Hi to all fellow investors and traders !
Today I would like to share my thoughts the following counter:
IMPIANA HOTELS BERHAD or IMPIANA (Code 7243, MAIN Market, Consumer
Products & Services)
Some basic info on this company:
i. Number of shares float : 845.74 million
ii. Market Cap : RM 84.57 million
iii. Last closing price : 10 cents
iv. Website : https://www.impiana.com.my/
IMPIANA - PKPP END SOON?? THIS TOURISM STOCK LINKED
(INDIRECTLY) TO PERAK ROYALTY IS MY TOP WATCH !!!
1. Chairman of IMPIANA, Dato' Seri Ismail @ Farouk Bin Abdullah, is The Husband of (Daulat Tuanku) YTM
Raja Dato' Seri Eleena Binti Almarhum Sultan Azlan Muhibbuddin Shah Al-Maghfur-lah
Below the picture of couple, source from : http://warisanpermaisuri.blogspot.com/2013/07/raja-eleenawanita-melayu-terkaya.html
A brief profile of the Chairman:
His shareholdings in IMPIANA totals to 70.27% (Direct 17.05%, Indirect 53.22%), as of latest Annual Report available :
A brief profile of the Chairman's wife (the Sister of current Perak Sultan, & also Board Member of GAMUDA Berhad):
So as you can see, there is not much public float left for IMPIANA as the Chairman himself holds a very significant chunk of the total float.
As the RMCO is planned until 31st August 2020 (we don't know yet whether it will be extended or not), I believe that local tourists volume are improving as they start to check-in into our local hotels. Also, once the global Covid19 situation improves and foreign tourists are allowed to travel again, we shall see spike in tourism activities once again.
2. Trading At Big Discount To Its NTA of 53 Cents
Refer below latest QR summary for IMPIANA. As we can see the total NTA stood at 53.1c in the latest QR. Therefore, the current trading price of 10c, is way below its NTA by 43.1c.
This represents a discount of 81% to the total NTA, which is considered at undervalued price right now.
3. IMPIANA To Diversify Into Property Development - First Maiden Development Is IMPIANA
Refer below news article, recently on 12th August 2020, where IMPIANA mentioned that the ongoing redevelopment of IMPIANA Residences Cherating by its wholly owned subsidiary, IMPIANA Cherating Sdn Bhd, has been identified as the group/s maiden venture into property development.
The Board expects the property development business to contribute 25% or more of the group's net profit and as such, intends to seek the approval of IMPIANA shareholders to undertake the proposed diversification.
The redevelopment of IMPIANA Residences Cherating is expected to be undertaken over three phases, of which the first phase commenced in October 2018 and the third phaes expected to be completed in the fourth quarter of 2023.
IMPIANA also said the diversification would complement the group's existing businesses of management and operation of hotels and resorts.
4. Technical Analysis - Bankers chips increasing position in 60m & daily chart, uptrend resume
after hitting support line
Let's take a look at the 60 minutes chart of IMPIANA using Homily software:
A few observations:
i. Refer Circle 1, recently, price faced some retracement towards the support line, and started to rebound before hitting the support
ii. Refer Circle 2, bankers chips seems to be increasing position whilst weak holders have been flushed out
iii. Refer Circle 3, the uptrend seems to be accompanied by improving volumes, which indicates strength
Let's take a look at the daily chart of IMPIANA using Homily software:
A few observations:
i. Refer Circle 1, bankers chips are slowly increasing position in this counter, with recently position being added upwards again, whilst weak holders are being flushed out
ii. Refer Circle 2, the recently uptrend was supported by improving volumes, which indicate strength
iii. Refer Circle 3, the price seems to be surfing the support trendline, with recent price action trending towards the upside as the price rose above the pink trendline
Based on my opinion, IMPIANA should be given attention in coming weeks, based on below:
i. Chairman holds 70% stake in IMPIANA, who is also the husband of Sultan Perak Sister
ii. Trading at 81% discount to NTA of 53.1c
iii. To diversify earnings via property development, with maiden project IMPIANA Residences Cherating
iv. Chart indicating long term shareholders, are holding on to expect higher prices in future
Thanks for reading and see you in the next post.
THE ABOVE IS NOT A BUY OR SELL CALL AND IS ONLY A PERSONAL OPINION ARTICLE AS A SHARING TO BSKL COMMUNITY MEMBERS.