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30-01-2012, 12:28 PM
(This post was last modified: 30-01-2012, 01:04 PM by Underdogger.)
Hi Cif5000
Any operating profit generated by SAH will go to SWP wef 30 June 2010.
Moreover, the overheads at the head office (e.g. CEO salary and other admin costs) will be deducted from the Net Sales Proceed. Hence, SAH is a "sunken cause"
Investors should be careful to note that the 21 cents stated in SAH's announcement will never be realized as we need to deduct the dividend payout of 1 cent (already paid out in 2010) as well as the overheads at the head office.
In fact, investors should pay greater attention to New Toyo who has been paying out regular dividend year after year without fail.
Its key subsidary Tien Wah is doing very well. 75% of operating profits from Tien Wah is attributable to New Toyo.
With its founder (Mr Yen) already given up all appointments in New Toyo, will New Toyo be the next take over target?
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Just take the recent example of SMB where both Boer Power Holdings (HK) and Osaki Electric Co Ltd (Japan) offered their bids. But Boer pulled out after its initial offer of 32 cents.
For New Toyo case, who are the likely buyers (if any) ?
If there are limited suitors, can we expect a good offer when there is no competition like the case of SMB?
How does SMB's profit EPS compare with New Toyo, which led to Osaki's offer of 40 cents?
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Are there issues between the father and son?
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dont think there are issues b/w father than son.
on 15 Aug 2011, Gary (Son) stepped down as CEO of New Toyo but remains on its board as non-exe chairman.
His father departure from New Toyo altogether (stepped down as non-exe chairman) really makes one speculate what he is going to do next with his 52% stake in New Toyo ...
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What do you think is the chance of NTI offloading some biz to SAH? and at the same time push out Hongji, maybe? $$$
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01-02-2012, 02:54 PM
(This post was last modified: 01-02-2012, 02:59 PM by Underdogger.)
The prize asset of SAH is its aluminum foil rolling business which is run by its CEO who is allied to Hongji.
Pushing out Hongji without its CEO will not allow New Toyo to gain control of the aluminum rolling business effectively..
The progress of the asset sales of SAH has been protracted with New Toyo's shareholders eagerly awaiting the hefty payout (full payout = 13 cents)...
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For sure. What I meant was after the sale. When SAH becomes a shell, wouldn't it be attractive for NTI to offload itself partially while taking back Hongji stake since Liu is no longer needed? Afterall, he doesn't want to stay and it suits him just perfectly. SAH cash will have to be discounted then. hmm...??
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SAH was criticised by shareholders for selling off the profitable aluminium foil rolling business, and recent results show that this business is thriving.
I do not think SAH will take on new businesses. Doing so will incur the wrath of shareholders who are expecting full payout of the sale proceeds.
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06-02-2012, 05:27 PM
(This post was last modified: 06-02-2012, 08:42 PM by Underdogger.)
SAH can only at best pay out a total special dividend of approx 19 cents per share.
Any operating profit generated by SAH will go to SWP wef 30 June 2010.
Moreover, the overheads at the head office (e.g. CEO salary and other admin costs) will be deducted from the Net Sales Proceed. Hence, SAH is a "sunken cause"
Investors should be careful to note that the 21 cents stated in SAH's announcement will never be realized as we need to deduct the dividend payout of 1 cent (already paid out in 2010) as well as the overheads at the head office.
SAH has been very tardy in providing an update of the deal. The deadline was technically on 28 Jan 2012 (6mths from the EGM on 28 July 2011). Is SAH in breach of any SGX's ruling to provide an update promptly to its shareholders?
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13-02-2012, 04:43 PM
(This post was last modified: 13-02-2012, 04:49 PM by Underdogger.)
Tien Wah finally broke $2 dollars!!
75% of Tien Wah's profits will go into New Toyo's book.
Why are investors not paying as much attention to New Toyo as Tien Wah?
With its stable revenue streams from long-term contracts with BAT and many more new contracts down the road with the shifting of operations to Vietnam, New Toyo's prospect will further improve by leaps and bounds...
Tien Wah's net profit has more than doubled from a year ago!!!
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