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How about MDR ? Andy comment.
Agree gd 4 shorting..just look at United Fibre....indonesian forest concession..played up to 52cts and languishing below 30cts for years....looks like Jade also..CEO Anthony Soh..forced it down to 8.5ctrs and now want to buy back at 22.5cts...bewary of his stable of targetd cos like E-nets,netulsion,etc..looks like all con job
juz let it get listed lah...more chance for me to SHORT !! hee... :P
Samko Timber launched its IPO of 183m new shares at $0.55 each to raise $100.65m. The offer shares for a mainboard listing comprise 3m public-offer shares and 180m placement units.
The company expects net proceeds of $104.6m, including a previously agreed subscription of 27.9m new ordinary shares in Samko by Sampoerna Forestry at a 15% discount to the offer price. About $60m of the net proceeds will be used to partly finance the expansion of Samko's production facilities and logistics and distribution network. Approximately $26m will be used to repay borrowings and the remainder for general use. Credit Suisse has been granted an over-allotment option to purchase up to an additional 17m shares, representing not more than 9.3% of the total offering.
According to an earlier Reuters report, Samko had wanted to raise as much as $162m by selling 200m shares at an indicative price range of $0.63 to $0.81 apiece, before delaying its IPO. It reportedly delayed its offering due to stock-market volatility. The public offer closes at noon on Thu and trading is expected to start on 25/2.
55 cents, closing 21 Feb noon.
Indonesian timber got good bad news... in time of distress like now... people only focus on the bad.... so following points reflect current mood.
1. Timber in hot dry weather easily go up in fire, and Indonesians likes to burn their forests.... probability of Samko Timber plantations up in smoke?
2. Environmentalists claim Indonesia timber exports came mostly from illegal logging.... another potential flashpoint in future.
3. With the market so much down, there are many more stocks already listed long long ago ... with values emerging .... better to focus on those tested tried counters than on a newbie like samko timber.
Okay, end with a positive for samko lah.... plantation assets could do well because Indians, Chinese, and many other emerging countries need the timber to build furnitures, houses, floorings, etc. .... plus when timber demand drop, samko can plant more to sell for carbon credits.
Cheers.
Samko Timber has set an indicative price range of $0.63 to $0.81 a share for its IPO, which may raise $162m for its vendors. The company's vendors are likely to sell 200m shares and could sell another 30m if the shares are oversubscribed. The number of shares offered to investors is below the level proposed earlier. The firm was looking to sell 240m shares and an additional 36m if the offer was oversubscribed.
Samko plans to use the proceeds to pay down debt and expand production facilities, according to the IPO prospectus. Pricing is likely in late Jan.
The Indonesian timber producer reportedly plans to launch a US$125m IPO late this month. It will sell 240m vendor shares, and if the IPO generates a strong response, it may sell another 36m shares under the greenshoe option. Credit Suisse is handling the IPO.
One point for good post and another for bad? Why is it a bad post?
Timber, piano parts, and top 5 producer globally -- very tempting despite the current market sentiment.
Samko Timber has lodged its prospectuses on Christmas eve.
Samko is a leading timber processing company in Indonesia and one of the top 5 tropical hardwood plywood producers globally. It produces veneer lumber, medium density fibreboard and piano parts as well as a wide range of secondary processed timber products such as processed plywood, truck body components and solid wood moldings. It has 7 timber processing plants in Sumatra, Java, Kalimantan and Sulawesi. The product range includes Forest Stewardship Council-certified logs. Markets include Japan, the Middle East, South Korea, Europe, the US and Australia. Exports comprised about 40% and 32% of revenue in '06 and for the 8 months ended Aug 31 '07, respectively.
Prior to 2002, when Samko acquired a 75% interest in plywood and medium density fibreboard producer Sumalindo, it had no concessions of its own. The acquisition brought with it natural forest concessions and industrial forest plantations. Samko currently has about 450,000 hectares of natural forest concessions and about 125,000 hectares of industrial forest plantations. Supply of logs is obtained from natural forest concessions and industrial forest plantations as well as natural forest logs purchased from 3rd party log suppliers and plantation logs purchased mainly from community forests in Java and Sumatra.
While between '04 and '06 several conversions of debt to equity saw Samko's shareholding interest in Sumalindo diluted to 30.1%, it has recently boosted its interest in Sumalindo to 52.03% ahead of the planned listing.
Samko made a profit US$6 million on revenue of US$177.6 million in '06.