The press reported the Bandar Malaysia Cheque Presentation Ceremony at Le Meridian tonight.
So what's the big deal many would think?
Firstly, the attendees include Menteri Besar Johor, Minister of Finance and Bai Tian, the ambassador of China in Malaysia. The significance of Bai Tian means both China and Malaysia government already 'kao dim' or iron out the details just like Bai Tian was there when Geely seal the deal with DRB for Proton. So a Government to Government initiative with backing from China loans means there is no stopping Bandar Malaysia now. Many have been concern about Malaysia's lack of funding but with China's loan life line, 'ini kali la'
Secondly, Ekovest is in talks to buy a 40% stake in the JV co to develop Bandar Malaysia. This means Ekovest more than IWCITY is the prime beneficiary enjoying immediate development earnings and also construction earnings when parcels of the project are disbursed out.
Lastly, brokers in town use to value Ekovest with price targets >RM1.00 before the change to PH government brought the project to a halt. With the resumption of Bandar Malaysia, we can expect brokers to once again increase their price targets to above RM1.00.
At the point of writing of 11.20am, volume traded is 129m shares with strong collection seen. I believe the many fund managers who will be in attendance at tonight's events are slowly collecting. So now is the time to load on Ekovest with your cost at around the same levels as the big funds. Switch out of IWCITY into Ekovest as the prime beneficiary of Bandar Malaysia.