Finance cost was $2.0 m in 3Q, down by $300,000 from a year ago as GPH pared down its borrowings. This has helped the bottomline improve. I am beginning to take note of the performance as the NAV is 39.56 cents versus 25 cents for the stock. Obviously that's attractive. Does any forumer have anything to say about GPH?
Joes wrote: Not bad yield but worry about its high debt and servicing interest. The IPO priced at S$0.26 per share, giving a forecast 2012 dividend yield of 6.2%.
-- After just 2 years, GPH is going to be delisted. Offer price of Koh Wee Meng is 33 cents.
Return is 26.9% for those who held the IPO shares. Some dividends thrown in too.
Koh wee meng proposed unconditional cash offer for all shares of gp hotel at $0.33. Intention is to increase his stake, no intention to delist gp hotel. After the close of offer, fragrance will distribute its own stake of gp hotel shares to fragrance shareholders at 80 gp hotel shares per 1000 fragrance share.
first is was MCL Land, then Allgreen Properties, then SC Global, then Superbowl, then Singapore Land, now Global Premium Hotel.
Why is the market so ignorant, and when will it realise that most of the property counters are undervalued. It seems like the market really don't know how to value companies, giving the controlling shareholders of these companies a free lunch by taking their companies private or buying large chunk of shares at severely depressed prices (huge discount to NAV). At the end of the day, minority shareholders are the ones who lose out because they can't do anything.
I believe if more people fundamentally driven instead of punting, these stocks would be much higher. Sigh, what can I say. At the end of the day, this is how the rich get richer, because everyone else is ignorant.
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