GuangzhaoIFB   

Guangzhao IFB

i think a good catch at 335 is possible....

 

Hi EastonBay...


Less than 20% upside means => 0 to 19.9%.

GIFB is now 0.395, which mean over 50% upside to TP of 0.6 !!

Hello anybody home?!

I think U shld change ur nick to 'EastonBoy'...

Hiaz...."p

 

"IMO, any counters that is less than 20% off TP is overvalued right now.

 In my understanding... TP is 12 mth target...meaning year end.

Now is October, 3 mths more.....shld be ard 20% less."

------- Solar: I don't think so.. above r what I copied from your post from SGX thread.... 

Firstly, u still think it is 12 mth target is December...always ? LOL!

Secondly, GzIFB current px at .395, tp is 0.60 and 20% off the TP is 0.48...

current px of 0.395 is less than 0.48... so by ur logic  that "any counters that is less than 20% off TP is overvalued right now"... and therefore overvalued now! U don't even remember ur own argument! Plain and simple.

 

And btw... its EastonBay not EastonBoy..  hiaz..."p

 

Hi EastonBoy, u misread my logic again..

Go read the sgx post properly!   hiaz...."p

 

solar, noted that in the report "raising our TP to $0.60(previous: $0.33). ".. no date for the TP?  By your logic in SGX thread... it should hit 60c in December 2007...and therefore it is overvalue now... any comments?

 

Could this be a Wilmar in the making?? One with R&D Strength??

I personally believe so and am vested for long term.


Among the few biofuel/agri counters, only GIFB provides 50+% upside to TP and more to come.


Current sentiments is good time for Long Term investors to get in.

 

I believe the current sentiments are shaking out the weak contra players who had expected it to surge early this week, leaving only long term holders.

----------------------------------------------------------------------------------------------------
Anyways, here a proper report on the report:

Guangzhao IFB
Propagating the `Green Revolution?


Sprouting new branches with rich pickings
Commonly viewed as a fledgling poplar forestry company in the PRC, GIFB has been
quietly building up its biotechnological knowhow and its R&D efforts is starting to yield
significant results. The key success factor hinges on its ability to rapidly propagate its
plant tissue culture beyond the laboratory into mass production. Having achieved this
critical breakthrough, the company is now ready to commercialise its ornamental plant
seedlings, tropical fruit plantlets/seedlings and jatropha plantlets on a mass scale.


Tropical fruit/orchid seedlings ? strong overseas demand
Under a 5-year supply contract worth RMB16m, GIFB is cultivating 13.5m orchid
seedlings at its Shanghai facility (annual capacity: 12m) for export to Japan, Taiwan and
Europe. Through its new Malaysian JV, Jalur Lipur, the group will be delivering an initial
10m tissue-cultured tropical fruit plantlets to Malaysia?s Department of Agriculture over the
next 5 years. The first batch of 600k banana plantlets has been shipped in late Sep. Jalur
has a tissue-culture facility in KL and plans to set up a 50-ha nursery to produce 40m
plantlets annually. This, coupled with its ongoing research in disease resistant oil palm,
would pave the way for the group?s entry into the lucrative SEAsian agriculture market.


Jatropha ? powering the biofuel of the future
High crude oil prices and environmental concerns have spurred several biodiesel projects
in the Asia-Pacific region. Amid soaring prices of traditional feedstocks such as palm oil,
some producers are turning to jatropha curcas, an inedible hardy shrub that does not
compete with food crops for scarce arable land. Utilising tissue culture techniques, GIFB
has selected and developed 2 superior jatropha cultivas, which has attracted interest from
at least 2 Singapore-based firms. In collaboration with NTU?s IESE, it has signed an MoU
with APVC Holdings (which is constructing a 300k mta biodiesel plant in Ningpo, PRC) to
supply jatropha plantlets over the next 3-5 years with a total contract value of $100-120m.


Poplar/Orient fir ? nearing harvest time
To-date, the group has harvested 3.2k m3 of pine trees and has contracted a buyer to log
another 41k m3 of its Jiangxi forest in 2H07. Continued demand and shortage of timber
and pulp in PRC has pushed up wood prices ahead of large scale logging of its poplars
this winter. GIFB is awaiting licencing approval to harvest 30-40k mu of poplar plantations
(15-20% of planted area). Meanwhile, the group is exploring opportunities to reforest
marginal land tracts in Xinjiang and the Mid-East with its salt-tolerant poplars. It has also
received orders from the Chinese government for 400k sapling of Orient fir which could
act as an excellent wind barrier in typhoon and flood-prone coastal cities.


First growth target price: $0.60 with room for possible re-rating
With the impending sale of its poplar/pine timber and quicker revenue streams from
seedlings, plantlets and saplings soon to kick in, GIFB is expected to turn cash flow
positive by end 07. Consequently, we are switching our valuation model from P/B to DCF
(WACC: 12%) and raising our TP to $0.60(previous: $0.33). This does not include a few
possibilities of G2 poplar/jatropha plantations, which could lead to future re-rating of GIFB.



 

 

I think STI had caused most of the market share to drop. GuangzhaoIFB also affected. Anyway, due to volatility in market, please invest with cautious. :-)

 

Down to $0.400 ........Game Over??

Any reason???

 

 

From Kim Eng 15 Oct.


Guangzhao IFB
Propagating the `Green Revolution?
  Sprouting new branches with rich pickings
Commonly viewed as a fledgling poplar forestry company in the PRC, GIFB has been
quietly building up its biotechnological knowhow and its R&D efforts is starting to yield
significant results. The key success factor hinges on its ability to rapidly propagate its
plant tissue culture beyond the laboratory into mass production. Having achieved this
critical breakthrough, the company is now ready to commercialise its ornamental plant
seedlings, tropical fruit plantlets/seedlings and jatropha plantlets on a mass scale.
  Tropical fruit/orchid seedlings ? strong overseas demand
Under a 5-year supply contract worth RMB16m, GIFB is cultivating 13.5m orchid
seedlings at its Shanghai facility (annual capacity: 12m) for export to Japan, Taiwan and
Europe. Through its new Malaysian JV, Jalur Lipur, the group will be delivering an initial
10m tissue-cultured tropical fruit plantlets to Malaysia?s Department of Agriculture over the
next 5 years. The first batch of 600k banana plantlets has been shipped in late Sep. Jalur
has a tissue-culture facility in KL and plans to set up a 50-ha nursery to produce 40m
plantlets annually. This, coupled with its ongoing research in disease resistant oil palm,
would pave the way for the group?s entry into the lucrative SEAsian agriculture market.
  Jatropha ? powering the biofuel of the future
High crude oil prices and environmental concerns have spurred several biodiesel projects
in the Asia-Pacific region. Amid soaring prices of traditional feedstocks such as palm oil,
some producers are turning to jatropha curcas, an inedible hardy shrub that does not
compete with food crops for scarce arable land. Utilising tissue culture techniques, GIFB
has selected and developed 2 superior jatropha cultivas, which has attracted interest from
at least 2 Singapore-based firms. In collaboration with NTU?s IESE, it has signed an MoU
with APVC Holdings (which is constructing a 300k mta biodiesel plant in Ningpo, PRC) to
supply jatropha plantlets over the next 3-5 years with a total contract value of $100-120m.
  Poplar/Orient fir ? nearing harvest time
To-date, the group has harvested 3.2k m3 of pine trees and has contracted a buyer to log
another 41k m3 of its Jiangxi forest in 2H07. Continued demand and shortage of timber
and pulp in PRC has pushed up wood prices ahead of large scale logging of its poplars
this winter. GIFB is awaiting licencing approval to harvest 30-40k mu of poplar plantations
(15-20% of planted area). Meanwhile, the group is exploring opportunities to reforest
marginal land tracts in Xinjiang and the Mid-East with its salt-tolerant poplars. It has also
received orders from the Chinese government for 400k sapling of Orient fir which could
act as an excellent wind barrier in typhoon and flood-prone coastal cities.
  First growth target price: $0.60 with room for possible re-rating
With the impending sale of its poplar/pine timber and quicker revenue streams from
seedlings, plantlets and saplings soon to kick in, GIFB is expected to turn cash flow
positive by end 07. Consequently, we are switching our valuation model from P/B to DCF
(WACC: 12%) and raising our TP to $0.60(previous: $0.33). Thiss does not include a few
possibilities of G2 poplar/jatropha plantations, which could lead to future re-rating of GIFB.

 

i got in at 0.420 and it went up to 0.455 (i think) but i was not monitoring.  finally let go at 0.440 when i saw weakness in support.  damn lucky to get out cos i went to close at 0.420 and then below 0.400.

 

Anyone has more informations on this stock? I'm also quite interested in this stock too. :-)

 

One of the good counters, with low PE compared to the SGX index.  Going forward will be a good bet. Any research reports care to share.  Cheers.

 

 

Got on it yesterday and there is good news today.

GUANGZHAO INDUSTRIAL FOREST BIOTECHNOLOGY GROUP LIMITED

(Company Registration No. 200305430G )

SUPPLY OF JATROPHA CURCAS PLANTLETS TO APVC HOLDINGS PTE LTD

The board of directors for Guangzhao Industrial Forest Biotechnology Group Limited

(?the Group?) wishes to announce that further to our announcement on 10 August 2007,

APVC Holdings Pte Ltd (?APVC?) has placed an initial order of 10,000 high oil-yield

variety of

The high crude oil prices and the pressure brought about by global climatic changes

have spurred several investors to construct several bio-diesel production plants (using

oil derived from

China. The Company will continue to use its bio-technology, research and development

capability and tissue-culturing facilities to secure recurring revenue stream to supplement

our main poplar sustainable timber business.

The above transaction is not expected to have a material impact on the net tangible

assets and earnings per share of Group for the financial year ending 31 December 2007.

Save as disclosed above, none of the Directors and, to the best of the knowledge of the

Directors, none of the controlling shareholders of the Company has any interest, direct

or indirect, in the above-mentioned transaction.

By order of the Board

Guangzhao Industrial Forest Biotechnology Group Limited

Song Xuemeng

Chief Executive Officer

3 October 2007Jatropha Curcas plantlets ? a feedstock for bio-diesel production.Jatropha seeds as a feedstock) in the Asia-Pacific region including

 

 

High volume trading these few days.Reach all time high of 46.5cents.

 

I like this counter too, it is indeed the most healthiest counter. There will be a EGM in Oct. 

 

This 1 is the most healthiest counter in STI, the more yet to come as u put it in your long term portfolio.

 

Anyone has any idea on the target price for this counter? It rose 2 cents today.

 

Guangzhao IFB has signed a MOU with APVC and Institute of Environmental Science and Engineering (IESE) to explore and evaluate the possibility of a business relationship relating to the cultivation of Jatropha Curcas plants, determine the areas and subject of such co-operation.

APVC is engaged in the business of the production and sale of biodiesel. APVC intends to enter the business of cultivating and managing Jatropha curcas plantation for producing Jatropha curcas oil.

Through the MOU, the Group plans to supply the tissue-cultured Jatropha curcas plantlets to APVC in the next 3 to 5 years beginning year 2008. The Group will also offer APVC consultancy services on agronomy and specialist knowledge to APVC, such as

• selection of high yield Jatropha curcas strain
• nurture of Jatropha curcas saplings to ensure higher survival rate, fruit yield rate
  and oil yield per fruit
• growth management and improvement of Jatropha curcas plantlets, and
• improvement of soil nutrition and pest management.

GKE also formed a jv with IESE.

 

Highlights of results report:

• Harvest of approximately 3,200 m³ of pine trees in 1H07 contributed to RMB1.9 million increase in sales of agricultural products
• Agricultural products includes sales from the pine harvest, orchid plantlets, mini-rose, ornamental plants and tropical fruits such as bananas and pineapples

• Group has embarked on the commercial production of high-margin products such as Jatropha curcas for biodiesel and tropical fruits to improve financial performance

• Commercial harvesting of Group's fast-growing poplars, its main biological assets, to begin in FY08