer accounts for 80% of contract manufacturing revenue, 49% of total revenue (CM + Trading)

[smallcaps]

From AR 2010:

In the past year ended September 30, 2010 (“FY10”),
we saw an increased turnover of $12.1m or 16.0% to $87.3m.
Profit before tax also saw an increase of $7.1m to $10.1m from
$3.0m in FY09.

Following our positive results, the Board is recommending a
first and final dividend of 0.30 cents per share (exempt onetier
dividend), subject to the approval of the shareholders at the
forthcoming Annual General Meeting. This proposed dividend
is an increase of 0.05 cents per share as compared to FY09.

From AR 2011:

By all measures, this has been a challenging year for the Group, which saw weaker customer demand and rising cost pressures. For
the financial year ended September 30, 2011 (“FY11”), our turnover was $75.3m, a decrease of $12.0m or 13.7% from FY10. Profit
before tax decreased from $10.1m in FY10 to $2.8m in FY11.

To reward shareholders for their continued support, the Board recommends a first and final dividend of 0.30 cents per share (exempt
one-tier dividend), which is the same amount as last year. The proposed dividend is subject to the approval of the shareholders at the
forthcoming Annual General Meeting.

Seems quite dividend friendly to me... as I understand it's family controlled business. At least in a down year, they didn't withhold dividend and then make an lousy offer for the company.

Looks like they might be managing the dividend such that it's at least consistent/uptrend over the long term?

Any buddies attend the AGM before? Does the management seems friendly to minorities or r they the bo chap type?

[smallcaps]

Looks like not many holding this stock...

Here's something interesting from AR 2006:

20. SHARE PREMIUM
On January 26, 2006, the Company undergone a Share Premium Reduction exercise to write off the Company's share premium
against its accumulated losses. Approval for the Share Premium Reduction was granted by the High Court of Singapore and
approved by the shareholders at an Extraordinary General Meeting held on January 26, 2006.
As explained in Note 19, with the Companies (Amendment) Act 2005, the concept of authorised share capital and par value has
been abolished. The amount of $3,424,463 in the share premium account was therefore transferred to the Company's share capital
account during the current financial year.

Thus, the retained profits went from -30 mil in 2005 to +15mil in 2006.

The big loss came from an impairment charge of $31 mil in 2005 against its investment in associated company.

[valuebuddies]

Any IR link from the website, I am having difficulties in collecting the financial information

[smallcaps]

Any IR link from the website, I am having difficulties in collecting the financial information

Normally juz get from annual reports...

http://quicktake.morningstar.com/stockne...ountry=sgp

[mkmk]

Any IR link from the website, I am having difficulties in collecting the financial information

You can try the SGX website (http://www.sgx.com/wps/portal/sgxweb/hom...BIS9nQSEh/), then filter PNE Industries to get their Annual Reports, since they don't have a IR website.