Valuation of Hu an

Yap, mgt seems to be doing all the right things. Really need lots of patience and determination to hold this through and wait for market to realise its value and for mgt to deliver the results.... i am thinking of buying a bit more if it drops further....

at 34 cents on 18 march, the chairman bought 600,000 shares.

There is a married deal done at 40.5 cents for 6,500,000  shares! wondered why they don't get of from the open market since it its languishing at 34-35 cents. The big boys seem to be more confident in this counter than retailers.

This one looks ok, cos their annual report has just been published - which means their auditors signed off on the accounts alreadi liao.

Interesting thing is, they released their AR in the normal announcement section, instead of the AR section, which could mean they are trying to signal to the market, or at least assure the market, without saying 'oh my auditor signed off."
info.sgx.com/webcoranncatth.nsf/VwAttach...inal.pdf?openelement

Hu an is buying land to build a new plant to produce special cables, fire cables. Cost is about 50 million. My initial thoughts when I read the news is are they expanding too fast? Will there be under-utilization? The stock might really yield strong returns if the Management can successful execute their plans, becoming top 5 cable company in the PRC by 2013 will then not be just an ambition. Have already sold my holdings when the Gaoxian scandal broke, hoping to re- enter this counter again at the right price. Some positives however are 1) gearing will remain unchanged. 2) company has been successful thus far in improving market penetration and the external conditions is favorable too, although 1 year of success doesn't make much of a track record. 3) cash flow, which is something that bothers me quite a fair bit turn out to be a non- issue as I was right that the 4th quarter allow the company to generate positive cash flow for the whole year. Anyone has any comments?

Creeping up ..... 38 cents -- Hu An started moving up after announcing bonus issue and net profit rise of 70% 2-3 weeks ago.

Hu An has been trading at $0.57/0.58 for over 2 weeks with huge volume of about 10 millions shares daily, according to CNA forum posting. Today it closed at Tw$16.50(or $0.50.