The Star today has a good write up of the Petronas Chemicals Group Bhd which would likely see a strong debut tomorrow despite the market undergoing with some correction phrase. The market itself will tell tomorrow........ as many are waiting excitedly and the weekend ahead........some might want to clear .... some jump into the market for a chase....myself is excited too.....
From the Star.....
By JEEVA ARULAMPALAM
jeeva@thestar.com.my
Perception based on MHB’s strong showing and CIMB’s stabilising role
PETALING JAYA: Petronas Chemicals Group Bhd would likely see a strong debut tomorrow and its share price may range between RM5.50 and RM5.70 on its first day of trade, according to analysts.
Kenanga Investment Bank Bhd research head Yeonzon Yeow said a 10% premium on its first-day trade on the Main Market of Bursa Malaysia would be commendable, above its offer price of RM5.20 per share. Under Petronas Chemicals' initial public offering (IPO), retail investors paid RM5.04 per share while institutional investors paid RM5.20 per share.
Petronas Chemicals is the second Petroliam Nasional Bhd (Petronas) owned unit to be listed this year, following last month's listing of the group's heavy engineering unit Malaysia Marine and Heavy Engineering Holdings Bhd (MHB).
MHB, which ended 19% above its offer price of RM3.80 on the first day of trading, has somewhat sustained its higher trading price in the past month. Its share price ended higher by 2 sen at RM4.50 yesterday.
Therefore, Petronas Chemicals' share premium upon its debut would likely be sustained over the short term as seen with MHB, said analysts.
Moreover, the company's share price is expected to remain stable over the short term given that CIMB Investment Bank Bhd, the principal adviser and managing underwriter, has agreed to buy up to 372 million shares in the company from the open market to stabilise the stock post listing.
CIMB has been designated as the so-called stabilising manager for the IPO and would carry out its mandate to keep the stock stable for a maximum of 30 days post listing.
We expect Petronas Chemicals' price to remain stable (over the long term) driven by an anticipated positive market performance over the next 12 months, TA Securities research head Kaladher Govindan told StarBiz.
Analysts said the stock would generate keen interests among local and foreign investors, driven by its potential earnings and dividend payout ratio.
Maybank Investment Bank Research said that Petronas Chemicals could be the biggest FTSE Bursa Malaysia KL Composite Index (FBMKLCI) stock within the next five years.
In the next upcoming cyclical peak, the company is likely to surpass its previous net income record of RM3.9bil achieved in financial year ended March 31, 2008 (FY2008). With its leaner fixed cost structure, Petronas Chemicals can easily render the highest absolute net profit of any KLCI member, it said in a report last Friday.
In a media statement yesterday, Bursa Malaysia Bhd chief executive officer Datuk Yusli Mohamed Yusoff said Petronas Chemicals' listing was a positive contribution to the local capital market as it would bring about a potential re-rating of the oil and gas sector and, in turn, boost its valuations further.
He added that Petronas Chemicals offered a wider investment opportunity to local and international investors and the listing boded well with the bourse's efforts of boosting market liquidity.
After its public listing, Petronas Chemicals would be included as a constituent of the FBMKLCI. It would be added to the index effective Monday with a total share issue of 8 billion and an investability weighting of 30%.
Petronas Chemicals' market value would be RM41.6bil based on the institutional price, making it one of the largest petrochemical producers in South-East Asia.
According to research houses, the target price for Petronas Chemicals ranges from RM5.51 to RM6.70.
Maybank said Petronas Chemicals was worth RM6.64 per share based on price-earnings ratio (PER) and RM6.70 per share based on discounted cash flow valuations.
This implies FY2012 PER of 13.1 times which is undemanding relative to its strong growth prospects (+26% 3-year earnings compound annual growth rate), it said.
OSK Research Sdn Bhd's target price for the company was RM5.51 based on a PER of 16 times for FY2012 while JF Apex Investment Research's target price was RM5.70.
This PER is slightly above its close peer average of 15 as the company deserves such valuations since it gets strong suppport from Petronas group, especially in terms of low feedstock prices, which make up close to 40% of its total cost, OSK Research said in a report last week.
The research houses also highlighted Petronas Chemicals' strong cashflow and attractive dividend payout ratio of 50%, which was considered the highest compared with peers like Saudi Basic Industries Corp, Thailand's PTT Chemical Public Co Ltd and India's Reliance Industries Ltd.
Maybank said Petronas Chemicals' capacity to pay dividends was substantial with projected free cashflow yields of 10.7%-19% in FY2011-13.
Thursday, November 25, 2010
Monday, November 22, 2010
Senior Citizen - Billie Jean
If u r from those race of the group for sure when u dance Billie Jean to honor the late Michael Jackson, I am sure u will be ok to shake all your ages out. They are : The Awesome Threesome: 70+ year old Leisure World residents honor Michael Jackson by preforming a dance in Seal Beach, California.
Saturday, November 20, 2010
Unsuccessful root canal
It has been exactly 2 weeks from now and my right lower molar is still having a sense of irritation if I chew food with it. What damn hell was that I was made a guinea pig to one of the Iranian Doctor who is doing his Practising for his Master Degree in one of the Uni here in Malaysia being attached to the Poly Dental Clinic. The reason why I went to see him initially was that 2 months back I had an attack of acute pain both lower and upper molar and until it was not distinguishable where the pain came from that lasted for about 10 days. (could be only viral attack ) When I called the Dental Doctor who attended to my boy's braces, the receptionist did not allow me to consult him and I was very furious, thus ended up seeing the said doctor in the Poly Clinic. He did an x-ray for me and told me to get an appointed time to do the root canal and prescribed me some painkillers and the antibiotics before the next appointment done 2 weeks back.
Getting seated on the dental chair was always some kind of nervous feeling for me. And when seeing all those needles, root canal files ...... etc.... I had to say a quick prayer to God to keep me calm and strong...... But instead I should had told the Doctor that I needed to call off the appointment and now I need not have to endure to such unbearable pain and irritant which been done to the molar. Being too honest, I told the doctor that my crowned molar was done in 1983, and that doctor even retaliated : 1983 until now! It was platinum crowned and with a very fair tooth which cost me at that time of RM400 done in Sibu. ( How the RM has appreciated ?.. and now I only realised it) I even asked him whether he got the confidence to drill into my crowned molar for the root canal. And I heard the nurse also asked the same question.....
Looked like I could not fight destiny being his Guinea Pig (very sure he is Muslim )and was I the first to be one..... might be .. n I did not dig into his past records.......At the very beginning of the drilling, I felt a tiny little bit of pain, but it quickly went away. The drilling sound was noisy as if he was drilling a cement wall.... Already looked like when he injected the needle of local anesthesia to numb the area near the tooth, I felt a surge of pain on my tongue.... did he carelessly injected on the tongue?..... My left side of the mouth was so numbed and could not talk but only with my hand gestures of defiance.......Yet indeed after so many attempts using the canal files and changing the different sizes and lengths.... with so many drillings performed on my molar..... one could imagine how tired I had to open my mouth wide for such operation done. In addition to one hand needed to hold the nozzle to suck the saliva from the mouth......witnessing such extremes unkind and irresponsible working attitude of the nurses there talking on the handphones ,the sms and talking among other staffs where they would go that evening already annoyed me which made me throwing away the nozzle when the plastic head disengaged from it. Good motive done to get her attention!
Then came the doctor, asking me for another x-ray .... with all those clumsy stuff in the mouth still need to go out to another room vis the public area for the x-ray. That lazy nurse used such a big film inserting into my little mouth for the x-ray....ooooouch.... I vomited... another time... vomited... so I requested for a smaller film and was told no such in stock..... See how a Government clinic is lacking all such stocks when we are contributors to the income tax annually....Where have all those medical funds allocated for the citizens ?..... Does our Health Minister or anybody in his Ministry come to Sarawak to check?.... Is our PM aware of the hospital here? Or is the 100-storey building more significance an image for Malaysia or the citizens benefits count? Answer it for yourself, readers!... Do not tell me it is free... it is not free... I did pay and being a guniea pig only......An Iranian endodontist is doing his practising for his Master Degree Program and I was just the Opportunist to be his best client........or a parcel to his practising tools.........Real bad omen for me....... and another uphold in image for the education in Malaysia Uni "Boleh"......in esp in dentistry......
Unbearable to sustain such big piece of film inserting into my mouth, I just told the nurse that I did not want to get another x-ray and asked the doctor to clean and fill up my molar with my blur... blur.... speech...
I knew the doctor face turned black like Justice Bao in the Mandarin 6 pm series. I did not care after all I lost half of my crowned tooth and some platinum intact to it, and would rather succumb to the pain of the damnn unnessary drilling.... learned of a great lesson to go to the Government Poly Clinic.......The said nurse even dare to tell me that she was sure I will not go to the clinic again but come for any medication incase I needed it. I told her I would not go there again after such experience....... After requesting for a mirror to look into my molar I felt so painful with a big patch of different color in the middle of the molar..... hence I just walked off hastily without anything said.
Getting seated on the dental chair was always some kind of nervous feeling for me. And when seeing all those needles, root canal files ...... etc.... I had to say a quick prayer to God to keep me calm and strong...... But instead I should had told the Doctor that I needed to call off the appointment and now I need not have to endure to such unbearable pain and irritant which been done to the molar. Being too honest, I told the doctor that my crowned molar was done in 1983, and that doctor even retaliated : 1983 until now! It was platinum crowned and with a very fair tooth which cost me at that time of RM400 done in Sibu. ( How the RM has appreciated ?.. and now I only realised it) I even asked him whether he got the confidence to drill into my crowned molar for the root canal. And I heard the nurse also asked the same question.....
Looked like I could not fight destiny being his Guinea Pig (very sure he is Muslim )and was I the first to be one..... might be .. n I did not dig into his past records.......At the very beginning of the drilling, I felt a tiny little bit of pain, but it quickly went away. The drilling sound was noisy as if he was drilling a cement wall.... Already looked like when he injected the needle of local anesthesia to numb the area near the tooth, I felt a surge of pain on my tongue.... did he carelessly injected on the tongue?..... My left side of the mouth was so numbed and could not talk but only with my hand gestures of defiance.......Yet indeed after so many attempts using the canal files and changing the different sizes and lengths.... with so many drillings performed on my molar..... one could imagine how tired I had to open my mouth wide for such operation done. In addition to one hand needed to hold the nozzle to suck the saliva from the mouth......witnessing such extremes unkind and irresponsible working attitude of the nurses there talking on the handphones ,the sms and talking among other staffs where they would go that evening already annoyed me which made me throwing away the nozzle when the plastic head disengaged from it. Good motive done to get her attention!
Then came the doctor, asking me for another x-ray .... with all those clumsy stuff in the mouth still need to go out to another room vis the public area for the x-ray. That lazy nurse used such a big film inserting into my little mouth for the x-ray....ooooouch.... I vomited... another time... vomited... so I requested for a smaller film and was told no such in stock..... See how a Government clinic is lacking all such stocks when we are contributors to the income tax annually....Where have all those medical funds allocated for the citizens ?..... Does our Health Minister or anybody in his Ministry come to Sarawak to check?.... Is our PM aware of the hospital here? Or is the 100-storey building more significance an image for Malaysia or the citizens benefits count? Answer it for yourself, readers!... Do not tell me it is free... it is not free... I did pay and being a guniea pig only......An Iranian endodontist is doing his practising for his Master Degree Program and I was just the Opportunist to be his best client........or a parcel to his practising tools.........Real bad omen for me....... and another uphold in image for the education in Malaysia Uni "Boleh"......in esp in dentistry......
Unbearable to sustain such big piece of film inserting into my mouth, I just told the nurse that I did not want to get another x-ray and asked the doctor to clean and fill up my molar with my blur... blur.... speech...
I knew the doctor face turned black like Justice Bao in the Mandarin 6 pm series. I did not care after all I lost half of my crowned tooth and some platinum intact to it, and would rather succumb to the pain of the damnn unnessary drilling.... learned of a great lesson to go to the Government Poly Clinic.......The said nurse even dare to tell me that she was sure I will not go to the clinic again but come for any medication incase I needed it. I told her I would not go there again after such experience....... After requesting for a mirror to look into my molar I felt so painful with a big patch of different color in the middle of the molar..... hence I just walked off hastily without anything said.
Friday, November 12, 2010
China Ouhua Winery Holdings Bhd
Being a day trader when feeling like it to do, I am very impressed by the Chinese-based initial public offerings (IPO) Ouhua Winery and thus my itchy fingures pressed upon it, and the 1st day did not performed great but the following days were just as worst. Not likely to hold on to the said IPO and thinking of the slim chance it could go I just disposed it all off the day before yesterday....... hmmnnnn.....cry ...cry...and the minute I disposed it off it shot up to the present price and I have to admit for a very poor exist point booking for a very minimal gain. Re-entering it at another price did not match... otherwise should be laughing to the bank cos I took up position sizing on it...... damn ....damn.....
Today look like not a good day since it is Friday for most day traders to unlock its profit....... and the market itself will definately tells....
From The Edge Financial Daily :::China Ouhua Winery Holdings Bhd saw a surge in buying interest yesterday which pushed its share price to an intra-day high of 78.5 sen, 12 sen or nearly 18% over the previous day’s closing of 66.5 sen.
China Ouhua, which made its debut on Bursa Malaysia’s Main Market just last week, closed at 74.5 sen, up eight sen or 12% yesterday. Trading volume in the stock soared to 33.7 million shares, making it the sixth most actively traded stock on the local bourse. So far, its share price has gained 14.5 sen or 24% over its offer price of 60 sen.
China Ouhua is the first and only China-based winery listed on Bursa Malaysia.
Judging by the share price movement, it seems investors are more convinced by the growth potential of the winery business in China than the Chinese-based sports shoe manufacturers.
Nonetheless, analysts said China Ouhua’s impressive share price performance does not necessarily indicate that investors are now more receptive to Chinese-based initial public offerings (IPO) or Chinese-based stocks in general.
Some analysts also attributed the share price gains to interest from day traders.
They concurred that valuations of Chinese companies listed on Bursa Malaysia were very attractive at low single-digit historical price-earnings ratio, but also said that alone was not enough to attract local interest since investors could now invest directly in bigger Chinese stocks that are listed in Hong Kong.
Still, some analysts see a potentially interesting story in China Ouhua, as it is the only stock here that allows investors to invest directly into a winery and tap on China’s growing consumerism.
This is the second foreign IPO advised by OSK Investment Bank since last year. The first was Xidelang Holdings Ltd.
Today look like not a good day since it is Friday for most day traders to unlock its profit....... and the market itself will definately tells....
From The Edge Financial Daily :::China Ouhua Winery Holdings Bhd saw a surge in buying interest yesterday which pushed its share price to an intra-day high of 78.5 sen, 12 sen or nearly 18% over the previous day’s closing of 66.5 sen.
China Ouhua, which made its debut on Bursa Malaysia’s Main Market just last week, closed at 74.5 sen, up eight sen or 12% yesterday. Trading volume in the stock soared to 33.7 million shares, making it the sixth most actively traded stock on the local bourse. So far, its share price has gained 14.5 sen or 24% over its offer price of 60 sen.
China Ouhua is the first and only China-based winery listed on Bursa Malaysia.
Judging by the share price movement, it seems investors are more convinced by the growth potential of the winery business in China than the Chinese-based sports shoe manufacturers.
Nonetheless, analysts said China Ouhua’s impressive share price performance does not necessarily indicate that investors are now more receptive to Chinese-based initial public offerings (IPO) or Chinese-based stocks in general.
Some analysts also attributed the share price gains to interest from day traders.
They concurred that valuations of Chinese companies listed on Bursa Malaysia were very attractive at low single-digit historical price-earnings ratio, but also said that alone was not enough to attract local interest since investors could now invest directly in bigger Chinese stocks that are listed in Hong Kong.
Still, some analysts see a potentially interesting story in China Ouhua, as it is the only stock here that allows investors to invest directly into a winery and tap on China’s growing consumerism.
This is the second foreign IPO advised by OSK Investment Bank since last year. The first was Xidelang Holdings Ltd.
Friday, November 5, 2010
Seasonings That fight Aging
Super Spices
Season your way to better health if u like adding spices into your food or if u r a health conscious guy. We r all vain, painstakingly and haunted by all the medical marvel unveiling to us that a world where devastating aging isn't inevitable. And yet claiming that you can spin back the clock -- Reclaim your looks, reclaim your energy, reclaim your youth but to me I still prefer the natural things out of all nature God provided for us.
From my daily read articles, I learned that a touch of spice might be just what you need to minimize the damage of aging — and even offset the impact of diabetes. Season your way to better health if u like adding spices into your food or if u r a health conscious guy.
New research from the University of Georgia finds that antioxidant-rich herbs and spices can block the formation of harmful compounds that are associated with aging and may inhibit tissue damage caused by high levels of blood sugar. A little spice goes quite a long way, as the antioxidants are extremely concentrated. Here r some herbs and spices keep u looking young.
1. Ground Cloves
Try it in cake or biscuit dough for an added layer of spicy sweetness. I liked to just put it in my mouth n nibble it cos it can cure bateria in the mouth and also good for the teeth, hence no bad breadth. It keeps me awake while driving. I was having acute tooth pain a month ago and from my internet sources, I tried nibbling some in the mouth and subsequently the pain was gone.
2. Ground Jamaican Allspice
'Allspice’ has been given for its aromatic flavor that seems to be a combination of cinnamon, nutmeg and cloves is known to have aromatic and sweet smell and hence it forms an important condiment in kitchens across the world. I like to put in ginger cakes, apple pies or even to marinade with chicken or any meat.
Allspice is known for its carminative, anti-inflammatory, warming, soothing and anti-flatulent properties and a good source of niacin, helping the body in detoxifying harmful compounds. It is also rich in vitamin c which is a powerful natural antioxidant that aids in providing resistance against infectious agents and iron that is required for red cell production in the bone marrow. Having a good source of potassium that helps the body to control heart rate and blood pressure by regulating the balance of sodium in the body blood system. With it high contain of manganese acting as a co-factor for the powerful antioxidant enzyme superoxide dismutase, by the body. It is also known to increase digestion power, by increasing gastro-intestinal secretions. It can only taken in small amount and not so frequently. Nonetheless, individuals with history of cancer or those who are a risk of cancer should not delve on this herb as Eugenol, a substance found in it, can promote cancer.
3. Ground Cinnamon
I like to spread it on whole wheat toast drizzled with honey and the stick used for curry chicken or with the 5 spices chicken or meat.
Benefit of taking cinnamon ( refer to my post dated : 18/8/10; cinnamon with honey )
4. Ground Oregano
I like to put on top of homemade garlic bread or pizza which is my favorite flour made.
Oregano is an aromatic herb that belongs to the ming family.
Its strong antiviral and antibacterial properties can help destroy organisms that contribute to skin infections, and it also has antiparisitic properties which is helpful in digestive problems. It can strengthen the immune system and helps increase the joint and muscles flexibility. It is learned that it improves respiratory health.
Oil of Oregano when applied topically can help treat skin infections, itchy skin and irritated gums, (but make sure it has been diluted because oregano oil is concentrated and can cause burning sensation to tongue or skin).
Oregano oil helps in the treatment of sinus or lung congestion. Just mix 2 or 3 drops of oil with juice, and drink this daily, you can notice the improvement within 3-5days.
Oregano has antioxidant properties more than apple or bluberries which play a vital role in the prevention of many forms of cancer, as well as perhaps slowing down the aging process.
Fresh oregano like other leafy vegetables is loaded with vitamins and nutrients. It is a good source of iron and manganese as well as calcium, vitamin C, and vitamin A. It also has omega-3 fatty acids.
The dried leaves can also be applied in bags as a warm application to painful arthritic
swellings and other conditions, including rheumatism.
Oregano is rich in fiber too.
Season your way to better health if u like adding spices into your food or if u r a health conscious guy. We r all vain, painstakingly and haunted by all the medical marvel unveiling to us that a world where devastating aging isn't inevitable. And yet claiming that you can spin back the clock -- Reclaim your looks, reclaim your energy, reclaim your youth but to me I still prefer the natural things out of all nature God provided for us.
From my daily read articles, I learned that a touch of spice might be just what you need to minimize the damage of aging — and even offset the impact of diabetes. Season your way to better health if u like adding spices into your food or if u r a health conscious guy.
New research from the University of Georgia finds that antioxidant-rich herbs and spices can block the formation of harmful compounds that are associated with aging and may inhibit tissue damage caused by high levels of blood sugar. A little spice goes quite a long way, as the antioxidants are extremely concentrated. Here r some herbs and spices keep u looking young.
1. Ground Cloves
Try it in cake or biscuit dough for an added layer of spicy sweetness. I liked to just put it in my mouth n nibble it cos it can cure bateria in the mouth and also good for the teeth, hence no bad breadth. It keeps me awake while driving. I was having acute tooth pain a month ago and from my internet sources, I tried nibbling some in the mouth and subsequently the pain was gone.
2. Ground Jamaican Allspice
'Allspice’ has been given for its aromatic flavor that seems to be a combination of cinnamon, nutmeg and cloves is known to have aromatic and sweet smell and hence it forms an important condiment in kitchens across the world. I like to put in ginger cakes, apple pies or even to marinade with chicken or any meat.
Allspice is known for its carminative, anti-inflammatory, warming, soothing and anti-flatulent properties and a good source of niacin, helping the body in detoxifying harmful compounds. It is also rich in vitamin c which is a powerful natural antioxidant that aids in providing resistance against infectious agents and iron that is required for red cell production in the bone marrow. Having a good source of potassium that helps the body to control heart rate and blood pressure by regulating the balance of sodium in the body blood system. With it high contain of manganese acting as a co-factor for the powerful antioxidant enzyme superoxide dismutase, by the body. It is also known to increase digestion power, by increasing gastro-intestinal secretions. It can only taken in small amount and not so frequently. Nonetheless, individuals with history of cancer or those who are a risk of cancer should not delve on this herb as Eugenol, a substance found in it, can promote cancer.
3. Ground Cinnamon
I like to spread it on whole wheat toast drizzled with honey and the stick used for curry chicken or with the 5 spices chicken or meat.
Benefit of taking cinnamon ( refer to my post dated : 18/8/10; cinnamon with honey )
4. Ground Oregano
I like to put on top of homemade garlic bread or pizza which is my favorite flour made.
Oregano is an aromatic herb that belongs to the ming family.
Its strong antiviral and antibacterial properties can help destroy organisms that contribute to skin infections, and it also has antiparisitic properties which is helpful in digestive problems. It can strengthen the immune system and helps increase the joint and muscles flexibility. It is learned that it improves respiratory health.
Oil of Oregano when applied topically can help treat skin infections, itchy skin and irritated gums, (but make sure it has been diluted because oregano oil is concentrated and can cause burning sensation to tongue or skin).
Oregano oil helps in the treatment of sinus or lung congestion. Just mix 2 or 3 drops of oil with juice, and drink this daily, you can notice the improvement within 3-5days.
Oregano has antioxidant properties more than apple or bluberries which play a vital role in the prevention of many forms of cancer, as well as perhaps slowing down the aging process.
Fresh oregano like other leafy vegetables is loaded with vitamins and nutrients. It is a good source of iron and manganese as well as calcium, vitamin C, and vitamin A. It also has omega-3 fatty acids.
The dried leaves can also be applied in bags as a warm application to painful arthritic
swellings and other conditions, including rheumatism.
Oregano is rich in fiber too.
Tuesday, November 2, 2010
Analysts: PCG offer makes it the largest regional IPO
Excited about this IPO which is on offering to the public now for RM5.05 and will be listed on main board on Nov. 26 would be a component of the Kuala Lumpur Composite Index (KLCI) gearing on price/earnings (P/E) multiple of 15.8 times. Earnings per share was estimated at 32 sen for the financial year ending March 31, 2012 (FY12).
Would it be like the MMHB for only a day show? Only the market knows. But at offering price of RM5.05 which represents a historical PE of 18.4 times at an earnings per share of 27.5 sen for FY10 as stated in the prospectus. Thus it shall stand at oversubscribed, and considered as only a trading buy.
By JEEVA ARULAMPALAM (extract from Star)
PETALING JAYA: The retail price of RM5.05 for Petronas Chemicals Group Bhd (PCG) shares under the company’s initial public offering (IPO) is regarded by analysts as fairly priced.
PCG, which released its prospectus on Bursa Malaysia yesterday and plans to list on the Main Market on Nov 26, said it was offering a total of 2.48 billion shares under its IPO, of which 1.78 billion would be existing shares and 700 million would be new.
The listing of PCG this month would make it the largest IPO in South-East Asia to-date, with an estimated US$4.04bil raised at an offer price of RM5.05 per share.
A local research head said PCG was a “must have stock,” given that it is a subsidiary of Petroliam Nasional Bhd (Petronas) and since PCG would be a component of the Kuala Lumpur Composite Index (KLCI).
He told StarBiz yesterday that PCG would be oversubscribed for those very reasons, as seen with last week’s listing of Petronas’ other subsidiary, Malaysia Marine and Heavy Engineering Holdings Bhd (MHB). MHB’s shares were oversubscribed 27.7 times for its institutional offering.
Kenanga Investment Bank Bhd research head Yeonzon Yeow recently said Kenanga’s fair value for PCG was RM5.05 per share, based on price/earnings (P/E) multiple of 15.8 times. Earnings per share was estimated at 32 sen for the financial year ending March 31, 2012 (FY12).
He had said that trading liquidity of the stock might be low after the initially weeks following the listing, as it would be a core holding stock for investors.
Meanwhile, another research head said PCG’s retail price of RM5.05 was on the high side based on the company’s valuation.
“When the price determination is finally done, the retail price may come down to RM4.70 or RM4.80,” he said.
The company’s retail price of RM5.05 represents a historical PE of 18.4 times at an earnings per share of 27.5 sen for FY10 as stated in the prospectus.
The prospectus said the final retail price would be the lower option of either RM5.05 per share or 97% of the institutional price. The institutional price will be determined through a bookbuilding exercise, which is ongoing and will end on Nov 12. The final price determination for the retail portion will be done subsequently.
From the 1.78 billion existing shares offered under the IPO, 1.48 billion shares are for Malaysian and foreign institutional investors as well as bumiputra investors, while the retail offer of 293.02 million shares covers the Malaysian public, eligible directors of PCG and Petronas, eligible employees and customers. The 700 million new shares offered are for Malaysian and foreign institutional investors.
The retail offer for the Malaysian public was 160 million shares, with half portioned for bumiputra retail investors and the remaining 80 million shares meant for non-bumiputra retail investors.
“We see it as a trend these days where companies are reducing their retail offering to the public because it is easier for companies to sell in blocks under IPOs,” said a research head.
PCG said in its prospectus that the expected IPO gross proceeds would be RM3.54bil. About 63.3% of the proceeds would be used for expansion of business and synergistic growth and acquisitions. Another 34% would be used as working capital requirements and general corporate purposes while the balance would be used to settle listing expenses.
PCG also said it was studying the possibility of developing a world-scale, greenfield ammonia and urea production facility that would be supplied with natural gas feedstock available off the east coast of the peninsula.
The principal adviser, managing underwriter and joint underwriter is CIMB Investment Bank Bhd. The joint global coordinators and joint bookrunners for the institutional offering are CIMB, Deutsche Bank AG, Hong Kong Branch, and Morgan Stanley & Co International plc.
The joint underwriters for the retail offering are Affin Investment Bank Bhd, HwangDBS Investment Bank, Alliance Investment Bank Bhd, KAF Investment Ban Bhd, OSK Investment Bank Bhd, AmInvestment Bank Bhd, Maybank Investment Bank Bhd, Public Investment Bank Bhd, ECM Libra Investment Bank Bhd, MIDF Amanah Investment Bank Bhd, RHB Investment Bank Bhd, Hong Leong Investment Bank Bhd and MIMB Investment Bank Bhd.
Would it be like the MMHB for only a day show? Only the market knows. But at offering price of RM5.05 which represents a historical PE of 18.4 times at an earnings per share of 27.5 sen for FY10 as stated in the prospectus. Thus it shall stand at oversubscribed, and considered as only a trading buy.
By JEEVA ARULAMPALAM (extract from Star)
PETALING JAYA: The retail price of RM5.05 for Petronas Chemicals Group Bhd (PCG) shares under the company’s initial public offering (IPO) is regarded by analysts as fairly priced.
PCG, which released its prospectus on Bursa Malaysia yesterday and plans to list on the Main Market on Nov 26, said it was offering a total of 2.48 billion shares under its IPO, of which 1.78 billion would be existing shares and 700 million would be new.
The listing of PCG this month would make it the largest IPO in South-East Asia to-date, with an estimated US$4.04bil raised at an offer price of RM5.05 per share.
A local research head said PCG was a “must have stock,” given that it is a subsidiary of Petroliam Nasional Bhd (Petronas) and since PCG would be a component of the Kuala Lumpur Composite Index (KLCI).
He told StarBiz yesterday that PCG would be oversubscribed for those very reasons, as seen with last week’s listing of Petronas’ other subsidiary, Malaysia Marine and Heavy Engineering Holdings Bhd (MHB). MHB’s shares were oversubscribed 27.7 times for its institutional offering.
Kenanga Investment Bank Bhd research head Yeonzon Yeow recently said Kenanga’s fair value for PCG was RM5.05 per share, based on price/earnings (P/E) multiple of 15.8 times. Earnings per share was estimated at 32 sen for the financial year ending March 31, 2012 (FY12).
He had said that trading liquidity of the stock might be low after the initially weeks following the listing, as it would be a core holding stock for investors.
Meanwhile, another research head said PCG’s retail price of RM5.05 was on the high side based on the company’s valuation.
“When the price determination is finally done, the retail price may come down to RM4.70 or RM4.80,” he said.
The company’s retail price of RM5.05 represents a historical PE of 18.4 times at an earnings per share of 27.5 sen for FY10 as stated in the prospectus.
The prospectus said the final retail price would be the lower option of either RM5.05 per share or 97% of the institutional price. The institutional price will be determined through a bookbuilding exercise, which is ongoing and will end on Nov 12. The final price determination for the retail portion will be done subsequently.
From the 1.78 billion existing shares offered under the IPO, 1.48 billion shares are for Malaysian and foreign institutional investors as well as bumiputra investors, while the retail offer of 293.02 million shares covers the Malaysian public, eligible directors of PCG and Petronas, eligible employees and customers. The 700 million new shares offered are for Malaysian and foreign institutional investors.
The retail offer for the Malaysian public was 160 million shares, with half portioned for bumiputra retail investors and the remaining 80 million shares meant for non-bumiputra retail investors.
“We see it as a trend these days where companies are reducing their retail offering to the public because it is easier for companies to sell in blocks under IPOs,” said a research head.
PCG said in its prospectus that the expected IPO gross proceeds would be RM3.54bil. About 63.3% of the proceeds would be used for expansion of business and synergistic growth and acquisitions. Another 34% would be used as working capital requirements and general corporate purposes while the balance would be used to settle listing expenses.
PCG also said it was studying the possibility of developing a world-scale, greenfield ammonia and urea production facility that would be supplied with natural gas feedstock available off the east coast of the peninsula.
The principal adviser, managing underwriter and joint underwriter is CIMB Investment Bank Bhd. The joint global coordinators and joint bookrunners for the institutional offering are CIMB, Deutsche Bank AG, Hong Kong Branch, and Morgan Stanley & Co International plc.
The joint underwriters for the retail offering are Affin Investment Bank Bhd, HwangDBS Investment Bank, Alliance Investment Bank Bhd, KAF Investment Ban Bhd, OSK Investment Bank Bhd, AmInvestment Bank Bhd, Maybank Investment Bank Bhd, Public Investment Bank Bhd, ECM Libra Investment Bank Bhd, MIDF Amanah Investment Bank Bhd, RHB Investment Bank Bhd, Hong Leong Investment Bank Bhd and MIMB Investment Bank Bhd.
Curried Sweet Potato and Apple Soup
Curried Sweet Potato and Apple Soup is an yummy soup suitable for diabetes and its prevention cos it has low glycemic index. It is also good for one who wants to maintain weight control with a low calorie intake.
Ingredients
1 tablespoon olive oil
1 large onion, sliced
2 cloves garlic, sliced
1 tablespoon finely chopped fresh ginger
1 teaspoon curry powder
3/4 teaspoon ground cumin
1/2 teaspoon salt
1/4 teaspoon ground cinnamon
4 cups water
1 1/4 pounds sweet potatoes, peeled and cut into chunks
3 large granny smith apples, peeled, cored, and cut into chunks
1/2 cup chopped fresh cilantro
Directions
1. Heat the oil in a large saucepan or induction cooker over medium heat. Add the onion and garlic and cook, stirring occasionally, for 5 minutes, or until tender.
2. Add the ginger, curry powder, cumin, salt, and cinnamon. Cook, stirring constantly, for 1 minute. Add the water, sweet potatoes, and apples and bring to a boil over high heat. Reduce the heat to low, cover, and simmer, stirring often, for 20 minutes, or until the sweet potatoes are very tender.
3. In a food processor or blender, puree the soup in batches until very smooth, pouring each batch into a bowl. Reheat if necessary. Stir in the cilantro. Nutritional Facts per serving CALORIES 107.5 CAL
FAT 2 G
SATURATED FAT 0.3 G
CHOLESTEROL 0 MG
SODIUM 169.2 MG
CARBOHYDRATES 22.3 G
TOTAL SUGARS 10.6 G
DIETARY FIBER 3.1 G
PROTEIN 1.5 G
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