(NOW SHOWING : THE TRILOGY OF FAST & FURIOUS SHOW )
Part 4 D
4 D - meaning " D" = Dynamic "
ANCOM/4758 & NYLEX / 4944
with special highlight in rubber gloves stocks + inter related healthcare stock
ADVENTA / 7191 = Dynamic
As the World Health Organization (WHO) announced Covid-19 outbreak as a pandemic,
glove stocks naturally became attractive to KLSE investors,
new waves of Covid 19 with increase in frightening intensity , it alarms the world population ,
the glove stocks in Malaysia ,are now, in April 2021 beginning on a " fresh relook "
by the new investors and pouring fresh funds into the gloves stocks especially in the second tiers
(Careplus /0163 ;
Rubberex Corporation /7803 ),
the first tier ( Supermax/7106 )
and inter related healthcare stocks ,
( Adventa /7191 )-- this SUPER STOCK
( 7 April 2021 /closed RM 0.815 ;
have greatly recovered among the others, its peers
to 30 April 2021 / closed RM 2.26 ;
with 15 trading days , resulted with huge gain -RM1.45
such an amazing RECOVERY STOCK FOR APRIL 2021 and also coming May 2021
with a short period of 15 trading days AND MORE ROOM TO COME ,
AS ADVENTA HAS MORE AGILE LEGS ,
after a short rest of one day thru WORKER DAY (1 May 2021 ).
WILL ADVENTA RECOVER TO THE OLD HIGH /RM 5.18 created in 5 August 2020 and surpass the old high
as the longer term investors envisaged the higher prices , can come into full realization .
ADVENTA is of similar business of inter related products of health care in the group ,
but ADVENTA is hand picked by the new investors and they opt out and settle their choice .
TARGET PRICES for Adventa / 7191
SHORT TERM : RM 3.30
MID TERM : RM 5.75
AND WITH THE RECENT REPORT DATED 26 APRIL 2021
New Coronavirus Waves Sweep Through Asia
Followed by healthcare related equipment such as face masks, PPE, hospital beds and inter-related medical equipment and finally the most offensive product is Sanitizers.
Countries in Southeast Asia - especially Cambodia and Thailand - have also seen more new cases than usual.
New infections remained at stable levels in Indonesia and Singapore while slightly rising again in South Korea.
SEE_Research - new report with details on the following corporate exercise by ANCOM & NYLEX
Ancom is undergoing a major corporate consolidation exercise to house its 2 major business divisions,
Own 51% Nylex listed company (with business)
Own 51% Nylex listed company (without business)
+ 100% of all Nylex business under Ancom
(Note: NOT buying over Nylex shares, only assets and liabilities of Nylex)
NYLEX / 4944
What will the Nylex minority obtain ?
▪️Nylex shares still remain
▪️ rewards in cash in RM ***** ( + plus )* ✅ rewards in Ancom shares
Be part of an enlarged chemical group that owns both
Industrial Chemicals business +
In simple terms , as mentioned in the company statement in this acquisition, for an existing shareholder of Nylex ,
• About RM 0.3926 in cash per share.
• Rewards with Ancom share , in finalisation
Why there is such need to have this corporate consolidation exercise
Nylex was loss-making the past 2 years, but petrochemical prices have progressively recovered and
Nylex is poised to take advantage with the positive uptrend in increasing revenues, with profits in turning around
(similar to doing private placements exercises )
to consolidate 100% profit of Nylex
Petrochemical business is on the uptrend, as clearly is evident in the recent results of petrochemical industry players
L C Titan, others)
Ancom to have a record year, for profit return - this FY21
(only consolidation 51% of Nylex profit).
The coming year to be even better, exciting in profit growth
(consolidation of 100% of Nylex profit).
SEE RESEARCH TARGET PRICES
RM 1.50 short term,
RM 2.00 mid term==============================
Journey to 1 ,000,000,000.00 / 1 billion RINGGIT MALAYSIAN -- market capitalisation
50 million PATAMI,( profit after tax and minority interests ) 20x P/E
1Billion- RM , market cap
[ 20x P/E is very conservative ; as Hextar Global Berhad /5151-- (is assigned a 30x P/E by Public Bank- Research )
DETAILS SHOWING THE CALCULATIONS
40m PAT from Agrochemical business
20m PAT from Industrial & Petrochemical business
minus (10m) Corporate costs
= 50m PAT
(i) Current Ancom share base = 250m
(ii) ESOS = 20m
(iii) Issuance to Nylex minority = 30m
(iv)Total Ancom shares (post consolidation exercise )
1B market cap/300m shares =
SEE RESEARCH TARGET PRICES
RM3.30 per share- mid term
RM 2.50 per share- short term,
ANCOM transforms into one of the LARGEST and PROFITABLE flagship integrated chemical group in Malaysia
(CCM 2.0 )
With this corporate consolidation exercise,
ANCOM will be on another step closer in realising its BILLION RINGGIT market cap target.
will be a TWIN GEMS in the near future
Manufacturer of ethanol is FERMPRO wholly owned subsidiary of NYLEX.
The above picture showing the full client list of Entopest Environmental Services Sdn Bhd / subsidiary of Ancom Bhd
(official qualified licensed fumigator, a legal recognition awarded by the Malaysian - Ministry of Agriculture Awards the license upon the completion of intensive course on all aspects of fumigation requirements by the Ministry of Health.
Credentials - wide spectrum of clients (Tier One Clients) from:
i. Hypermarkets - Tesco, AEON, MYDIN, Giant.
ii. Banks - Maybank.
iii. Universities - Taylor's University, UPM, Garden International School.
iv. Corporate offices - Amway, Goodyear, KLK Oleo, Gamuda, Sunway, Gas Malaysia.
v. Hotels - Le Meriden, Renaissance Hotel, Grand Hyatt, The Mines Hotel.
vi. Restaurant Chains - Texas Chicken, Old Town, Secret Recipe.
vii. Logistics/Warehouses - TASCO/NYK Nippon Yusen Kaisha Group, Sanyku Group Japan.
viii. Medical & Healthcare - Ministry of Health Malaysia, Gleneagles Hospital, Caring, Guardian.
The above picture shows
Entopest is offering full sanitizing services that are compliant to the US FDA regulations for industrial and commercial usage that are highly effective against
The above picture shows a snapshot from one of Petronas stations in Malaysia.
In fact, all Petronas station toilets have
Entopest Hygiene sanitizing facilities.
In short, it caters for all segments of market - from domestic to commercial uses.
The Specific Answer: ANCOM/4758 & NYLEX/4944
FOR NYLEX :
RM 1.50 short term,
RM 2.00 mid term
RM 2.50 short term,
RM 3.30 mid term
1. Ancom Berhad - is the holding company of Nylex (Malaysia). Berhad and Ancom Logistics Berhad, both are listed on the Bursa Malaysia Securities Berhad Main Board and ACE Market respectively.
2. Entopest Environmental Services Sdn Bhd (wholly-owned subsidiary of Ancom Berhad).
3. Fermpro Sdn Bhd (subsidiary of Nylex Berhad) Nylex Malaysia Berhad.
Thanks for reading and see you in the next post.
DISCLAIMER:IT IS NOT A BUY OR SELL CALL AND IS ONLY A PERSONAL OPINION, WRITTEN AS ARTICLE FOR SHARING PURPOSES TO KLSE COMMUNITY MEMBERS.
Investment involves risks, including possible loss of investment and other losses.
This article and charts are provided for information only and should not be construed as a solicitation to buy or sell any of the instruments mentioned herein.
The author may have positions in some of these instruments. The author shall not be responsible for any losses or profits resulting from investment decisions based on the use of the information contained herein. If investments and other professional advice is required, the services of a licensed professional person should be sought.
ISSUED BY SEE RESEARCH
(SENSING EAGLE EYES RESEARCH)