Wheelock Properties

[tealeaves]

see whether minority shareholders can wait or not???

Wheelock HK can lapse the offer and wait for another year...another .....another......

Market currently indicating $2.23, who on earth will accept Wheelock's $2.10? All waiting for wheelock to make an improved offer. One option is to maybe consider selling half in the open market. Or else just wait for better offer (which may or may no come)?  LOL

[soros]

About waiting for another year....another...another etc.

I ask this question how long to hold at 2 diferent meetings.

The swing trader said 3 weeks maximum .

The long term investor said 3 years maximum .

So how long to hold ?

[Scg8866t]

Wheelock and co(parent) is currently undergoing a restructuring phase, they demerged wharf reic from wharf holding recently and privatised wheelock prop hk in 2010. Their aim is to reduce their massive conglomerate disc and to make the parent, which was once just a holding coy, into a full fledge Hk/Sg core developer even if we were to exclude wharf and reic.

In this context, we can know that wheelock and co is serious about delisting wheelock prop sg. Firstly they want to bypass opmi to focus on the massive redevelopment potential of western orchard thru 68holding which has a break up clause. Secondly, although wheelock prop sg is a rounding error to them, they want to reduce overlapping as much as possible, ie those that wants exposure to wheelock’s HK and SG dev is forced to buy the parent after this. Do note the parent is at a substantial disc to book. At current price it cannot even account for their wharf’s stake. Means Wheelock hk, Wheelock sg, HPL stake are all free. Hence reducing the overlap and making parent exclusive to certain specific business of theirs is crucial to shrink their massive conglomerate disc.

Lastly, with all that in mind, I feel the parent will revise the offer to a more acceptable lvl maybe close to book like what they did with wheelock prop hk. Just hold tight and watch the show. Even at liquidation value of 2.68 it is not fair, as that means they did not account for wheelock prop sg’s strong and consistent future fcf and their brand value(which historically has a net 96% sell thru rate).

[hh488]

Is Wheelock HK code 0020 in HK?

Notice this parent was still trading during the 3 days suspension of Wheelock Prop sg.

Wheelock HK price also at a huge discount over its NTA? Currently trading around HK$54 (about S$3+) & in a price downtrend. If in the event of it successfully deliist the sg company, & still want exposure to Wheelock, then can consider 0020 a good buy?

[BlueKelah]

Is Wheelock HK code 0020 in HK?

Notice this parent was still trading during the 3 days suspension of Wheelock Prop sg.

Wheelock HK price also at a huge discount over its NTA?  Currently trading around HK$54 (about S$3+) & in a price downtrend.  If in the event of it successfully deliist the sg company, & still want exposure to Wheelock, then can consider 0020 a good buy?

China/HK property is in big speculative bubble, becareful when it comes falling down, it will be super spectacular one, not that it hasn't happened before. IMHO now is not the time to be investing in china/HK, especially when globally credit is tightening and got the Trump going crazy with trade war. This August september period will be an interesting time to watch as numbers start coming out of China since the real trade war started beginning of this month.

Wheelock SG side may privatise eventually, but if this offer not success and bear market comes, u can be assured they will wait for price to drop back to something like $1.50 and maybe even cut the dividend citing uncertain times.

[Scg8866t]

Is Wheelock HK code 0020 in HK?

Notice this parent was still trading during the 3 days suspension of Wheelock Prop sg.

Wheelock HK price also at a huge discount over its NTA?  Currently trading around HK$54 (about S$3+) & in a price downtrend.  If in the event of it successfully deliist the sg company, & still want exposure to Wheelock, then can consider 0020 a good buy?

China/HK property is in big speculative bubble, becareful when it comes falling down, it will be super spectacular one, not that it hasn't happened before. IMHO now is not the time to be investing in china/HK, especially when globally credit is tightening and got the Trump going crazy with trade war. This August september period will be an interesting time to watch as numbers start coming out of China since the real trade war started beginning of this month.

Wheelock SG side may privatise eventually, but if this offer not success and bear market comes, u can be assured they will wait for price to drop back to something like $1.50 and maybe even cut the dividend citing uncertain times.

It really depends on who the management is. I have always been a fan of PaoYK and PeterWoo because of their conservative mgtment and good long term foresight. With HK prop hitting all time high, they have actively sold their Bay office building and residential dev at record prices at a historical 96% sell thru rate. Do note, their massive 999years portfolio of IP(Harbour City etc etc) is giving them a consistent single digit pe yearly just from its recurring income. Also unlike other fomo developers here like Citydev, Oxley, Allgreen and UOL that jumped into the irrational enbloccing recently, wheelock ignored the noise and chose not to buy any sg land bank.

Wheelock co if u look at their monthly chart is near all time high too, yet it moves slower than their roe. Current price cannot even factor in their wharf holding stake. Means current price is valuing HPL stake, Wheelock sg, Wheelock hk, Modern terminal at zero value and wharf stake at half the value. The mos is there. Own view.

[Scg8866t]

Is Wheelock HK code 0020 in HK?

Notice this parent was still trading during the 3 days suspension of Wheelock Prop sg.

Wheelock HK price also at a huge discount over its NTA?  Currently trading around HK$54 (about S$3+) & in a price downtrend.  If in the event of it successfully deliist the sg company, & still want exposure to Wheelock, then can consider 0020 a good buy?

Yes. In 2010 when wheelock prop hk was privatised, wheelock and co was not suspended too.

My guess is because these subsidaries are a rounding error to the parent. Very small contribution to their top line.

My view is, management is trying to restructure like CK Holdings. So eventually the overlapping of biznesses and conglomerate disc will be reduced hence price of 20 will reflect a more accurate picture. Got to be prepare to hold long term though. After this, my guess is wharf holding ex reic will be their next tgt to be taken private. Since it overlaps wheelock and co core biz and is currently at substantial net cash after the reic spinoff.

[Terry]

interesting. i've never spot a market trading price exceed the acquirer's offer.
wonder what opportunities or how it will play out.

[cyclone]

Appointment of Independent Financial Adviser

Wheelock Properties (Singapore) Limited announced that it has on 25 July 2018 appointed PrimePartners Corporate Finance Pte. Ltd. as the independent financial adviser (the "IFA") to advise the Directors of the Company who are considered independent for the purposes of the Offer (the “Independent Directors”). 

A circular containing, inter alia, the advice of the IFA and the recommendation of the Independent Directors will be sent to shareholder of the Company  within 14 days from the date of despatch of the offer document to be issued by or on behalf of the Offeror in connection with the Offer.

[Scg8866t]

Those who accept the offer of 2.10 will receive the full amount within 7 biz days of the date of receipt of their valid acceptances by the Offeror.

If the price were to be revised, those previously accepted will also be in the loop. My guess is they will return u the excess after.

Div is inclusive of the offer price. Means if this drags on pass the div closure date, they will subtract the div from the offer price.

Unless you have a sizable bloackable percentage. My view is accepting and waiting for a price revision is an ok idea.