some of the credentials of Mr. Tsoi are .. Besides his role in our Group, Mr Tsoi wears several other hats including:
• Member, Jinjiang City Executive Committee of the Chinese People’s Political Consultative Conference
• Member, Quanzhou City T extile and Garment Chamber of Commerce
• Deputy Chairman, China Chamber of International Commerce, Jinjiang City
• Chairman, Returned Overseas Chinese Federation of Dongshi Township, Jinjiang City
• Deputy Chairman, Jinjiang City Labour Model Association
• Deputy Chairman, Chamber of Commerce and Industry, Jinjiang City Mr Tsoi is an avid philanthropist who has contributed significantly to charities. In 2006, he was awarded the Quanzhou City Public Donation Special Contribution Prize by the Quanzhou City People’s Government.
He holds a degree in Enterprise Management from the Fujian Province Radio Broadcasting Television University, China.
I would want to pour cold water to help u. corruption is a key topic in the shi ba da meeting. Holding good creditial does not mean anything but rich in china.. Can you shate with us what if it went wrong and what will u do.Care to share?
Sorry forget to add my name. John. Yes and i believe in some schip example like yzj and sound global quote also from Greenrookie as chairman buy share instead. I never study foreland but would like to give my view. If u mention 11c cash per share in the company,why chairman still sell at below net cash? Ginving yourseld a simple theory would be do u sell ur hse that have 11k hard cash in exchange for 5.8k when u have 11k cash in ur hse? I may be wrong. One more thing i like to point out is that shareholding based on pre - ipo holding, no cash is taken out to put in cfd except business. If shareholding increase post Ipo mean that mgmt use own money to lock in cfd.if shareholding decrease post ipo mean money going go the pocket. Again my view in exchage for urs. John
was 3.3cts at the time of posting, now 4.7 (at time of posting) returns of 40%. Am still holding as I blieve that the run has just started n may take some time before it wear off. For the less risk adverse it is advisable to take some profit.
So far I have done posting on 4 companies .. SMB, Kian Ann, Eastern Technology n Foreland. It seems that all 4 are hits. These are blessings from a higher order, some call it luck.
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[josephyeo 16-11-2012]:
I like Foreland for the following reasons :-
1. closing price on 16 nov 2012 is 3.3 cts. Its nta is 24 .95. It is trading at only 13.2% of its nta.
2. it has no debts and a cash holding of 11.4 cts per share against its share price of 3.3 cts. meaning .. it is trading at only 28.9% of it's cash holding. (Source : ShareInvestor)
3. Mr. Tsoi accepted script dividend valued at 8.6 cts per share at a time when the share was trading at around 7 cts. This compares to friday closing of 3.3 cts.
4. On 7 sept 2012 Mr. Tsoi sold 53 million shares to 3 investors at a price of 5.8 cts per share. Compare this to friday (16 nov 2012) closing price of 3.3 cts.
5. The company is still profitable. It has a profit of S$8.7 mil up to 30th sept 2012 though it register a loss of $185,000. on its 3rd quarter result. On 3.3 cts the company is capitalised at only $17.9 mil. Assuming that the company make a loss of another $200,000. on the 4th quarter it would still show a profit of S$8 mil. for the full year. This gives it a p/e of around 2. (pls note that the last quarter loss is only a wild guess. I am not able to know how much it will make or loose. I am using the 3rd quarter as a guide).
6. After the sale of shares Mr. Tsoi still 239 mil shares or 44.18 of the company's total shares. He is still heavily vested. Keep in mind too that his son is an employee of the company.
7.Year ending 2011 the company gave a dividend of 0.8019 cts per share. Based on 3.3 cts the dividend yield is a ridiculous 24.3%. The company does give dividend on and off and I am unable to tell whether they will give or not for this financial year.
8. Mr. Tsoi is quite involved in the civic, political n commercial activities in the Jinjiang and the Quanzhou City area. Personally I quite like his credential.
9. Finally the share price is at or near bottom. If you buy a share at its bottom, you can never loose money except when the company go bankrupt or some fraudulent activities.
10. The textile/fabric business in China is in very bad shape. There is a shake up going on. Those who survived the shake up will eventually be big winners. Based on its cash holding Foreland is likely to survive the shake.
Above are just my views and ways of looking at things. Its not intended to ask you to buy or sell. You are advise to do your own diligent before you make a decision.
Based on the above I like the counter and am heavily vested.
I wish all of you all the best.
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