Haw Par

  • Johny
  • Visitor
  • Visitor
11 years 8 months ago #10876 by Johny
Replied by Johny on topic Re:Haw Par
Good piece by Lim & Tan Securities but..... am puzzled why Hold rating?

The stock is at a new recent high of $6.52, and could be attributed to renewed buying of shares by Chairman Wee Cho Yaw.

 Wee Investments picked up 533,000 shares last week at $6.41 average, ex-dividend of 6 cents.

 The family last spent $10 mln on 1.666 mln shares, largely in March ’11. Average cost then was $6.05 cum-dividend of 14 cents a share.

 Latest NAV of Haw Par is $10.39 a share, ie stock trading at 37% discount.

 Given the latest purchases were made ex-dividend, unlike cum-d in Mar-May last year, one could surmise it is Haw Par’s NAV backing that prompts the Wees to pick up shares every now and then.

 The Wee family owns 33.49% of Haw Par.

 At $6.50, yield is 3.1%.
 We believe HOLD is appropriate.

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