China Gaoxian   

ChinaGaoxian

If Nicolas Darvas sees this stock, he may take it immediately too...

bullsfight      ( Date: 31-Dec-2010 11:29) Posted: I totally agree with those forumers who supported Masterlim... He himself is already the 'gem' of all the sifus... I took his advice and loaded 3 times, 0.335, 0.355 and 0.390 No regret, and will adhere to his postings for all updates. Cheers

 

This counter is trading within a sharp upward trend.  If  price repeats its previous two spike ups of  about 10 cents, this spike up is from 36 cents to 46 cents.

 

I totally agree with those forumers who supported Masterlim... He himself is already the 'gem' of all the sifus... I took his advice and loaded 3 times, 0.335, 0.355 and 0.390

No regret, and will adhere to his postings for all updates. Cheers 

 

thanks.

we may be see it zoom pass 0.41 today. maybe. cheers.

load up before you are left out  x 100 times.

 

I agree with Ah Lim too. Not many expert like to share his share of stock picking gem. If he want us to die, he should had done long time ago. But he share of goodwill view and someone complain and ban his acc. I like his post and those design he make, it make this forum fun and not so boring.

 

Whatever the arguments may be,

   I tend to view it from the goodwill of MasterLim.

       I believe he is sincere in his views and assessment.

         Thus anyone may take it as a good bet...

 

retail investors will want to take positions now before next week comes. just a thought.

the report is nicely written up and if you can see, the px will be definitely at a premium but we are not sure to what extent. but around 15% to 20% more to the current price or close to 50 cents or even more in my own calculations.

load up before you are left out  x 100 times.

 

what makes you say so masterlim?

masterlim8888      ( Date: 31-Dec-2010 10:34) Posted: there may be last minutes huge buy ups later. maybe. if not, we shall see some next week. load up before you are left out  x 100 times.

 

Business Times 31 Dec 10

China Gaoxian pitches for KDR pricing premium

Proceeds will be used to fund group's upstream expansion to produce PET chips

By LYNETTE KHOO

CHINA Gaoxian, which is conducting roadshows in South Korea next month, said that it hopes to price the Korean Depository Receipts (KDRs) at a premium to the shares traded in Singapore.

Proceeds from the KDR listing by way of initial public offer will go towards funding the group's upstream expansion.

This, together with the ongoing expansion of its production capacity for premium differentiated polyester yarns and warp knit fabric (WKF), puts the group in good stead for a stronger 2011.

'We haven't fixed the price of our KDRs but we are targeting a higher price for the underlying shares than the Singapore share price,' group chief finance officer Raymond Wong told BT in Mandarin.

'We expect earnings and revenue in 2011 to be stronger as the macroeconomic conditions in China are more favourable for us next year and we are also adding more capacity,' he added.

China Gaoxian reported a 5.2 per cent rise in net profit to 305.6 million yuan for the nine months to Sept 30 on the back of stronger sales and average selling prices.

Listed on the Singapore mainboard only in September last year, the textile fibre firm is issuing up to 30 million KDRs, equivalent to 600 million new ordinary shares.

Proceeds from the KDR listing will be used to build upstream capacity to produce a key raw material - polyethylene terephthalate (PET) chips. This will allow the group to integrate its production process, save costs and boost margins, said China Gaoxian chairman and CEO Cao Xiangbin.

For this purpose, the group has acquired a 247,200 sq m land site next to its existing factory in Huzhou City, Zhejiang province, for 200 million yuan (S$39 million), funded by internal resources.

China Gaoxian has chosen to raise funds through a KDR listing instead of issuing new shares in Singapore because of the low valuation here, Mr Wong said.

Trading at 6.77 historical price-to-earnings ratio, the group would have to issue even more shares in Singapore, which would have been highly dilutive and 'unfair to shareholders', he added.

But the group is not about to give up its Singapore listing status because Singapore has a strong reputation for corporate governance and the listing status offers the group greater ease when it comes to obtaining bank loans here, Mr Wong said.

Slated to complete its KDR listing by end-January, China Gaoxian will be the first Chinese differentiated yarn maker to list on South Korea's mainboard and the largest textile fibre firm to be listed on the Korean exchange in terms of profitability.

There are currently 25 textile peers listed on the Korean exchange, with an average PE ratio of 12.32 times, compared to an average PE ratio of 8.46 times for textile companies listed in Singapore.

Unlike Taiwan Depository Receipts that are non-fungible, KDRs can be converted into ordinary shares in Singapore anytime and vice-versa. There is also no limit set by the Korean stock exchange on the pricing premium or discount. But Singapore-listed firms issuing KDRs will still have to stay within the 10 per cent discount threshold set by the Singapore Exchange.

Mr Wong told BT that the language difference has not deterred China Gaoxian in its KDR undertakings. The fact that South Korea also uses IFRS (International Financial Accounting Standards) is also a plus point.

Shares of China Gaoxian jumped 9.9 per cent yesterday to an all-time closing high of $0.39 on active trading of 36.26 million shares.

(,")

 

there may be last minutes huge buy ups later. maybe. if not, we shall see some next week.

load up before you are left out  x 100 times.

 

thanks for compliment. really thanks. . hold for the gem for some time. you will see the difference. thats my advise. the full maximum potential has yet to be seen. the gem has attracted the fund managers this time its different. and the best thing  it actually compliments the portfolio for holding the gem. i understand why the cfo refused to do any coverage the previous time. did you see before any analysts covering this gem? it rises based on its own merits and its own rock solid fundamentals. if i have guessed correctly, it will reach close to 50 cents and depending on krx prices, it will rise aggressively on the first day of trading to close up the gap. as for today, i have done my job well if it close 0.40 cents and above. thanks everyone for reading my posts.

as for the concern for the day it started trading in krx, it really depends what price it launched. it may not slipped like other dual listed counters. as mentioned, i would actually see it rises up to close the gap in krx. i trust the management in pricing the gem close to 16 pe. thats a lot upside we are talking about. at time of writing, it touches 0.41 ! . dont be too bothered about the px it closed later on, really. it is getting the necessary attention now and you should add or sit back and relax for mid term. on the whole, if there are no major macro economics issues and no wars between the koreans,which i dont see any going forward. us is visiting china next month on korea security issues and in feb sk will be having a discussion with us and china. the nk and sk will not do anything major these while.  

load up before you are left out  x 100 times.

 

ok..masterlim..gotten in at 0.40. lets see how ur master gem will shine

 

always respect the big whales and their movement.

 

Those fund manager might heavily load up for new year last min. If sell today, will need to load back at higher px next year?

 

LOL!!   hahaha!

I like this masterlim and master gem.

iPunter      ( Date: 31-Dec-2010 09:14) Posted: And once in a while, a master gem like MasterLim appears...

 

Today load more and after new year GX chart rocket to to moon, those fund manager really power, keep buying up

 

Hmmm, is this a disclaimer to those who buy on contra? =)

masterlim8888      ( Date: 31-Dec-2010 09:05) Posted: if you are able to hold for mid term, buy! load up before you are left out  x 100 times.

 

Some idiot big sell at 0.395 and now px hit 0.405 ha ha ha. I load a lot up and dont sell till i shoik.

 

And once in a while, a master gem like MasterLim appears... 

 

WOW !  Sky is the Limit Now. Somemore CS recommended Buying in Korean Stocks next Year !

rabbitfoot      ( Date: 31-Dec-2010 08:15) Posted: Like that, CGX share price in Singapore is still very Low leh ! From Business Times today : "We haven't fixed the price of our KDRs but we are targeting a higher price for the underlying shares than the Singapore share price,' group chief finance officer Raymond Wong told BT in Mandarin. 'We expect earnings and revenue in 2011 to be stronger as the macroeconomic conditions in China are more favourable for us next year and we are also adding more capacity,' he added.