Sin Heng Heavy Machinery

[Quickbeam]

Is there anything going on here?

[cyclone]

Profit Guidance

The Board of Directors of Sin Heng Heavy Machinery Limited announced that after preliminary assessment of the Group’s draft unaudited financial results for the first half year ended 30 June 2019 ("1HY2019"), the Board would like to advise the shareholders that the Group is expected to record a net loss for 1HY2019 mainly due to the lower rental revenue and drop in rental margin as a result of lower number of cranes rented out and decrease in rental rates.

Further details of the Group’s financial performance will be disclosed when the Company finalises and announces its unaudited financial results for 1HY2019 on or before 14 August 2019.

[dydx]

Toyota Tsusho Corporation (listed global trading arm of the huge Toyota Group) has sold its 27.1% interest (30,950,000 shares) in Sin Heng to local private investor Mr. Teo Yi-Dar for $12.5m, or at $0.4038 per share..
https://links.sgx.com/FileOpen/Sin%20Hen...eID=602976

The transaction was done at a substantial premium over the prevailing market price of Sin Heng, which closed at $0.31 (+$0.04) today. Against Sin Heng's latest 31Dec19 NAV/share at $0.9776, it appears still a very good buy for this Mr Teo, who now becomes the 2nd largest shareholder after the founder Tan Family (28.58%).

With a market cap of only $46.7m and a debt-free (on a net basis) B/S, Sin Heng appears to be a potential target for acquisition.

[jh_sw]

Very interesting. Any insights on Mr. Teo Yi-Dar?