Today I Discovered Really Bullish DRB's Deep Value Hidden Secrets!!
I am so happy to share this Fantastic Discovery Regarding Bullish DRB!!
Why so happy?
Look at this report!
DRB-HICOM BERHAD (“DRB-HICOM” OR “COMPANY”) PROPOSED DISPOSAL OF 90% EQUITY INTEREST IN CORWIN HOLDING PTE LTD (“CORWIN”) BY HICOM MEGAH SDN BHD (“HICOM MEGAH”) (“PROPOSED DISPOSAL”)
Further to our announcements dated 3 August 2016 and 22 September 2016 in relation to the above, DRB-HICOM wishes to announce that the Proposed Disposal has been completed today. Accordingly, Corwin has ceased to be an indirect 90% owned subsidiary company of DRB-HICOM. This announcement is dated 15 November 2016
I searched deeper to the original cost and the final selling price of DRB's Asset in Spore
7. ORIGINAL COST OF INVESTMENT AND DATE OF INVESTMENT
HICOM Megah’s total investment in Corwin from 1997 until 2016 is approximately RM224.938 million.
8. UTILISATION OF PROCEEDS FROM THE PROPOSED DISPOSAL
Assuming that the Consideration is SGD189.75 million, HICOM Megah’s share of the sales proceeds is SGD170.775 million. After deducting the estimated expenses to be borne by HICOM Megah in relation to the Proposed Disposal of approximately SGD2.943 million, HICOM Megah’s share of net sale proceeds is approximately SGD167.832 million (equivalent to approximately RM510.142 million based on the exchange rate of SGD1: RM3.0396 as at 20 September 2016 [Source: Bank Negara Malaysia]) will be utilized for working capital requirements of the DRB-HICOM Group within 12 months from the Completion Date.
DRB's original investment cost was Rm224.938 million
Final net selling price is Rm510.142 million
What is the profit in percentage?
510.142 mil divides by 224.938 = WOW! 126.7% Profit just from One Asset Disposal!!
Total sales proceed of over half a billion ringgit will be used to pare down borrowings.
My interest was aroused by this one fantastic profit so I went to check up on DRB's Properties (Refer to Annual Report 2015)
There are many properties but I noticed this one I am familiar with. It is located in Tebrau, Johor.
2 PTD 176399 to 176523, 176536 to 177094, 177101, 177108, 177109, 177114, 177115, 177127, 177137, 177138, 177637, 177638, 177143 to 177328 and 177340 to 177630
Mukim Tebrau Daerah Johor Bahru Johor Darul Ta’zim
Land held for residential and commercial development. – Freehold 2,366,953 sq.m (Land) Rm471,322,000
Whoa! Many pieces of Lands in Tebrau (Tebrau is a popular location in Johor where South Key MegaMall, Ikea, AEON Tebrau City are also located)
Let's calculate DRB's land value in Johor
Freehold land 2,366,953 sq m
To convert from sq meter to sq ft multiply by 10.763
So 2,366,953 x 10.763 = 25,475,515.13 sq ft
WOW! That's over 25 million sq ft of what lands?
"Land held for residential and commercial development"
YIPPEE!!! RESIDENTIAL LANDS
HOORAY! COMMERCIAL LANDS
NOW SURE KAYA LEOW!!!
Now let's SEE what is the holding cost
So Rm471,322,000 divides by 25,475,515.13 = Rm18.50 psf
WOW! RM18.50 psf for Residential & Commercial Lands in Tebrau. And Freehold, too!
What is the current market value of Lands in Mukim Tebrau, Johor
Simple: Just Key in these words - Tebrau, Johor Land For Sale & Google
3 Pieces came out!
Hmmm? Let's SEE!
2 pieces above
One for rental by Patricia for rental at Rm0.04 psf
Look at the one for sale by David Lau. Price is Rm66 psf
Mr. Wong is selling this piece for Rm84.29 psf
50 Acre Commercial Land. Tebrau. Johore Bharu
~ Asking RM240/sqft (nego) RM 10454400/acre
~ Call For More Information.
- -for viewing Pls call CK MA Show contact number Juste Land
-Owner welcome for listing E(3)0205
Prices of Tebrau Lands are Advertised for Rm66 to Rm240 psf
DRB Net Book Value For Its Residential/Commercial a very low Rm18.50 psf
DRB LANDS SHOULD BE AT LEAST 250% to 1,200% MORE!!!
THIS TIME REALLY KAYA LEOW!!!!
ONE MORE ASTOUNDING REVELATION
POS OFFICE LANDS ARE SITTING ON GOLD MINES
POS OFFICE HAS A 200 YEAR HISTORY IN MALAYSIA!!
SO THE POS OFFICE IS SITTING ON SOME OF THE VERY FINEST LANDS IN MALAYSIA
EVERY PIECE IS A GOLD MINE!!
NO WONDER DRB HAS GRABBED 53.5% OF POS SHARES!
YOU BETTER DON'T MISS DRB!
Best Wishes & Warm Regards
HIP HIP HOORAY!!!!