It's 12th Nov 2016, Owl.
Those information dated 1st Week October.
About 5 weeks ago.
Garden Fresh IPO application has lapsed on 30/9/2016. From HKEX its IPO is now " inactive" , i.e. no new application received after 1 Oct. to-date.
Garden Fresh IPO application has lapsed on 30/9/2016. From HKEX its IPO is now " inactive" , i.e. no new application received after 1 Oct. to-date.
It all started when they miscalculated the time/effort needed to get GF IPO back in 2012/13. As you said, GF IPO is supposed to take care of both CB and funding for new plants. They just could not sustain to support both items without the GF IPO proceeds and had no choice but to raise fund and at the same time incur high borrowing cost from CB. They have so far invested about RMB 2B (since 2012) in building new plants and buying new equipments. These issues should have been factored in its share price and people are getting nervous again when IPO lapsed + RI.
Long hanging debt of CBs need to repay and going to mature next Mar 2017. That is why.All the hype about IPO of Garden Fresh(Bevergae segment) spin off is about settling that issue and raise fund for their new plant and production line.
Their beverage division is the most profitable business for SG........hope that should answer your question.
why is Sino so in need of fund when it is so profitable?E.g. China Sunsine - Since day 1 of listing, has not gone back to ask investors for money. Consistent dividend year after year..
Sino requests for rights issue + issuing dilutive convertaible bonds to Tycoon + then still need to float beverage division?
A lot of stunts?
Just a layman' s understanding from outside.
I don't believe a overvalue stock share price is substainable.
Same I don't believe a over depress stock share price to be low forever.
I realise a lot of short term trader here only start buying when momentum of certain stock have build up. End up a lot of them stuck on high because they like to chase price.
No promoting buying but that's what I realise the style of many in this forum.
Many have used the CB issue to sell down Sino G shares.
It's NAV is well above its current share price.
Well well above.
Once it comes to a settlement of its CB next March, what else will be stopping it from growing and expanding?
And let us don't forget that who is the CB owner? It's also one major shareholders.
Will the SSH slap himself in the face to allow Sino G to fail?
Business expansion, partnership deals, discussion of IPO re-applications, most importantly, company is constantly making more profits.
I would say its gonna be a gem coming year 2017.
Sensed that it has already hit its bottom and making a U turn upwards.
Come 2017, watch it.
Profitable business, shrewd owner, efficient economy of scale, competitive pricing, Huge potential for further market share for the rest of Asia, Support from SSHs and the government (Nutrion department of China), Transparent accounting practice. Low share price due to temporary issues. Has a good diversity range of products which is affordable to public. Products accessible for main target customer (China consumers) -> The fundenmentals are in place
Temporary issues: CBs to be repayed. Bank loans with interests to be repayed. Pending IPO application of Garden Fresh Subsidiary HKSE (Supposed to be good, Don' t know why some people make out to be bad), Market positioning very competitive in a competitive industry. Diifficult to obtain products for overseas consumers. Potential Rights issue for capital for further expansion yet to be confirmed by SGX.
Long hanging debt of CBs need to repay and going to mature next Mar 2017. That is why.
All the hype about IPO of Garden Fresh(Bevergae segment) spin off is about settling that issue and raise fund for their new plant and production line.
Their beverage division is the most profitable business for SG........hope that should answer your question.
why is Sino so in need of fund when it is so profitable?E.g. China Sunsine - Since day 1 of listing, has not gone back to ask investors for money. Consistent dividend year after year..
Sino requests for rights issue + issuing dilutive convertaible bonds to Tycoon + then still need to float beverage division?
A lot of stunts?
Just a layman' s understanding from outside.
why is Sino so in need of fund when it is so profitable?
E.g. China Sunsine - Since day 1 of listing, has not gone back to ask investors for money. Consistent dividend year after year..
Sino requests for rights issue + issuing dilutive convertaible bonds to Tycoon + then still need to float beverage division?
A lot of stunts?
Just a layman' s understanding from outside.
From the last two year 2014-2015 can see Revenue from 3Q result are higher than 2Q result.
If base on that as reference, I am quite positive my speculation on they are already having high production ultilisation rate currently. So cannot further expand their sales network and increase sales. Unable to meet demand if they do so....
They need to increase production capacity. That could explain their rationale on why they still want to empathise on building new plant and expand production line while CBs issue still hanging. Why not repay when able to back then?
No increase in capacity equal to no further growth in business. CBs repayment could be jeopardize when business become stagnant.
Just sharing what I feel from the most recent result.
Haha......boring does not sound so bad afterall dude.
You try this.....first you look at SG current market price. Then you look back to the result and see maintaining earning from previous quarter.
Current Market price vs Current boring result. How it present now? Look better right....haha
My personal view is if SG current price still hanging around 70-80c now. Latest result nothing exciting. This year 20% growth will not propel SG price beyond that range 70c but surely will make it go beyond current price I believe.
So I think only those with low enough average price holder will benefit. Those who bought at 60 - 70c.....can only depend on IPO I guess.
Frankly I would say the results is " boring" . Nothing out of expectation. Not much new info was made available as well.SinoG is like a healthy looking person with a really bad turmoil inside. Pls get rid of it fast!
Frankly I would say the results is " boring" . Nothing out of expectation. Not much new info was made available as well.
SinoG is like a healthy looking person with a really bad turmoil inside. Pls get rid of it fast!
That prata king over expectation mean he never do homework. Not rational to expect sales to growth like.......what? 40-50%?
With this year 9 month result so far shown around 20% sales grow.....SG production utilisation rate might already increase to near fully. At least be higher than they report in IPO prospectus.
Without new plant and completion of new production line at existing plant......unlikey will shown much different from previous quarter. No capacity to supply demand I believe.
Just hope by next quarter, their expansion of hubei production line are complete. That's mean the new flip top can production line. And the recent Fuzhou fair might contribute more sales that will reflect on 4Q2016.
One thing to notice is that they able to secure more bank borrowing than before. I assume their credit rating have improve....one should consider back then why SG issue the bond to raise fund which have high interest. Most likely they left with no choice.....
HHL, we already know he is prata king, mah. Take his words as signal of position he takes. This time, he might already sell to anticipate sell on news. Monday, he might short with his shifu gang. No need to go against them, unless Huang, SSH and BB are willing to trap them.
what do you know except to tell lies every day? lmao hahahaEarlier said result bery bery good.. what a kanasai fella.
bad. bad. bad. Spend so much only generate so little rev and profit growth. Net cash generated also go down. cash increase just use bank borrowing to tahan. NO IPO news and RI all muted.
3Q2014 record increase operating receivables of RMB366M with similar revenue 1,030M vs 3Q2016 1,108M sales that quarter.
Increase operating receivables 3Q2014 RMB366M vs 3Q2016 RMB238M. What do you think?
SGFI will also have to redeem its SB2 of RMB190M due in feb-mar 2017. It will be left with the two bank loans of about RMB43M and remainung CL of about RMB 45M from the Thai post GF listing in hkex...as we know, that results in SGFI share price dilution too.Is operating receivables of RMB238M too much in this Q? Almost wipe out all operating cash flow...
the conversion of convert bond to equity in the case of IPO application successful is very important. I assume they will try to get IPO applied in HK before the convertible bonds are due..
