Colex

[apenquotes]

Unexpected passive cash flow from Colex (Blog post)
Among my holdings, I was pleasantly surprised by the recent announcement of Colex to issue a Special dividend of 10 cents on 4 August 2020. This company is bucking the trend.
https://apenquotes.wordpress.com/2020/08...rom-colex/

Colex unsuccessful tender for City-Punggol sector (awarded to SembWaste).

[pianist]

Unexpected passive cash flow from Colex (Blog post)
Among my holdings, I was pleasantly surprised by the recent announcement of Colex to issue a Special dividend of 10 cents on 4 August 2020. This company is bucking the trend.
https://apenquotes.wordpress.com/2020/08...rom-colex/

Colex unsuccessful tender for City-Punggol sector (awarded to SembWaste).

Seems pushed out by the bigger player flexing muscle

[weijian]

The Directors are pleased to declare a tax exempt one-tier special dividend of 10.00 Singapore cents per share. The company is declaring a special dividend as it was unsuccessful in the last two PWC tenders and is unable to invest its surplus cash during this uncertain period

seems like its a goner for this small waste player

Colex has declared 10cents (or 13.2mil cash layout) - this comprises of ~50% of its total 27.8mil cash, or ~30% of its 33.4cts NAV. Before this declaration, Colex was selling at ~60% of NAV. This is what value investors will deem as "unlocking of value"!

But of course, as OPMI, we can't decide when we can unlock value. It is all dependent on its majority owner Bonvest (or Henry Ng) to decide whether it wants to transfer the value to its parent. Here probably lies another lesson on how the structure plays a part in the contribution, although it is probably not a decisive factor.

I remember sometime ago, people were saying that "Colex" was the next "VICOM" (at least it was purchased by certain "super investors" who bought early into VICOM and then subsequently pin point out Colex as the next "multi bagger")

Unfortunately, the multi bagger status of the company couldn't last as it was squeezed by changing behavior of its biggest customer + competition. But fortunately, shareholders ain't too much worst off because Chairman Henry Ng was still generous enough to pay up all the cash in the last 2 years. The structure is really important.

Bonvests proposes privatisation offer of Colex via scheme of arrangement

CATALIST waste management company, Colex has announced a proposed privatisation offer by Bonvests Holdings for the shares not held by Bonvests and its subsidiary Coop International by a scheme of arrangement.

The offeror holds 79.7 per cent of Colex, and Colex executive chairman, Henry Ngo, is also the executive chairman of Bonvests.

Bonvests is offering S$0.23 in cash per share

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The Target Company’s cash and cash equivalents of S$5.5 million as of 30 June 2022 represents the minimum amount of cash retained in order to preserve its working capital. It is therefore very unlikely that the amounts of dividends to be distributed (if any) in the near future will be close to that in FY2020 and FY2021. Accounting for the S$24.5 million distributed over the past 36 months, the Scheme Consideration implies a total return of 80.2% and annualised returns of 21.7% per annum for a Scheme Shareholder who had acquired Target Company Shares 36 months prior to the Last Trading Date

annoucement: https://links.sgx.com/FileOpen/Joint%20A...eID=734591

[BRT]

some notes from 800 super's case. imo most relevant peer w.r.t. timeline and business operations.
-takeover of 90c in 2019 april (NAV per share 48c)
-buyout by management, KKR, macquarie, delisting value of 161M SGD
-2022 august, sold to keppel infra for 380M SGD

https://www.straitstimes.com/business/co...er-private
https://links.sgx.com/FileOpen/Completio...eID=734761
https://www.reuters.com/markets/deals/fo...022-08-16/