Author Topic: CHINHIN  (Read 1365 times)

Online king

  • King
  • ***********
  • Posts: 77,824
CHINHIN
« on: September 20, 2016, 08:30:26 AM »



财经  2016年09月19日
振兴购地建厂受看好

(吉隆坡19日讯)分析员大致看好振兴集团(CHINHIN,5273,主板贸服股)收购永久地皮的计划,一旦新工厂建好后,將进一步提升其盈利。

振兴集团上週宣布旗下间接持股的子公司--Sage Evergreen私人有限公司和TKW资本签署一项买卖协议,收购位於柔佛州的一块20.7公顷永久地皮。

该地皮位於柔佛哥打丁宜,收购价总值2190万令吉,並將通过內部资金支付,预期这项收购需要3个月才能完成。

大眾投行分析员表示,看好这项符合公司扩展计划的收购项目,其地理位置优越,料振兴集团能够从其最大的壁板客户--新加坡客户取得更多订单中受惠。


整体而言,由於公司现有工厂產能有限(交货时间4至5个月),该公司计划把AAC和壁板產能增加42万立方米。这新AAC和壁板工厂將引进德国机器;通过使用先进科技减少浪费,提升生產效率。

该公司预计,AAC工厂建好后,亦会在柔佛建设4万5000公吨產能的预製混凝土工厂。新工厂料可在2018財政年首季开始带来贡献。

分析员说,该公司在柔佛扩展计划的总资本开销为8500万令吉。截至目前,该公司已支出4000万令吉购买机器和土地。

分析员也说,不调整盈利预测,重申「超越大市」投资评级,目標价为1.08令吉。

振兴集团今日收报91.5仙,全天上扬半仙或0.55%,成交量达70万4700股

Online king

  • King
  • ***********
  • Posts: 77,824
Re: CHINHIN
« Reply #1 on: September 23, 2016, 07:06:30 AM »



Chin Hin to buy two firms for RM18.3 million
Posted on 23 September 2016 - 05:41am
sunbiz@thesundaily.com
Print
PETALING JAYA: Building material company Chin Hin Group Bhd is forking out a total RM18.3 million for the acquisition of two firms, which are involved in wood and consumer products.

Midah Industries Sdn Bhd manufactures wood products while Epic Diversity Sdn Bhd is engaged in consumer products such as locks, lock sets, alarm systems and other related business. The acquisition price tags are RM14.5 million and RM3.8 million respectively.

In a filing with the stock exchange, Chin Hin said its wholly-owned subsidiary PP Chin Hin Sdn Bhd had entered into conditional shares sale agreements with the vendors for the acquisitions.

The acquisition sum will be satisfied entirely in cash, financed through internally-generated funds.

Chin Hin said the acquisition of Midah is in line with its focus on high margin products that complement its existing businesses.

Midah is one of the top five market players in the local fire door industry with an installed capacity of 5,000 units per month supported by a strong customer base.

Meanwhile, Chin Hin noted that Epic has experience in implementing and scheduling of ironmongery for commercial projects, residential and factories.

“The proposed acquisition is part of Chin Hin’s organic growth strategy to enhance our product portfolio,” it said, adding that about 90% of Epic’s lock sets are supplied to Midah, which complement Midah’s door business.

Online king

  • King
  • ***********
  • Posts: 77,824
Re: CHINHIN
« Reply #2 on: November 14, 2016, 02:55:38 PM »



Chin Hin Group Berhad - Disposal of Non-Core Assets
Author: PublicInvest   |   Publish date: Thu, 27 Oct 2016, 09:34 AM

Chin Hin’s subsidiaries, namely Metex Steel Sdn Bhd, PP Chin Hin Sdn Bhd, Starken AAC Sdn Bhd, Chin Hin Concrete (KL) Sdn Bhd and C&H Transport Sdn Bhd had entered asset sale agreement with CHL Logistics Sdn Bhd, to dispose total 46 trucks with sh nsideration of RM8.7m. Chin Hin expects to record a relatively small disposal gain of RM0.2m or 0.6% of our FY16F net profit forecast. We are positive on the disposal as it uld further enhance Chin Hin’s earnings going forward with estimated st savings of RM2.0m and lowering its net gearing from 0.84x to 0.82x. We maintain our Outperform call on Chin Hin with unchanged target price of RM1.12, based on 12.0x multiple to its EPS of 9.37sen.

Details. Chin Hin’s subsidiaries dispose total 46 trucks to its related logistic provider, CHL Logistic Sdn Bhd for total sh nsideration of RM8.7m in two tranches. The asset sale agreements are expected to be mpleted in 4QFY16. The proceeds will be utilized for repayment of bank borrowings and working pital purposes. Based on net book value of RM8.5m, the disposal is exercised at price-to-book of 1.02x. The group expects to record a disposal gain of RM0.2m.
Lower gearing ratio. The proposed disposal is part of Chin Hin’s asset monetisation exercise. We understand that 68% of the sh proceeds will be used for repayment of bank borrowing, amounting to RM5.9m. We estimate FY16F net gearing level will be reduced from 0.84x to 0.82x. As a result, the group is able to save interest st of RM0.4m per annum based on effective interest rate of 6.0% per annum.
Maintain Outperform. With this asset monetisation exercise, we estimate the group uld save total st of RM2.0m (RM1.6m of depreciation st and RM0.4m of interest st). Hence, we are positive with this deal as it uld further enhance the group’s earnings and improving its balance sheets going forward. The RM0.2m one-off gain will be booked in 4QFY16, which is 0.6% of our FY16F earnings estimates. All told, we maintain our re earnings estimates for now with unchanged target price of RM1.12.
Source: PublicInvest Research - 27 Oct 2016

Online king

  • King
  • ***********
  • Posts: 77,824
Re: CHINHIN
« Reply #3 on: November 14, 2016, 02:58:00 PM »



CHINHIN(5273) - 一站式建材商专才的雄心
Author: lotus76   |   Publish date: Thu, 22 Sep 2016, 10:58 PM

8月29日THE EDGE 报导了与CHIN HIN董事经理周豪俊的采访。采访内容重点如下:
 
1. 公司将寻求收购资产,以促进盈利成长和扩大产品和业务类型
2. 目前产能都近乎用尽,将积极扩大厂房和产能
3. 管理层目标5年内达到10亿市值(目前才4.6亿)
4. 视盈利和流动现金的表现,可能会在下半年派Final Dividend(上半年已派1.5sen, 目前Dividend yield = 1.6%)
 

 
结果这个月就看到有两笔主要收购。
 
1. 9月15日 – 收购Johor 土地以兴建新厂房,来制造 precast concrete 和明星产品AAC blocks。估计2017年为可开始运作,产能将会翻倍。
 
新闻报导链接
 
http://www.orientaldaily.com.my/business/cj2193
 
这项收购并不意外,因为这是IPO中筹资的2年大计中的一部分计划。建在Johor也有助于出口至新加坡。
 
2. 9月22日, 也就是今天 – CHIN HIN以一千八百万收购两家做防火门业务的公司。
 
新闻报导链接
http://www.klsescreener.com/v2/news/view/130023
 
随着这项收购,CHIN HIN的合约订单将增加三千万至两亿三千万。估计短期内就可开始贡献盈利。管理层估计这笔收购在未来2年就可以贡献六百万的税前盈利。
 
这也代表说一年可贡献大约二百二十万的税后盈利,所以看起来以一千八百万收购这两家公司应该是一笔划算的收购。相信这笔收购将会创造synergy和更大的价值。
 
Synergy是什么?简单来说就 1+1 >2。
 
这项新闻也蛮叫人意外的,因为不到一个月后就有收购消息了,而且管理层也表态说会继续寻找收购的机会,并且有一项收购在洽谈中。
 
这些收购将进一步迈进集团定下的愿景-大马一站式建材商专才。
 

 
总结:目前CHIN HIN在一步步的实现他们的宏图大计,至于未来可否如董事经理所说的在5年内实现10亿市值的目标,就让我们拭目以待吧

Online king

  • King
  • ***********
  • Posts: 77,824
Re: CHINHIN
« Reply #4 on: November 14, 2016, 03:17:53 PM »



Chin Hin’s expansion plans on track with land purchase
By PublicInvest Research / The Edge Financial Daily   | September 20, 2016 : 10:10 AM MYT   
Printer-friendly versionSend by emailPDF version
Translated by Google Translator:
Select Language​▼

Previous
Next
This article first appeared in The Edge Financial Daily, on September 20, 2016.
 

Chin Hin Group Bhd
(Sept 19, 91.5 sen)
Maintain outperform with unchanged target price (TP) of RM1.08: Chin Hin Group Bhd (Chin Hin) announced that its indirect wholly-owned subsidiary, Sage Evergreen Sdn Bhd had entered into a sale and purchase agreement (SPA) with TKW Capital Sdn Bhd for the acquisition of a parcel of freehold land measuring about 20.7ha in Johor. We are positive on this acquisition as it is in line with the group’s expansion plans and we anticipate further earnings enhancements upon the new plant’s completion from more Singapore-based orders owing to its strategic location.

This parcel, with an aggregate area of about 20.7ha  is located in Mukim of Kota Tinggi, Daerah Kota Tinggi, Johor. Acquired for a cash consideration of RM21.9 million, the amount will be fully financed through its internal funds and will take three months to complete. We view this acquisition positively as it is in line with Chin Hin’s expansion plans, enabling it to also benefit from more Singapore-based orders considering its vicinity to Singapore, its biggest wall panel customer. 

To recap, due to limitations in its existing plant to fulfil market demand (as reflected in longer lead time of four to five months), the group plans to further increase the Autoclaved Aerated Concrete (AAC) and wall panel capacities by an additional 420,000m3. The new AAC and wall panel plant will be installed with high-tech German machinery, which was purchased in April 2016 though with delivery at a later date. With the new technologically advanced lines, the group could further improve its production efficiency by reducing wastage. In addition, a precast concrete plant with an additional 45,000 tonne capacity will be built next to the AAC plant in Johor. Contribution from the new plants will only kick in by first quarter of financial year 2018 (1QFY18). Total capital expenditure (capex) of RM85 million is allocated for this Johor expansion plan. To date, the group has spent about RM40 million (about half of the total capex) for machinery and land cost. 

Our earnings estimates remain unchanged. We maintain our TP of RM1.08 with an “outperform” call. We continue to hold our view that Chin Hin is an attractive long-term investment proposition owing to government’s continuous initiatives to improve the water and sewerage sectors while also promoting green building development which could further enhance its future growth through greater adoption of AAC-based products. — PublicInvest Research, 19 Sept

Online king

  • King
  • ***********
  • Posts: 77,824
Re: CHINHIN
« Reply #5 on: January 25, 2017, 06:53:36 AM »



Chin Hin gapped up, says AllianceDBS Research
By theedgemarkets.com / theedgemarkets.com   | January 25, 2017 : 5:49 AM MYT   
Printer-friendly versionSend by emailPDF version
Translated by Google Translator:
Select Language​▼
KUALA LUMPUR (Jan 25): AllianceDBS Research said Chin Hin Group Bhd (Chinhin) had on Jan 24 gapped up to cross over the 89 sen hurdle.

In its evening edition yesterday, the research house said the stock subsequently reached a high of 91.5 sen before settling near the day’s low at 89.5 sen (up 1 sen or 1.13%).

It said the crossover of the 89 sen hurdle would likely see Chinhin trading upward with the next upside target pegged between 94 sen and RM1.00.

It said risk taking traders can establish a buying position at 89 sen on a small pullback.

“Once a buying position is established, a stop loss at 88 sen level must be placed for risk capital protection, and this 88 sen is to be followed by a trailing stop loss strategy.

“If you are prepared to take a trading loss risk of RM10 (excluding brokerage) for RM50 – RM110 potential profit, you may acquire 1,000 shares with a capital amount of RM890 assuming buying order is filled at 89 sen,” it said.

Online king

  • King
  • ***********
  • Posts: 77,824
Re: CHINHIN
« Reply #6 on: March 18, 2017, 04:47:51 PM »



振兴集团创办人周明德
买5.11%晋TADMAX大股东
799点看 2017年3月18日
 
周明德

(吉隆坡17日讯)振兴集团(CHINHIN,5273,主板贸服股)创办人兼副执行主席拿督斯里周明德,崛起为TADMAX(TADMAX,4022,主板产业股)的大股东。


TADMAX向交易所报备,周明德是在周三(15日),通过场外交易一口气购入2500万股TADMAX的股票。

这使得周明德在TADMAX的持股率直达5.11%。

值得注意的是,周明德是振兴集团的创办人,目前担任副执行主席一职。

振兴集团是一家综合建筑集团,主要供应建材和服务给建筑领域,并在去年3月8日上市。

TADMAX业务则涉及产业发展、农业发展和工业供应。

闭市时,TADMAX以45.5仙挂收,起3仙或7.06%,成交量有2374万9500股。


 点赞 2赞
FacebookTwitterGoogle+WhatsApp
相关课题: TADMAX周明德振兴集团
上则新闻
军费大扩张 医疗成输家
特朗普狂砍美国预算案
下则新闻
这个市场超狂……
5年后出货量破9900万台

Online king

  • King
  • ***********
  • Posts: 77,824
Re: CHINHIN
« Reply #7 on: March 23, 2017, 06:55:22 AM »



财经  2017年03月22日
积极扩充產量 振兴后市看好

(吉隆坡22日讯)建材领域中的小型企业--振兴集团(CHINHIN,5273,主板贸服股)计划在未来积极扩充產量,並也將延伸业务至高赚幅领域,与现有业务相得益彰。

振兴集团管理层指出,在去年展开一连串的收购后,该公司今年將继续积极地扩充业务,同时,管理层也將物色及收购可与现有业务互补,且估值不超过6倍的资產。

该公司管理层续称,儘管產业领域需求量疲软,致使贸易业务前景充满挑战,相信製造业务將继续推动公司的业绩成长。

对此,大华继显分析员提醒道,振兴集团2016財政年(12月31日结账)73.8%营业额主要由建材及预製混泥土分销业务贡献,剩余的26.2%则来自製造业务。


至于2017財政年派息率,振兴集团管理层则表示,现財政年派息率预计和2016財政年的48%相差无几。

以经销建材及提供物流服务起家的振兴集团,是于2011年多元化至高赚幅的製造业务,包括生產蒸压加气混泥土(AAC)、预製混泥土和丝网及金属瓦片。

截至今年3月16日,振兴集团AAC產品每年產量为37万5000公吨。

同时,该公司也打算把去年9月份收购的柔佛哥打丁宜佔地50.6英亩的地皮,用来建设厂房,把AAC產品的年產量推高至42万公吨,该厂房预计在2018年下半年竣工。

有助开拓海外

大华继显分析员称,这有助振兴集团开拓海外,尤其是新加坡市场。

该公司的墙板已被新加坡住房及发展局採用,作为可负担公务员房屋的建材。目前,AAC產品的营业额贡献比重为12%。

「此外,振兴集团亦积极地扩充预製混凝土產量,同时于去年9月通过收购Midah工业及Epic Diversity公司,延伸业务范围至防火门业务,进而扩大產品组合,从而提高赚幅。」

在上市后,振兴集团在柔佛古来、美罗,以及雪兰莪万挠建设新预製混凝土厂房,当中美罗和万挠厂房已在今年初启用,2017年混凝土年產量提高至30万公吨。

大华继显分析员並未给予振兴集团投资评级和目標价。

不过,他认为,收购可助振兴集团提高產能,並涉足与现有產品有互补作用的业务,可带动公司的股价走势。

此外,可带动该股购兴的其他因素,包括丰厚的派息,以及被列为伊斯兰教义股等。

该股周三(22日)全天下跌2仙或1.43%,至1.38令吉,成交量为357万2600万股。

Online king

  • King
  • ***********
  • Posts: 77,824
Re: CHINHIN
« Reply #8 on: April 03, 2017, 05:52:33 PM »



Business NewsHome > Business > Business News
Monday, 3 April 2017 | MYT 5:04 PM
Chin Hin acquires Mi Polymer for RM35mil
image: http://www.thestar.com.my/~/media/online/2017/04/03/09/08/dcx_doc6oveah0c4mqk0rhucpi.ashx/?w=620&h=413&crop=1&hash=B7753B4A8EBB41B05C9D4AE518D055C69A2DCE36
Chiau shows one of his autoclaved aerated concrete product in Chin Hin's factory in Bukit Beruntung, Selangor.
Chiau shows one of his autoclaved aerated concrete product in Chin Hin's factory in Bukit Beruntung, Selangor.
 
KUALA LUMPUR: Chin Hin Group Bhd has acquired Mi Polymer Concrete Pipes Sdn Bhd for RM35mil.

The move effectively positions the group as the first integrated sewage specialist in South-East Asia, with the ability to provide a full range of solutions.

Managing director Chiau Haw Choon said as an integrated building materials provider, the group manufactured a number of products for the sewage business solution.

“However, we noticed a gap in our product range, as we do not have pipes smaller than 450 millimeters, and this prevented us from becoming a one-stop supplier.

“This acquisition provides the missing link, effectively positioning us as the first integrated sewerage specialist in Southeast Asia,” he told reporters at the signing ceremony on the acquisition in Kuala Lumpur on Monday.

Given the current urbanisation trend, he said the region’s public capital expenditure for sanitation might reach up to US$12.4bil (RM54.9bil), which provided a great potential for the industry to tap into.

He added that the region’s population was projected to grow from about 633 million in 2015 to 733 million in 2030, thus intensifying the need for sewage pipes.

On the local front, Chiau said the Malaysian government had allocated RM9bil under the National Sewerage Project, out of which RM510mil had been earmarked for this year.

He said this became the group’s immediate target, leveraging on its geographical proximity.

Further to the acquisition, Chiau said Mi Polymer had made a profit guarantee of RM6mil to the group this year and the would contribute positively to group earnings.

He said Mi Polymer was in midst of constructing its second factory costing RM2mil, which was expected to be completed by the end of this year.

The new factory will double the company’s production capacity to 44,000 tonnes.

Currently, Chin Hin’s orderbook stands at about RM300mil, including RM10mil from Mi Polymer, which would last the group for three years.

Chiau said the group had grown rapidly, achieving revenue exceeding RM1bil in the past six years, while net profit had doubled to RM44mil in 2016 from the previous year.

He added that the group aimed to maintain its double-digit growth in profit this year, on the back of its two core business segments - sewerage business and infrastrusture.

Moving forward, the group plans to tap into regional markets and participate in sewerage infrastructure tenders in Indonesia, the Philippines and Myanmar. - Bernama

TAGS / KEYWORDS:
Corporate News , Construction , Chin Hin Group Bhd

Read more at http://www.thestar.com.my/business/business-news/2017/04/03/chin-hin-acquires-mi-polymer-for-rm35mil/#a4wCqKd1W0fVb64T.99

Online king

  • King
  • ***********
  • Posts: 77,824
Re: CHINHIN
« Reply #9 on: April 04, 2017, 06:39:32 AM »



财经  2017年04月03日
振兴3500万收购水管生產商

(吉隆坡3日讯)振兴集团(CHINHIN,5273,主板贸服股)以3500万令吉,收购MI聚合物胶接混凝土水管私人有限公司(MI Polymer Concrete Pipes SdnBhd,简称MI)100%股权,以成为可提供全套综合污水处理解决方案產品的供应商。

振兴集团董事经理周豪俊指出,作为东南亚首家聚合物胶接混凝土技术生產商的MI,在2016財政年(截至6月30日止)净利为740万令吉,营业额为2330万令吉。

「收购MI可为振兴集团2017財政年(截至12月31日止)作出正面贡献。」

根据双方的协议,MI卖方也对这家公司的2017財政年提供达600万令吉的盈利保证。


他在出席振兴集团和MI的签约仪式时,如是表示。

通过此次收购,振兴集团除了可成为首家兼唯一提供全套综合污水处理解决方案產品的供应商,也能为大马带来尖端聚合物胶接混凝土水科技,以满足发展及污水处理基础设施的需求。

对此,周豪俊表示,污水处理解决方案业务是振兴集团的主要业务之一,產品范围从蒸压加气混泥土(AAC)至预製混泥土。

「我们生產直径450毫米至3600毫米的预製混泥土水管,但是却没有直径少于450毫米的水管,而MI则弥补了这个不足,令我们的產品种类更为完整。」

同时,他说,MI耗资200万令吉在柔佛峇株巴辖开设第2间工厂,料在2017年尾竣工,届时,產量將从每年2万公吨提高至4万公吨,可满足本地及区域的庞大需求。

「我们希望能借此拓展顾客群,同时也计划进军东南亚市场,如印尼、菲律宾及缅甸等,以提供污水处理解决方案。」

持3亿订单

他指出,政府在今年拨款5亿1000万令吉,以进行污水处理工程,料可激励振兴集团的2017年第3及第4季的业务表现。

「我们目前手持的订单为3亿令吉,预料2017財政年的盈利可取得双位数成长。」

其他出席者包括振兴集团主席拿督斯里聂努鲁达尼、副执行主席拿督斯里周明德、首席財务员李海滨、业务主管吴伟联、MI首席执行员彼得詹姆斯,及董事郑兴山。

振兴集团股价今日走高3仙或2.33%,收在1.32令吉,成交量为258万7000股。

Online king

  • King
  • ***********
  • Posts: 77,824
Re: CHINHIN
« Reply #10 on: April 20, 2017, 06:25:14 AM »



Chin Hin founder buys 15% stake in Boon Koon
Chester Tay
/
theedgemarkets.com

April 19, 2017 23:23 pm MYT
-A+A
KUALA LUMPUR (April 19): Chin Hin Group Bhd founder and deputy group executive chairman Datuk Chiau Beng Teik has bought a 15.19% stake or 42.03 million shares in Boon Koon Group Bhd.

Boon Koon’s filing with Bursa Malaysia shows of the lot, 40 million shares were acquired off-market, while the remainder were bought from the open market.

Chiau bought the 40 million shares from Boon Koon’s executive chairman Datuk Goh Boon Koon at 45 sen apiece or RM18 million in all, whose direct shareholding fell to 8.56% or 23.69 million shares after the disposal, and an indirect stake of 9.26%.

The change in shareholding raised Chiau’s shareholding in Boon Koon to 20.03%, from 4.84% previously.

Boon Koon’s share price fell 0.5 sen or 1% to 49.5 sen yesterday, valuing it at RM136.99 million, while Chin Hin declined one sen or 0.76% to RM1.30, giving it a market capitalisation of RM657.65 million.


Online king

  • King
  • ***********
  • Posts: 77,824
Re: CHINHIN
« Reply #11 on: May 17, 2017, 10:50:02 AM »



2017-05-17 09:44
新业务产能扩张看俏.振兴盈利有望走强
振兴集团首季表现虽未达标,分析员仍看好其新收购业务和产能扩张计划,可带动盈利强劲增长。
(吉隆坡16日讯)振兴集团(CHINHIN,5273,主板贸服组)首季表现虽未达标,分析员仍看好其新收购业务和产能扩张计划,可带动盈利强劲增长。

广告

 
大众研究表示,该集团首季净利扬60.6%至810万令吉,虽仅占全年财测的15.2%,但大致符合预期,因首季适逢农历新年,通常表现较疲软。

振兴集团首季分销和预坢混凝土(RMC)部门营收下跌8.1%至2亿6160万令吉,但净利未受挫,因蒸压加气混凝土(AAC)砖块和预混凝土需求高,有助减缓冲击,并带动整体赚幅从上季的9.01%改善至10.74%。钢丝网业务则受政府保护进口品措施影响,亏损80万令吉,短期前景仍具挑战。

不过,该集团已转为分销中低产量和高赚幅的产品,以抵销产业活动放缓的冲击,而近期收购MI聚合物胶接混凝土水管公司的600万令吉盈利担保,将于现财年入账,今年产能也将增近7倍至30万公吨,料可令其余季度盈利走强。



文章来源:
星洲日报‧财经‧2017.05.17

Online king

  • King
  • ***********
  • Posts: 77,824
Re: CHINHIN
« Reply #12 on: June 09, 2017, 09:54:13 AM »




image: http://bcp.crwdcntrl.net/5/c=5593/b=40835691

Business NewsHome > Business > Business News
Friday, 9 June 2017 | MYT 9:00 AM
AmInvest Research overweight on building materials sector
image: http://www.thestar.com.my/~/media/online/2016/04/13/05/51/ann-joo-steel.ashx/?w=620&h=413&crop=1&hash=5D1C42298FADA78403360E3CD3CF59DC5D294220
AmInvestment Research’s top large-cap and small-cap picks are Cahya Mata Sarawak and Ann Joo Resources.
AmInvestment Research’s top large-cap and small-cap picks are Cahya Mata Sarawak and Ann Joo Resources.
 
KUALA LUMPUR: AmInvestment Research has an Overweight view on the building baterials sector for the next six to 12 months.

“We are positive on all subsegments other than the cement industry in Peninsular Malaysia,” it said.

The prospects of the sector are bright, underpinned by the stronger demand for building materials based on record order books of the construction players in the country.

It pointed the various mega projects include the East Coast Rail Link (ECRL) (RM55bil), MRT2 (RM32bil), Pan Borneo Highway (RM16b), and mega-scale township development such as TRX, KL118 and others.

Other potential projects in the pipeline include the Pan Borneo Sabah highway (RM12.8bil), LRT3 (RM9bil), Gemas–Johor Bahru electrified double-tracking rail (RM7.5bil), and Kuala Lumpur–Singapore high-speed rail (KL-Singapore HSR) (RM5060bil).

“These mega projects will further boost the demand for building materials such as steel, cement and aluminium.

“Our Overweight stance on the building materials sector could be further strengthened by higher-than-expected average selling prices (ASP) for selected building materials like steel and aluminium,”  it pointed out.

However, AmInvestment Research said it might downgrade its Overweight stance on the building material sector to Neutral.

It said one factor which could prompt the downgrade were if demand volume for building materials is hampered by federal government plans to postpone, scale down or even cancel infrastructure projects due to unforeseen circumstances such as economy slowdown.

Another factor was that ASP for building materials dropped significantly due to policies set by the regulator or startling external headwinds.

AmInvestment Research’s top large-cap and small-cap picks are Cahya Mata Sarawak and Ann Joo Resources respectively.

Cahya Mata Sarawak (Buy, fair value RM5.15). The sole cement manufacturer and one of the dominant local players supplying building materials (aggregates, premix and wire mesh) through its construction and materials trading arm.

Ann Joo Resources (Buy, fair value: RM3.86). Dubbed the dominant local steel players which controls 20% of the market share and able to produce high tonnage of steel.

Ann Joo Resources is able to maintain better margin in comparison to its peers in the industry due to cost optimisation in production, adopting the hybrid BF-EAF technology.
 
TAGS / KEYWORDS:
Corporate News , Analyst Reports , Economy

Read more at http://www.thestar.com.my/business/business-news/2017/06/09/aminvest-research-overweight-on-building-materials-sector/#y2CvSPP5rGUbh3v7.99

Online king

  • King
  • ***********
  • Posts: 77,824
Re: CHINHIN
« Reply #13 on: July 03, 2017, 08:02:11 PM »



MY
 

TRENDING NOW
Bandar Malaysia
Select Language​▼
MALAYSIACORPORATE
Chin Hin to buy 45% stakes in 3 solar power firms
Billy Toh
/
theedgemarkets.com

July 03, 2017 19:37 pm MYT
-A+A
KUALA LUMPUR (July 3): Building materials distributor Chin Hin Group Bhd has proposed the acquisition of 45% stakes in three companies for RM24.8 million to boost its involvement in the solar power investment business.

In a filing with Bursa Malaysia, Chin Hin said the proposed acquisitions would also grant the group opportunities to expand its solar power investment business regionally to tropical countries.

The group today entered into a memorandum of understanding with the shareholders of the three companies — Atlantic Blue Sdn Bhd, Powertrack Sdn Bhd and Solarvest Energy Sdn Bhd — to undertake the acquisitions.

The shareholders include Tan Chyi Boon, Lim Chin Siu, Tan Paw Soon and Chong Chun Shiong.

Atlantic is principally involved in the installation of equipment for generation of electricity via solar power energy, the sale of electricity through solar generation and property investment holdings.

Powertrack and Solarvest are associate companies of Atlantic, and are principally involved in the engineering, procurement and construction of solar energy.

Chin Hin said the purchase consideration was arrived based on the unaudited profit after tax of the three companies for the financial year ending March 31, 2017 (FY17) and profit guarantees of up to RM10 million for FY18 and FY19 to be provided by the shareholders.

Chin Hin's share price closed unchanged at RM1.30 with about 120,300 shares traded.

Online king

  • King
  • ***********
  • Posts: 77,824
Re: CHINHIN
« Reply #14 on: July 08, 2017, 09:53:23 PM »




image: http://clips.thestar.com.my/Themes/TSOL/images/navigation/searchIcon.png

image: http://clips.thestar.com.my/Themes/TSOL/images/thestaronline_res.png


 
Business News
Home > Business > Business News
Saturday, 8 July 2017
Chin Hin on buying spree

BY GANESHWARAN KANA

image: http://www.thestar.com.my/~/media/online/2017/07/07/18/50/p6_bizw_070717_pg06b_tankimbock_1.ashx/?w=620&h=413&crop=1&hash=6CFB034B9C47FB839EA98548A6F84A86140AC42E
Chiau:’(The) solar power business is part of our group’s income stream.’
Chiau:’(The) solar power business is part of our group’s income stream.’
 
After acquiring three companies, it now eyes stakes in three solar power firms

MORE than a year after its debut on the Main Market of Bursa Malaysia, building materials manufacturer Chin Hin Group Bhd is on a buying spree.

Earlier this year, Chin Hin had engaged in a series of acquisitions worth over RM52mil as the group acquired fire-rated door manufacturer Midah Industries Sdn Bhd, door locks and accessories supplier Epic Diversity Sdn Bhd and concrete pipes producer Mi Polymer Concrete Pipes Sdn Bhd.

Now, the company has also proposed to buy equity interests in three solar power-related entities for a total sum of RM24.75mil, as it eyes further expansion in its solar power investment business.

Chin Hin has signed a memorandum of understanding (MoU) with Atlantic Blue Sdn Bhd, Powertrack Sdn Bhd and Solarvest Energy Sdn Bhd to acquire a 45% stake in each of the solar power firms.

Chin Hin is positioning itself as a one-stop integrated building materials supplier, as it covers “roof-to-basement” construction needs.

In a reply to StarBizWeek, Chin Hin group managing director Chiau Haw Choon notes that its recent acquisitions will widen its in-house manufactured products and strengthen its market position as integrated building materials provider.

“(The) solar power business is part of our group’s income stream. The proposed acquisition will enhance the group’s solar income.

“We have to ensure all business units are on track and contributing positive results before thinking of our next acquisitions. We do not foresee any more new major acquisitions to happen this year.

“The market may perceive us to be a bit aggressive but we adopt a very cautious and prudent approach,” says Chiau.

One of the three solar power companies, Atlantic Blue controls approximately 10% of the market share of solar projects in Malaysia, by way of mounting over 30 megawatts of solar panels on rooftops for residential and industrial buildings across the country.

It is also a strategic partner of ET Solar, a global engineering, procurement and construction provider of smart solar energy solutions for large-scale solar opportunities in South-East Asia.

In a recent note, PublicInvest Research highlights that the global solar photovoltaic industry will see a growth of more than 60% from the current 303 gigawatts to 498 gigawatts by 2019.

“Renewable energy generation is a growing business, and it is a big business. Malaysia’s 500-megawatt quota under the new net metering scheme this year presents ample growth opportunities domestically,” says the research unit.

Add’s Chin Hin’s Chiau: “Currently we have 2.85 megawatt solar generating capacity that able to contribute about RM3mil in profit per year. With the proposed acquisition of the three target companies, our solar power segment shall be able to contribute up to RM7.5mil per year to our group’s earnings”.

The acquisitions of the three solar power companies will come with profit guarantees of RM10mil per annum for the next two years ending March 31, 2018 and 2019.

PublicInvest Research which issued an “outperform” call on Chin Hin, reckons the deal makes financial sense considering the earnings potential.

“The acquisitions implies a value of RM55mil for the three companies in question, and prices the acquisition at 5.5 times earnings multiple based on the profit guarantee and about 8.5 times historical earnings, not expensive in our view,” it says.

Moving forward, Chin Hin does not foresee any significant increase in its capital expenditure, as the firm indicates that there will be no major acquisitions for the year. A total of RM40mil has been allocated for capital expenditure this year, to buttress the company’s further expansion.

Commenting on the possibility of Chin Hin diversifying into the rebuilt commercial vehicle segment following the emergence of Chin Hin’s founder and deputy executive chairman Datuk Seri Chiau Beng Teik as Boon Koon Group Bhd’s substantial shareholder few months ago, Chin Hin dismissed any plans to venture into the segment.

“We do not have any intention to inject Boon Koon’s business into Chin Hin Group. Building materials still remains the core business for Chin Hin Group,” says Chiau.

Beng Teik controls a 24.18% stake in the loss-making rebuilt commercial vehicle manufacturer Boon Koon.

Strong financial performance

The building materials manufacturer which is labeled as one of the hidden small cap gems on Bursa Malaysia by RHB Research, has seen its share price rallying since beginning of the year.

Year to date, Chin Hin’s share price is up by approximately 50% at RM1.29 at press time. To note, its share price reached a record high of RM1.47 in May this year.

The conglomerate has a market capitalisation of about RM652.6mil and a price-to-earnings ratio of 16.12 times. Beng Teik is the largest shareholder in Chin Hin as he controls 66.3% of equity in the firm directly and via Divine Inventions Sdn Bhd.

For the financial year ended Dec 31, 2016 (FY16), Chin Hin posted revenue and net profit of RM1.06bil and RM44.8mil respectively.

The firm’s gross profit margin hovered around 9.3% as at end-2016.

Chin Hin which is currently in a net debt position of RM316.94mil, plans to pare down its debt level going forward. As at end-2016, its current gearing ratio stood at 1 times.

“We target to pare down our bank borrowings by RM23.6mil through the proceeds from our proposed private placement. Our ideal gross gearing ratio is below 0.8 times,” says Chiau.

In order to pare down its bank borrowings and expand capacity, Chin Hin plans to raise about RM61.21mil via a private placement of 10% its share capital. The corporate exercise is anticipated to be completed by the third quarter of this year.

For the rest of the year, Chin Hin remains cautiously optimistic on its financial performance in consideration of the challenging business environment.

“Our precast concrete’s production capacity has been increased to 300,000 metric tonnes in 2017 and now our next focus is to ramp up the capacity to cater for full range of precast concrete products especially after the acquisition of MI Polymer.

“With regard to our order book, currently we have an order book value of about RM240mil, mainly contributed by our manufacturing segment which will keep us busy over the next 18 months,” adds Chiau.

 

TAGS / KEYWORDS:
Property , Earnings , Chin Hin

Read more at http://www.thestar.com.my/business/business-news/2017/07/08/chin-hin-on-buying-spree/#OI4YGY4vcdKerbOc.99