Naim was listed on KL Stock Exchange on
13th Sep. 2003 and closed at 1.84 , on 1st day of listing, with a market
cap. of RM 460 m.
At today's price of 0.99 sen, Naim's current market cap. is only RM 495 m, based on 500 m share cap.
After 16 yrs of listing, Naim's market cap. has increased only 7.6%, even though NTA is now 2.62 compared to 1.52 in 2003.
Its O&G & Construction business
segment are performing well and expected to contribute increased revenue
& bumper profits in the coming Qtrs.
The property business segment downturn has also bottom and rebounded in the latest Qtr, to contribute RM 2 m profits.
NAIM is also viewed as a favoured proxy to Sarawak's infrastructure , O&G & state elections play.
Thus , the future prospects for NAIM looks very promising from the business aspects.
Based on the latest Qtr results, of 7.25
sen with total 9 mth eps of 9.6 sen , Naim deserve a much higher price
range, way above rm1.
The market has made many attempts to
rerate Naim's price but its attempted rally could not sustain due to
subsequent sell downs which pushed its price below rm1 ( as many as 25
times this yr !)
What could be a rational explanation for this ?
Analysis of Share Holdings 29 Mar 2019 (31 Mar 2018)
% of issued Capital less than 1001 0.12% 0.23%
1001-10,000 3.10% 5.00%
10,001-100,000 9.14% 13.28%
100001-25037165 33.75% 41.03% (less than 5% of issue capital)
25,037166 n above 53.89% 40.46% (5% n above of issue capital)
A review of the share holdings show that the 4 majority shareholders now own a whooping 53.89% compared to 40.46% last year.
All other group of shareholders has reduced holdings compared to last year.
So, it is pertinent to ask, " Are the majority shareholders planning to privatise NAIM ? "
That would make sense to NAIM's underperforming price this year, wouldnt it ?
Would it be rewarding for small investors to hold onto NAIM's shares in case the potential privatisation play become a reality ?
https://klse.i3investor.com/blogs/TEMP/241464.jsp
Happy Investing..
p/s writer is invested in Naim
