Swing Media

[CY09]

Hi,
Came across this company and pherhaps would like to know the view from other forumers about it.

Swing Media Technology Group Limited is engaged in the manufacturing and trading of disc-recordable (DVD-R), disc-recordable (CD-R), V0 and computer, such as optical mouse in Hong Kong and Taiwan. It recently moved into the solar energy sector by acquiring Shanghai Hui Yang and has signed with Petorchina the installation of 500 solar powered energy systems at petrol stations which is estimated to bring in appox $10 M profit over the next 2 yrs.

Estimated Profit for this FY is ard $10M (from its DVD business).
Past Dividend tells me its payout ratio is slightly around 10% and is a low ROE business and seemingly heavy asset base as evident by a huge amount of PPE in balance sheet. It recently issued new shares to some investors to pay off its debts and for working capital purposes.

Any comments?
Link for latest AR: http://info.sgx.com/listprosp.nsf/Annual...endocument

[Behappyalways]

If you intend to invest in this company, I suggest you dig up 3 areas for information......

1. Look at the company's past share placements maybe up to five years ago.....without the share placements, could the company continue to be an operating entity.

2. Look at the company's past operating biz......does it make more money from DVDs, CD-R and etc or from renting out of equipment? what is the core biz? who does it rent out to? Because of need to buy equip for renting out, does it lead to past share placements.....is it beneficial to the company or to the people who rent the equip from the company? who are they? related or not?

3. Solar biz... biggest solar collapse recently (Suntech Power Holdings). Reminds me of the internet bubble......lots of hype but is it profitable....although I have no doubt solar power will be the norm in the future just like the internet many years ago but is it profitable for the company now? There was an article by Andy Xie on China and solar power on The Edge about a month ago...

[dydx]

I don't think this counter and the underlying business would easily make a good long-term investment possibility.

[yeokiwi]

There were 3 right issue since 2007.
Even though there were dividends, the shareholders were still putting in money through right issues to keep the company going for the last few years.

[CY09]

Thanks for the comments.

I have noted that since its FY 08, Swing Media has in fact done 4 rounds of shares raising amounting to HKD 507Mil (SGD 80M). I for one would like to see that its current equity raising helps to lower debts more. It wil be nice that the cash raised is used entirely for debt reduction than used "for working capital purposes" where mgmt may just make the money disappear.

One thing that I note is that it has kept purchasing more PPE than its depreciation for that year resulting in increasing PPE for its DVD business. However, revenue is growing at a slower rate than its rate of increase in PPE. That is a troubling sign. Also, I wonder does the management see so much potential in its DVD business until it invests so much into it.

As for its solar business, it is a beneficary of falling solar prices since it purchases its solar equipment. The company just does installation of solar systems for petrol stations. It carries a few patents for this system but I view the installation as an operational risk cause if one of their installations blows up a petrol station, I dunno how much the litigation claims will be. And China is well known for not upholding patents.

[Behappyalways]

oh...asking from papa for money again.....who wants to be its papa?


and we might see one broking house will be its underwriter and then it will write a BUY report....

CHANGE IN CAPITAL :: RIGHTS ISSUE :: PROPOSED RENOUNCEABLE UNDERWRITTEN RIGHTS ISSUE
http://infopub.sgx.com/FileOpen/Swing_An...eID=274701

If you intend to invest in this company, I suggest you dig up 3 areas for information......

1. Look at the company's past share placements maybe up to five years ago.....without the share placements, could the company continue to be an operating entity.

2. Look at the company's past operating biz......does it make more money from DVDs, CD-R and etc or from renting out of equipment? what is the core biz? who does it rent out to? Because of need to buy equip for renting out, does it lead to past share placements.....is it beneficial to the company or to the people who rent the equip from the company? who are they? related or not?

3. Solar biz... biggest solar collapse recently (Suntech Power Holdings). Reminds me of the internet bubble......lots of hype but is it profitable....although I have no doubt solar power will be the norm in the future just like the internet many years ago but is it profitable for the company now? There was an article by Andy Xie on China and solar power on The Edge about a month ago...

[Behappyalways]

For the benefits of investors.....

1. Apr 28 2009
PROPOSED ISSUE OF UNSECURED 18.0% CONVERTIBLE BONDS WITH AN AGGREGATE PRINCIPAL AMOUNT OF S$3,100,000 (THE “BONDS”) DUE ON THE DATE FALLING 3 YEARS FROM DATE OF ISSUE
http://infopub.sgx.com/FileOpen/Swing_An...eID=122814

2. June 9 2009
PROPOSED PLACEMENT OF 30,000,000 NEW ORDINARY SHARES IN THE CAPITALOF SWING MEDIA TECHNOLOGY GROUP LIMITED (THE “PLACEMENT”)
http://infopub.sgx.com/FileOpen/Shs_Plac...eID=110050

3. Jul 7 2009 (there was an earlier warrants issue)
UTILISATION OF WARRANTS ISSUE PROCEEDS
http://infopub.sgx.com/FileOpen/Swing_Ut...eID=111384

4. Oct 1 2009
PROPOSED PLACEMENT OF UP TO 75,000,000 NEW ORDINARY SHARES IN THE CAPITAL OF SWING MEDIA TECHNOLOGY GROUP LIMITED (THE “PLACEMENT”)
http://infopub.sgx.com/FileOpen/Swing_Pr...eID=101893

5. Dec 4 2009
YA Global Master SPV, LLC invests S$10,000,000 in Swing Media through Equity Line Facility
http://infopub.sgx.com/FileOpen/Swing_Pr...eID=114154

6. Jan 25 2010
PROPOSED PLACEMENT OF UP TO 100,000,000 NEW ORDINARY SHARES IN THE CAPITAL OF SWING MEDIA TECHNOLOGY GROUP LIMITED (THE “PLACEMENT”)
http://infopub.sgx.com/FileOpen/Swing_Pr...leID=86585

7. Feb 5 2010 (linked to No 4 above)
PROPOSED EQUITY LINE FACILITY AGREEMENT AND ISSUE OF NEW ORDINARY SHARES IN THE CAPITAL OF SWING MEDIA TECHNOLOGY GROUP LIMITED – ALLOTMENT AND ISSUE OF 9,384,385 ADVANCE SHARES
http://infopub.sgx.com/FileOpen/Swing_Al...leID=79278

8. Mar 31 2010
PROPOSED RENOUNCEABLE NON-UNDERWRITTEN RIGHTS ISSUE OF 483,307,883 NEW ORDINARY SHARES (“RIGHTS SHARES”) AT AN ISSUE PRICE OF S$0.045 FOR EACH RIGHTS SHARE ON THE BASIS OF ONE (1) RIGHTS SHARE FOR EVERY TWO (2) EXISTING ORDINARY SHARES IN THE CAPITAL OF THE COMPANY HELD AS AT THE BOOKS CLOSURE DATE
http://infopub.sgx.com/FileOpen/Swing_Pr...leID=88316

9. Jan 10 2011
PROPOSED PLACEMENT OF 290,000,000 NEW ORDINARY SHARES IN THE CAPITAL OF SWING MEDIA TECHNOLOGY GROUP LIMITED (THE “PLACEMENT”)
http://infopub.sgx.com/FileOpen/Swing_Pl...leID=86402

10. Oct 13 2011
PROPOSED PLACEMENT OF UP TO 60,000,000 NEW ORDINARY SHARES IN THE CAPITAL OF SWING MEDIA TECHNOLOGY GROUP LIMITED (THE “PLACEMENT”)
http://infopub.sgx.com/FileOpen/Swing_Pl...leID=56304


11. Feb 27 2013
PROPOSED PLACEMENT OF 73,880,000 NEW ORDINARY SHARES IN THE CAPITAL OF SWING MEDIA TECHNOLOGY GROUP LIMITED (THE “PLACEMENT”)
http://infopub.sgx.com/FileOpen/Swing_Pl...eID=233800

12. Feb 14 2014
PROPOSED RENOUNCEABLE UNDERWRITTEN RIGHTS ISSUE
http://infopub.sgx.com/FileOpen/Swing_An...eID=274701


Notice the broking house involved and research report on company......

[hh488]

then maybe can someone attend the EGM & question the directors (incl IDs) on this?

The dateline is so quick; SGX also grant them approval so fast; their current & prev actions have resulted in great dilution of earning & therefore not in the benefits of all shareholders. Thanks.

[Stephentoh]

Any buddies holding onto this counter? seems attractive with its Cash per share is abt 3+ cents ,EPS 3.12 cents & NAV S$0.31 . Correct me if i'm wrong[/i]

May 2014

Swing Media Technology Group Limited reported unaudited earnings results for the full year ended March 31, 2014. For the year, the company reported sales of HKD 1,093.465 million compared to HKD 996.242 million for the same period a year ago. Profit from operations was HKD 84.652 million compared to HKD 77.5 million for the same period a year ago. Profit before tax was HKD 73.307 million compared to HKD 66.950 million for the same period a year ago. Profit was HKD 83.133 million compared to HKD 57.950 million for the same period a year ago. Net cash generated from operating activities was HKD 81.072 million compared to HKD 127.068 million for the same period a year ago. Purchase of property, plant and equipment was of HKD 99.736 million compared to HKD 181.472 million for the same period a year ago. The growth in Group sales was due mainly to DVD-R and Trading operations. DVD-R sales rose 4.5% to HKD 660.1 million while Trading sales jumped 40.4% to HKD 246.7 million, reflected more demand in the industry of the plastic resin and chemical dye for production of optical disc.

[Behappyalways]

PROPOSED ISSUE OF UNSECURED 6.0% CONVERTIBLE BONDS WITH AN AGGREGATE
PRINCIPAL AMOUNT OF S$6,000,000 (THE “BONDS”) DUE ON THE DATE FALLING 2 YEARS
FROM DATE OF ISSUE (THE “PROPOSED BONDS ISSUE”)
http://infopub.sgx.com/FileOpen/Swing_An...eID=345810

For the benefits of investors.....

1. Apr 28 2009
PROPOSED ISSUE OF UNSECURED 18.0% CONVERTIBLE BONDS WITH AN AGGREGATE PRINCIPAL AMOUNT OF S$3,100,000 (THE “BONDS”) DUE ON THE DATE FALLING 3 YEARS FROM DATE OF ISSUE
http://infopub.sgx.com/FileOpen/Swing_An...eID=122814

2. June 9 2009
PROPOSED PLACEMENT OF 30,000,000 NEW ORDINARY SHARES IN THE CAPITALOF SWING MEDIA TECHNOLOGY GROUP LIMITED (THE “PLACEMENT”)
http://infopub.sgx.com/FileOpen/Shs_Plac...eID=110050

3. Jul 7 2009 (there was an earlier warrants issue)
UTILISATION OF WARRANTS ISSUE PROCEEDS
http://infopub.sgx.com/FileOpen/Swing_Ut...eID=111384

4. Oct 1 2009
PROPOSED PLACEMENT OF UP TO 75,000,000 NEW ORDINARY SHARES IN THE CAPITAL OF SWING MEDIA TECHNOLOGY GROUP LIMITED (THE “PLACEMENT”)
http://infopub.sgx.com/FileOpen/Swing_Pr...eID=101893

5. Dec 4 2009
YA Global Master SPV, LLC invests S$10,000,000 in Swing Media through Equity Line Facility
http://infopub.sgx.com/FileOpen/Swing_Pr...eID=114154

6. Jan 25 2010
PROPOSED PLACEMENT OF UP TO 100,000,000 NEW ORDINARY SHARES IN THE CAPITAL OF SWING MEDIA TECHNOLOGY GROUP LIMITED (THE “PLACEMENT”)
http://infopub.sgx.com/FileOpen/Swing_Pr...leID=86585

7. Feb 5 2010 (linked to No 4 above)
PROPOSED EQUITY LINE FACILITY AGREEMENT AND ISSUE OF NEW ORDINARY SHARES IN THE CAPITAL OF SWING MEDIA TECHNOLOGY GROUP LIMITED – ALLOTMENT AND ISSUE OF 9,384,385 ADVANCE SHARES
http://infopub.sgx.com/FileOpen/Swing_Al...leID=79278

8. Mar 31 2010
PROPOSED RENOUNCEABLE NON-UNDERWRITTEN RIGHTS ISSUE OF 483,307,883 NEW ORDINARY SHARES (“RIGHTS SHARES”) AT AN ISSUE PRICE OF S$0.045 FOR EACH RIGHTS SHARE ON THE BASIS OF ONE (1) RIGHTS SHARE FOR EVERY TWO (2) EXISTING ORDINARY SHARES IN THE CAPITAL OF THE COMPANY HELD AS AT THE BOOKS CLOSURE DATE
http://infopub.sgx.com/FileOpen/Swing_Pr...leID=88316

9. Jan 10 2011
PROPOSED PLACEMENT OF 290,000,000 NEW ORDINARY SHARES IN THE CAPITAL OF SWING MEDIA TECHNOLOGY GROUP LIMITED (THE “PLACEMENT”)
http://infopub.sgx.com/FileOpen/Swing_Pl...leID=86402

10. Oct 13 2011
PROPOSED PLACEMENT OF UP TO 60,000,000 NEW ORDINARY SHARES IN THE CAPITAL OF SWING MEDIA TECHNOLOGY GROUP LIMITED (THE “PLACEMENT”)
http://infopub.sgx.com/FileOpen/Swing_Pl...leID=56304


11. Feb 27 2013
PROPOSED PLACEMENT OF 73,880,000 NEW ORDINARY SHARES IN THE CAPITAL OF SWING MEDIA TECHNOLOGY GROUP LIMITED (THE “PLACEMENT”)
http://infopub.sgx.com/FileOpen/Swing_Pl...eID=233800

12. Feb 14 2014
PROPOSED RENOUNCEABLE UNDERWRITTEN RIGHTS ISSUE
http://infopub.sgx.com/FileOpen/Swing_An...eID=274701


Notice the broking house involved and research report on company......