MPHBCAP (5237) - KUCHAI & MPHBCAP PRICE SPIKED DUE TO CASH PAYOUT FROM INSURANCE! (Calvin Tan Research)



Dear Friends & Fellow Investors of i3 Forum,
Last Friday at the News of CASH WINDFALL FROM INSURANCE LISTING OF GREAT EASTERN LIFE KUCHAI SHARE WENT LIMIT UP!!
 
See
 
Star Headlines Reports

Kuchai shares rise in anticipation of Great 

Eastern listing

 
"When the listing happens, the anticipation is for GEH to declare a bumper dividend, which would benefit Kuchai"
 

 

TheEdge also reports:

Kuchai hits limit up

TheEdgeFri, Jan 12, 2018 - 1 day ago

 

KUALA LUMPUR (Jan 12): Kuchai Development Bhd shares rose as much as 52 sen or 30% to hit limit up on expectation the company will reap dividends from Singapore-listed Great Eastern Holdings Ltd's potential move to list its Malaysian insurance arm.
Kuchai holds shares in Great Eastern Holdings, which owns Great Eastern Life Assurance (M) Bhd. In Malaysia, news reports indicate Bank Negara Malaysia requires foreign insurers to cut their stakes in their Malaysian units to ensure Malaysian shareholders own at least 30% in the Malaysian entities.
At Bursa Malaysia, Kuchai shares settled at their highest so far today at RM2.28 at 12:30pm, with some four million shares exchanged. Kuchai was the third-largest gainer across Bursa Malaysia.
According to Kuchai's latest annual report, its quoted equity investments include companies listed on Bursa Malaysia and Singapore Exchange. "For financial [year] ended 30 June 2017, the    bulk of quoted equity securities on    the basis of market valuation comprised Great Eastern Holdings Ltd and Singapore Press Holdings Ltd."
 
Calvin comments:
So that's the mean reason for Kuchai to go LIMIT UP!!!
An expectation for Kuchai to get a bumper dividend from Kuchai due to Great Eastern Life being FLUSHED WITH CASH!!
 
 
 

 
We can understand why Kuchai Price Spiked. Because of Great Eastern Life!
 
But why should MPHBCAPITAL also jumped in Price?
 
 

 
THE ANSWER COULD BE DUE TO THESE 3 FACTORS:
 
1) MPHBCAPITAL SHAREHOLDERS ALSO EXPECT A BUMPER DIVIDEND FROM THE SALE OF ITS INSURANCE BUSINESS
See comments from fellow forumers in Mphbcap tread
 
Posted by gstlee > Dec 18, 2014 09:45 PM Report Abuse 
Generali has entered into an agreement with Multi-Purpose Capital Holdings Berhad, a wholly owned subsidiary of the Malaysian group headed by MPHB Capital,to acquire a 49% stake in its P&C insurance subsidiary, Multi-Purpose Insurans Berhad (MPIB), for a consideration of €81.4m (MYR355.8m).

http://www.ftseglobalmarkets.com/news/generali-buys-49-of-mpib-enters-..." style="text-decoration-line: none; color: rgb(0, 102, 170);" target="_blank">http://www.ftseglobalmarkets.com/news/generali-buys-49-of-mpib-enters-...
 
 Posted by UFOisREAL > Dec 18, 2014 09:48 PM Report Abuse 
you guy are rich tomorow,spike spike spike up
 
Posted by vinc3362 > Dec 19, 2014 07:08 AM Report Abuse 
At RM355 million for 49% stake, they are valuing the insurance business at RM 724 million. Which works out to RM 1.01 per MPHB share.

At PBV of 2.45 , the book value of the insurance business is RM0.4145 per MPHB share.
 
Calvin comments (continue...)
So the sale of Generali could garner a Rm1.01 Cash Payout from Mphbcap just like Kuchai 's going to do with Great Eastern Life.
 
2) Now Bank Negara has mandated that Foreign Insurance Company cannot hold 100% Insurance in Malaysia. It should only hold 70%. 
KUALA LUMPUR, June 23 (Reuters) - Malaysia’s central bank has asked foreign insurers to raise the proportion of local shareholders in their firms to at least 30 percent, under an initiative to lift domestic participation in the industry, people familiar with the matter said on Friday.
Bank Negara Malaysia last week sent letters to such wholly owned insurers requesting their foreign parents to reduce their stakes in line with regulation for domestically incorporated insurers, two people said. Recipients included the Malaysian units of Japan’s Tokio Marine Holdings Inc and Hong Kong’s AIA Group Ltd, one of the people said.
The deadline to comply is June 2018, said one of the people, without elaborating on the consequences of non-compliance.
So the dateline is until June 2018
Are we now seeing an Insurance Theme Play Stock Bull Run in Kuchai & MphbCapital.
 
3) AGAIN THE QUESTION IS: WHY MPHBCAP SHARE PRICE ALSO SPIKED AT THE SAME TIME WITH KUCHAI SINCE THERE IS NO VISIBLE NEWS ABOUT GENERALI INSUANCE?
 
Calvin Tan Research has uncovered THE SECRET?:
 
GREAT EASTERN LIFE IS AMONG TOP 30 SHARE HOLDERS OF MPHBCAPITAL!
 
 
 
Refer  MPHBCAP (Annual Report 2016 for  Top 30 Holders)
 
At Top No. 14
Great Eastern Life holds 9,500,750 shares of Mphbcapital
 
At Top 28
Great Eastern Life Assurance holds 2,150,950 shares of Mphbcapital
 
At Top 30
Great Eastern Life Assurance holds 1,993,800 shares of Mphbcapital
 

NOW THE QUESTION IS: WILL GREAT EASTERN LIFE BUY OVER GENERALI FROM MPHBCAPITAL?
AND WILL MPHBCAPITAL GIVE A RM1.00 CASH PAYOUT TO SHAREHOLDERS?
 
ALL THESE AND MORE JUICY NEWS WILL UNFOLD MONTH BY MONTH AS THE MANDATE UNTIL JUNE 2018 UNFOLDS
 
Please buy or sell after you have done your own due diligence
 
Best Regards
Calvin Tan Research

http://klse.i3investor.com/blogs/www.eaglevisioninvest.com/144188.jsp