Lion Asiapac

Despite the difficulty in the operating environment, management has paid a dividend of 1 cent in the last two financial years. In particular, it may be noteworthy that the company paid a total dividend of 5 cents in June 2006 (part of which was a special dividend). One of the reasons which prompted management to do so was because their cash balances swelled following the receipt of the sales proceeds from the disposal of its motorcycle division (Zhejiang Qianjiang Motorcycle Co). Mr Othman Wok which chaired the board then is still its current chairman. Today, its balance sheet is also laden with cash following the complete disposal of the Anhui Jianghuai stake. There is also minimal debt to pay down and there should be excess cash remaining even if the Polaris JV is allowed to go through by shareholders.

Stock is up 1 cent to 34.5 cents - steady climb, there is a rising chance that there would b a special dividend payout. Cash Per Share is Sing 47 cents - and William is unlikely to bid higher for Polaris. Why risk it? He already make money from his stake in Polaris which he bought at low price. The question is whether he will be generous enough to pay special dividfend to Lion Asiapac sharehlders (& himself)? Got 10 cents /share dividend coming ?

Now 35.5 cents on strong volume in first 10 minutes. Lion is out of the picture in the bid for Polaris - question now is what will it do with the huge cash pile? Some technical questions - is there a capital gain tax on the profits from the recent sale of the China stake?

AT 36 cts - all trades of nearly 400,000 shares done so far in the first hour at 36 cents whcih suggests strong buying interest at this level. And why not when the cash pile is there for the cocompany to share with shareholders as there is no further mad acquisition to finance. Minority shareholders have shown themselves to be knowledgeable and they know what\'s good for shareholders, including the majority shareholder. Just pay out a special dividend! Looking forward to that, and a stock price in the region of 45-55 cents.

Lion roared today - up 7%. Added 2.5 c to 37.5 c on a day when the market was lousy. What does that signal? A hefty special div is coming with full yr results soon? cOMpany has 48 c net cash per share - more or less, so the stock\'s downside is limited IMHO. There is a fund manager\'s article on Lion at www.nextinsight.net/content/view/1811/79/

Funny thing is this is a stock with a price that is lower than the net cash in the business. Situation arose cos the management has no interest in communicating with investmnet community. Could they prove skeptics wrong by declaring big hongbao of a special dividend? Op to prove they r minorityshareholder-friendly. is this stOck going to be a rocket soon?