Viz Branz

[brattzz]

Good for VBZ owners and staffs!

Sound biz and management always win!

[specuvestor]

Glad there is closure,

Looking back, i was quite hesitate to get VBZ cos of the Dad Vs Son dispute...i thought that this speak badly of the management indeed.
Eventually LS took part, and provide more clarity in a commerical sense-direction,  The biz must GO on...

Thanks Musicwhiz & dydx for highlighting VBZ as early as 2010!!! cheerios!

Looks like the closure is being re-opened again

Has the Asset, Business or the Structure changed to warrant more than 2X the price?

Nice timing to list in 2017 so 2013 numbers not in prospectus.

http://www.thestar.com.my/business/busin...e-listing/

[brattzz]

huat har!!

stag this IPO?

[YMPL]

I am yet to see the prospectus. The "old" Viz was net cash. The "new" Viz is heavily indebted, based on the article.

Viz Branz relisting to pare down debt and fund Myanmar, China expansion

http://www.theedgemarkets.com.sg/article...-expansion

[specuvestor]

That was the conundrum I mentioned before: 2 identical assets $10 return $1 each, one funded by Equity hence ROE is 10% while the other is 1/2 funded by debt hence ROE 20%. Market usually seems to price them similarly. Worse still the later usually has higher "Enterprise Value".

Be careful of the Structure in A-B-S. The major shareholders strip off cash that Mr Market thinks is worthless.

[holymage]

Hi VBs,

FYI that Viz Branz has lodged a preliminary prospectus with MAS.
https://eservices.mas.gov.sg/opera/Publi...632868695b

Yet to perform my due diligence, but a 30mins quick glance on purely quantitative side shows that Viz Branz is indeed a different beast.
Was net cash ~60m (Q4 2013), is net debt ~190m (Q4 2016). There is a suddenly spike in debt in 2016.
Profit in 2016 was dragged down by interest and foreign currency losses.

Seems like there is better inventory management, but...
Current trade receivables increased significantly from ~$16m to $28m (2014 to 2016), by a whooping 1.75x.
Non-current trade receivables increased from $0m to $15m (2014 to 2016).

Wonder what happened to Viz Branz during the past 3 years.

Main purpose of IPO is to clear ~$100m of debt, due to the privatization, and ~$18m to expand in Myanmar JV.

Ben Chng seems to be the sole shareholder of the company. 


Any previously vested VBs, with deep understanding of the company, care to shed any insights regarding the new "Viz Branz"?
Are there any fundamental changes?

[specuvestor]

Go read history page 114-116. Basically Chng paid $121m for 42% stake in sept 2013 and receive $250m in Oct 2015 and still owns ~75% of the listco

It's not a different beast. Same beast with makeup and chain & rock to its neck.

Heard IPO is delayed

[level13]

Main purpose of IPO is to clear ~$100m of debt, due to the privatization, and ~$18m to expand in Myanmar JV.

I seldom buy into IPO. Let alone taking the shareholders' money to pay debt.

The Myanmar story is just to juice up the IPO. Just like what most companies who wanted to list here did in the
past 10 years. The majority have a sexy China story to spin.

We all know what happened after that...........................