SHAREWALKER RANCH

Recently,  the National Fiberisation and Connectivity Plan (NFCP) was proposed by the Ministry of Communications and Multimedia, with the Cabinet approving the plan to improve nationwide connectivity. T he NFCP will require an investment of RM21.6 billion over 5 years (2019-2023). Between RM10 billion to RM11 billion will be provisioned from the Universal Service Provision (USP) Fund, and the rest will be funded commercially .   This lead to speculation that certain IT companies would be involved and benefit from this massive project. One of them is Opcom, an ace market stock controlled by Mukhriz Mahatir, the son of our Prime Minister. This adds to the excitement of the counter.   Opcom Holdings Bhd is a Malaysian based investment holding company engaged in the manufacturing of fiber optic cables and cable-related products. The business activity of the group is functioned through Manufacturing, Trading and Engineering Services, and Other Operations segment s. It...

When Bandar Malaysia was announced that it will be continued in April 2019, the construction industry heaved a sign of relief as this will keep up the construction activities in the country and provide the necessary jobs and multiplier effect in the sector.   Retailers chased the related stocks such as Ekovest and IWC amidst this excitement but alas there wasno follow up to the deposit placed by the IWC-CREC JV. The follow up was supposed to be executed in the next 60 days. Months later, the remaining payment was not paid. Worse of all, to date there is news coming from the Ministry of Finance on this matter.   The Ministry seems nonchalant about keepiing the rakyat updated on this Project.   The newspapers were also not inquisitive enough to probed into the matter. Except for a few chinese newspapers which are highly unreliable, there absolutely silent on the massive project.   Is the project going to go through?   The share price has been...

The favourite oil and gas stock these days seems to be Bumi Armada. As it spring to life from the ashes of corporate debt disease, retailers rejoiced over the good news upon good news from the price of 19 cents to 35.5 cents. From the better quarter results to the sale of FSPO Perdana and heightened by Arab Oil Facilities attack, the goods news have been forthcoming.   From the technical analysis point of view, the price next resting point is at 50 cents but the question is when will it reached there?   The balance sheet has not changed drastically but it sure seems the rock bottom days are gone. The next catalyst would the reclassification of RM1.5 billion short term debt to long term and the FSPO Claire lawsuit with the results realistically expected in 1 st  half 2020.   But let examine the 3 rd  Quarter results, a rough guestimate of the results to be released in November 2019.   3 rd  quarter profit estimated as per 2 nd  qua...

The lack of catalyst in the construction Industry has resulted in the sell down of construction stocks which has hit rock bottom bringing about attractive valuations. The main catalyst the revival of Bandar Malaysia has failed to materialized so far with no news of an extension or a cancellation. The announcement of the revival in April 2019 has brought temporary euphoria to the construction sector as the mammoth project is expected to produce economic multiplier effect to the industry and indirectly the overall economy. It has exceeded the 3 months deadline for the payment of the remainder sum and signing of an actual agreement. We wait patiently for the further development from the Ministry of Finance.   In the meantime, there is value to be found in certain construction stocks. One of them is Inta Bina Group Bhd.   Inta Bina Group Bhd is a construction company  on the main board . It builds various types of buildings including residential, commercial, industri...

There has been a lot of controversy about this counter Ecobuilt previously known as Mmode mainly because this counter bought over another construction company namely Rexallent Assets (RCSB) for a whopping 45 million ringgit. Understandably this company only has net assets worth 4.5 million! This corporate exercise is expected to complete by 30 September 2019 The question arises why the huge amount of premium paid for the RCSB and the end results entails a takeover by the owners of RCSB being the majority shareholders. Who are the future shareholders? The two future major shareholders are Chan Moy and Tan Chuan Cheong. Chan Moy is the mother of Chan Peng Kooh. These two individuals are personalities has been linked with selling of land to Titijaya for development namely the Shore in Kota Kinabalu and 3rd Avenue in Kuala Lumpur. Note that Chan Peng Koh sold the 3rd Avenue land to JV partners Titijaya - CREC hence a possible CREC connection for future business ventures especially when ...