Posts Tagged ‘Parkway’

Sign another 2008 collapse coming?

In Uncategorized on 31/08/2010 at 6:24 am

In 2008, Khazanah paid S$4.25 a share for a 16% stake  in Parkway, paying a then record historical PE of of 36.1.  A few months thereafter global equity markets collapsed.

Khazanah has juz paid S$3.95 a share paying a  record PE of 37.4, for all the shares that it didn’t own.

Err will we see a collapse in global equity markets again? I certainly hope so, so that I can reinvest my Parkway $.


Parkway: What to do?

In Uncategorized on 02/08/2010 at 5:16 am

I’ve got an economic interest in some Parkway shares, and I’ll arrange to accept the offer as regards these shares.

Why? When the partial offer of S$3.78 was made, the analysts were saying that 12 months down the line, the shares would be worth around S$4 (each broker had its preferred number). Well in three months, this target has been reached with  S$3.95 being offered.

Secondly,the two persons most associated with Parkway’s success are likely to leave. Director and ex-CEO  Lim Cheok Peng, and the the current CEO Tan Lee Seng had allied themselves with Fortis in return for “the right to participate in certain economic benefits”, and even if Khazanah wants them to stay, it is hard to see them staying.

Khanazah — Who you misleading?

In Uncategorized on 26/07/2010 at 5:30 am

[Update 28 july 2010 — Yes, from the perspective of an investor, Khazanah overpaid — Accept offer, I intend to. Reasons tomorrow]

In the offer to buy 51% of Parkway, Khanazah says Khazanah’s core competency lies in improving the corporate governance of its investee companies and providing support and guidance on the strategic direction of such companies through its nominees on the board.

Excuse me K, but what about all those disasters in the KLSE listcos over the years  that you invested in? I hope you realise that misleading info in an offer document can lead to law suits.

To be fair, the rest of how it describes itself is very factual. Read the rest of this entry »

Parkway: M’sia v India, GIC being discrete?

In Uncategorized on 26/06/2010 at 6:02 am

Corporate Observer* quoting Reuters said GIC had decided to defer a preferential investment in the Indian healthcare group.

As the row between Fortis and Khanazah over control over Parkway is starting to sound like a row between India and M’sia (bank funding for Fortis seems to be like an all-India line-up); and getting nastier; and since GIC  has MM, PM finance minister, trade minister and an ex-DPM as directors (the last an executive director); and as S’pore is trying to settle a long-standing row with M’sia over some land, perhaps GIC decided that it had better not get caught up in India v M’sia.

Update 26 June 2010

‘GIC remains committed to Fortis through our substantial investment in Fortis’ convertible bonds. Like any other major investor, we constantly review our investments and will evaluate participating in the larger fund raising . . . and defer the current preferential investment until such time,’ GIC said in a statement released by Fortis to the Bombay Stock Exchange.

GIC currently has a 6.58 per cent interest in Fortis.

‘Fortis acknowledges the patronage of GIC and believes this development will be a better strategy for the company,’ the Indian group said.

Except from BT

*Who they? Run by two ex-local MSM journalists (considered by other journalists as smart and idealistic), one gets the impression that they are aiming to be a corporate version of Temasek Review without TR’s anti-government stance, inaccuracies, and misreps. Update: they even use the moniker “admin” to sign-off pieces: like TR.