Despite the global market equity shock last week, there are a few company which had stood strong, and became even stronger. If you still did not know which is the one stock that had been so strong despite the volatile sentiment, then I have to tell you that this stock is called Kretam Holdings Berhad.
While the CPO market had not went back to it's peak booming season, what is the real reason for Kretam share price to be shooting upwards, especially when there are no strong leads from the CPO market.
I had to tell you that Kretam rise is nothing to do with plantation booming, or CPO boom. But it has everything thing to do with the land that they are sitting at the region of Sandakan and Lahad Datu (Eastern Sabah)
To recap, the major development that is spanning across Sarawak and Sabah will be the Pan Borneo highway that had been in talks several years ago. As packages start to dish out in phases, packages at Sabah had yet to see any progress, but not until 2018, which is this year.
According to the picture taken from Sabah Pan Borneo site, it is noted that the road highlighted in green will be an expansion, which will see 2 carriage way with 2 lanes. However, the Pink Color will be a newly built road.
As circled in red, this Pink Color portion of the proposed newly built road in Sadakan / Lahad Datu area will have to pass through a plantation land. And that plantation land will be owned by Kretam, as all of Kretam plantation land is at Sandakan and Lahad Datu area.
As you can see Kretam share price is on the rise now. While there is no official news in the media yet, you can assume this as a piece of rumor for now, because I am no official media.
Kretam share price has risen significantly for now. Where will be the true value of Kretam for the land disposal? When will the news come out? For this I had no idea, but if you plan to trade on Kretam, do trade wisely.
Cheers and have a happy holiday in advance. For those celebrating Chinese New Year, wishing you Gong Xi Fa Cai.
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