PNE Industries

[Jack EL]

I think the SPA did not go through so they are rushing out the full year result and dividend so that the share price will not plunge further. The Tans should be looking for another buyer rather than privatising on their own. New buyer = money in (for the Tans)
Privatising on their own = money out.

[BlueKelah]

After disposal of 29.05% stakes, the Tan family still have 48.62% stakes (maybe more if Chew and Chua are relatives).

Yes Bluekelah, I agree something is brewing but I think they should keep shareholders updated earlier especially so when the deadline for SPA has passed. My guess is maybe a takeover offer at a lower price of 20 plus cents...haha ok might be wishful thinking on my part. But looking forward to the results now.

Does looks like Tans needing some initial cash injection from Hummer to do the takeover, then take the remaining cash and maybe a small loan to pay Hummer back.

In any case, takeover price like to be above 22cents as that was the price done with 100 lots a few days back. Probably a fat-finger trade accidentally done by someone in the know.

[sgpunter]

Somehow my gut feel says that someone is being worked out with regards to the Hummer investment hence it is taking so long to announce. Anyway, I think the market has already factored in the probability that the SPA will not go through in its price hence the downward slide in price from its high.

I'm waiting for some kan cheong spider to let go so I can scoop up more...

[Jack EL]

I don't understand why they would want to do a buyout on their own by increasing the share price. Shouldn't they offer say 20c when the price was 9c? So I would think they are seeking a external buyout or partial.

[lkw175]

Maybe the key to deal with Hummers (go thru or not) lies with the success disposing of the third tranch of shares. Afterall, Hummers will become the major shareholder if the deal goes thru.

well, its anybody's guess now.

me just eagerly waiting...

[BlueKelah]

12-Nov-2014 17:58:08
The Vendors and the Purchasers have informed the Company that they are currently in discussions to
further extend the Completion Date, and will give an update once an agreement is reached.
3rd Extension of SPA

[sgpunter]

Something brewing? Why need so long to complete. Either go ahead with it or not...unless there is some complex transaction involved..?

[Jack EL]

The SPA has no direct importance to us. In fact I hope the SPA didn't go through so that the Tans, if they want some cash out, will declare a special dividend. With the cash pile of $18.6m, they could declare a special dividend of 5.5c. Moreover, with the disposal of the "toxic" asset(PCB), the full year result should look good. I am expecting the EPS for the full year to be about 4c for this year and 2c for subsequent year to support annual dividend of 1c.
I am going to accumulate more and hope Christmas come early this year...

[sgpunter]

Hmm will results be announced today...full year was announced on 27 Nov last year. Hoping for a dividend. Don't think there will be any news on the SPA, not that I am bothered.

[BlueKelah]

Revenue pretty flat yoy.

Final div increased 0.1 cent to 0.5cent dividend from last year.

EPS doubled to 2.55c due to gain from sale of PCB. However still has stake there valued at 3.8mio to be sold. So third tranche has not been sold yet.

They have decided to scale down their printing materials business, looks like maybe they will try to divest this as well.

No news on SPA.

All in all business is so so but seems like management is going to sell off poorly performing parts, maybe turn this into a shell company in the near future.