Assuming that SIIC Environment's share price holds up after the issue of 1.56 billion shares for its acquisition of Fudan Water, its market cap would be around S$2.4 billion. When Mr Zhou first joined the board in April 2010 (when it was known as Asia Water Technology prior to the RTO by Shanghai Industrial Investment Corp), its market cap was only between S$100 million and S$150 million. Bloomberg data
On 13 May, SIIC Environment posted 1QFY2015 net profit growth of 1.1% to Rmb 84.2 million, after a posting CAGR of 85.8% over the past 5 years.
1QFY2015 net profit attributable to shareholders was up 7.5% at Rmb 68.4 million.
On 14 May, Maybank Kim Eng analyst Wei Bin maintained his ‘Buy’ call on SIIC Environment, citing strong M&A momentum ahead of its Hong Kong dual-listing plan.
The analyst raised his target price to 26 cents (30x P/E), in line with Hong Kong listed peers.
