Shion
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COSCO Shipping International *Official* (SGX: F83)
- Thread starter Hoo8899
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Jupiter2017
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The old thread seems really historical.
A fresh thread may be luckier .....'It expects to leverage its holding company China Cosco's existing logistics business platform to potentially develop new business opportunities in the logistics sector in South-east Asia, taking advantage of the "Belt and Road Initiative".'
Jupiter2017
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http://www.businesstimes.com.sg/companies-markets/cogent-minorities-unhappy-with-coscos-offer
Tue, Nov 07, 2017 - 5:50 AM
Cogent minorities unhappy with Cosco's offer
10 minority owners deem the S$1.02 apiece buyout offer 'too low' and 'unfair', and might set precedent for other companies to follow
COSCO Shipping International's S$488 million cash takeover bid for Cogent Holdings may seem more or less "in the bag" as it can count on the backing of four major shareholders - they collectively own just over 84 per cent of Cogent - but it has not gone down well with a group of minority shareholders who feel they deserve more.
In a protest letter sent to Singapore's shareholder watchdog group and copied to the stock exchange regulator over the weekend, a minority shareholder of Cogent, Chong Khai Bin, deemed the offer as "unfair" and "too low", and feared it could set a precedent for other companies to follow.
When contacted by The Business Times, Mr Chong said he represents at least 10 unhappy minority owners who together own some three million Cogent shares.
Their main beef: The S$1.02 a piece price tag that Cosco is offering for the buyout of Cogent, which is comparatively lower than the recent buyout of Poh Tiong Choon Logistics (PTC Logistics), a company with similar business as Cogent which they view as "less dynamic" on a price-earnings multiple basis.
In September, PTC Logistics received a buyout offer from a private vehicle backed by the firm's chairman Poh Choon Ann at S$1.30 per share or 23 times price earnings multiples. On the other hand, Cosco's bid values Cogent at a 12-month trailing PE of nearly 15 times.
Below average
In the letter to the Securities Investors' Association of Singapore chief David Gerald, a copy of which was obtained by BT, Mr Chong pointed out that based on Cogent's annualised pre-tax profit of S$20.2 million for the first half year ended June and based on a PE of 20-25 times, shareholders should be paid S$1.89 per share on average. This also takes into consideration the earnings upside from the company's Jurong Island Chemical Logistics Facility (JICLF) which is coming onstream.
"We, the minority shareholders, feel that we have been greatly shortchanged by 87 Singapore cents (S$1.89 - S$1.02)... it's an "oppression of the minority," wrote Mr Chong.
"We fear this will set a precedent for other companies to follow. We are dismayed that Cosco firmly announced that it will not revise the buyout offer price and that the major shareholders, holding collectively 84.33 per cent of the company shares, have given irrevocable undertaking to accept the offer.
"As it is also announced that Cogent will be delisted, minority shareholders will be left high and dry with an unfair buyout price and no recourse."
Backing that view is Phillip Securities Research analyst Richard Leow who described Cosco's offer for Cogent as "uncompelling" in a note issued on Monday.
The offer for Cogent, he said, "does not adequately reflect the huge potential" from the JICLF project which could potentially double Cogent's warehousing capacity from the existing integrated logistics hub.
He expects profit margin at the new facility to be higher as it will be handling dangerous goods and the company to chalk up an over 40 per cent growth in net profit in FY19.
That coupled with China Cosco's plans for Cogent to be a regional logistics player, the future for Cogent now looks even brighter, he continued.
The deal however may be as good as done. Cosco has received irrevocable undertakings from four individuals - Cogent's executive chairman and his wife, the chief executive, and the managing director - who collectively hold 84.33 per cent of the company.
In other words, Cosco needs only 5.67 per cent acceptance to garner the 90 per cent required to compulsorily acquire all Cogent shares and delist the company.
"Becoming a subsidiary of Cosco is inevitable and delisting faces a low hurdle," surmised Mr Leow.
Cogent's stock jumped 2.5 Singapore cents or 2.5 per cent to finish at S$1.015 on Monday when it resumed trading following a halt last week pending the announcement.
Record high
Noteworthy is that back on Sept 20, the company had drawn a trading activity query from SGX when it had shot up by nearly 12 per cent or 10 Singapore cents over three trading days. Four trading days later, it would hit a record high of 99.5 Singapore cents.
For Cosco, which is turning over a "new leaf" after divesting its shipyard business earlier this year to parent China Cosco Shipping Corp, things may be more clear cut.
Describing the disposal as a bailout by Cosco's parent, DBS Research analyst Ho Pei Hwa said that post-transaction, Cosco will shift from being in net debt to sitting on a cash hoard of S$300 million, which bodes well for acquisition of new businesses.
Swooping in on Cogent adds to that promise.
"As a leading integrated logistic service provider with over 40 years track record, the acquisition of Cogent paves the way into a new core business, expanding parent's existing network in North Asia to South-east Asia, riding on government's One Belt One Road initiative," said Ms Ho, somewhat echoing Cosco's own rationale for the buyout.
But clearly, not everyone is pleased.
"It is really an unusual takeover," said Mr Chong.
Tue, Nov 07, 2017 - 5:50 AM
Cogent minorities unhappy with Cosco's offer
10 minority owners deem the S$1.02 apiece buyout offer 'too low' and 'unfair', and might set precedent for other companies to follow
COSCO Shipping International's S$488 million cash takeover bid for Cogent Holdings may seem more or less "in the bag" as it can count on the backing of four major shareholders - they collectively own just over 84 per cent of Cogent - but it has not gone down well with a group of minority shareholders who feel they deserve more.
In a protest letter sent to Singapore's shareholder watchdog group and copied to the stock exchange regulator over the weekend, a minority shareholder of Cogent, Chong Khai Bin, deemed the offer as "unfair" and "too low", and feared it could set a precedent for other companies to follow.
When contacted by The Business Times, Mr Chong said he represents at least 10 unhappy minority owners who together own some three million Cogent shares.
Their main beef: The S$1.02 a piece price tag that Cosco is offering for the buyout of Cogent, which is comparatively lower than the recent buyout of Poh Tiong Choon Logistics (PTC Logistics), a company with similar business as Cogent which they view as "less dynamic" on a price-earnings multiple basis.
In September, PTC Logistics received a buyout offer from a private vehicle backed by the firm's chairman Poh Choon Ann at S$1.30 per share or 23 times price earnings multiples. On the other hand, Cosco's bid values Cogent at a 12-month trailing PE of nearly 15 times.
Below average
In the letter to the Securities Investors' Association of Singapore chief David Gerald, a copy of which was obtained by BT, Mr Chong pointed out that based on Cogent's annualised pre-tax profit of S$20.2 million for the first half year ended June and based on a PE of 20-25 times, shareholders should be paid S$1.89 per share on average. This also takes into consideration the earnings upside from the company's Jurong Island Chemical Logistics Facility (JICLF) which is coming onstream.
"We, the minority shareholders, feel that we have been greatly shortchanged by 87 Singapore cents (S$1.89 - S$1.02)... it's an "oppression of the minority," wrote Mr Chong.
"We fear this will set a precedent for other companies to follow. We are dismayed that Cosco firmly announced that it will not revise the buyout offer price and that the major shareholders, holding collectively 84.33 per cent of the company shares, have given irrevocable undertaking to accept the offer.
"As it is also announced that Cogent will be delisted, minority shareholders will be left high and dry with an unfair buyout price and no recourse."
Backing that view is Phillip Securities Research analyst Richard Leow who described Cosco's offer for Cogent as "uncompelling" in a note issued on Monday.
The offer for Cogent, he said, "does not adequately reflect the huge potential" from the JICLF project which could potentially double Cogent's warehousing capacity from the existing integrated logistics hub.
He expects profit margin at the new facility to be higher as it will be handling dangerous goods and the company to chalk up an over 40 per cent growth in net profit in FY19.
That coupled with China Cosco's plans for Cogent to be a regional logistics player, the future for Cogent now looks even brighter, he continued.
The deal however may be as good as done. Cosco has received irrevocable undertakings from four individuals - Cogent's executive chairman and his wife, the chief executive, and the managing director - who collectively hold 84.33 per cent of the company.
In other words, Cosco needs only 5.67 per cent acceptance to garner the 90 per cent required to compulsorily acquire all Cogent shares and delist the company.
"Becoming a subsidiary of Cosco is inevitable and delisting faces a low hurdle," surmised Mr Leow.
Cogent's stock jumped 2.5 Singapore cents or 2.5 per cent to finish at S$1.015 on Monday when it resumed trading following a halt last week pending the announcement.
Record high
Noteworthy is that back on Sept 20, the company had drawn a trading activity query from SGX when it had shot up by nearly 12 per cent or 10 Singapore cents over three trading days. Four trading days later, it would hit a record high of 99.5 Singapore cents.
For Cosco, which is turning over a "new leaf" after divesting its shipyard business earlier this year to parent China Cosco Shipping Corp, things may be more clear cut.
Describing the disposal as a bailout by Cosco's parent, DBS Research analyst Ho Pei Hwa said that post-transaction, Cosco will shift from being in net debt to sitting on a cash hoard of S$300 million, which bodes well for acquisition of new businesses.
Swooping in on Cogent adds to that promise.
"As a leading integrated logistic service provider with over 40 years track record, the acquisition of Cogent paves the way into a new core business, expanding parent's existing network in North Asia to South-east Asia, riding on government's One Belt One Road initiative," said Ms Ho, somewhat echoing Cosco's own rationale for the buyout.
But clearly, not everyone is pleased.
"It is really an unusual takeover," said Mr Chong.
sunht
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Why COSCO price is rising? Thought will drop.
Last edited:
Jupiter2017
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http://www.businesstimes.com.sg/com...pping-rallies-13-alongside-yangzijiangs-gains
Hot stock: Cosco Shipping rallies 13% alongside Yangzijiang's gains
Fri, Nov 10, 2017 - 11:47 AM Andrea Soh sandrea@sph.com.sg
SHARES in Cosco Shipping International surged 13 per cent on Friday morning, as fellow Chinese shipbuilder Yangzijiang Shipbuilding (Holdings) gained on better-than-expected third-quarter earnings.
Cosco shares traded at 43 Singapore cents as at 11.11am, up 5 cents or 13.2 per cent, from its previous close. It has gained 43 per cent since it announced its takeover of Singapore-listed logistics firm Cogent Holdings a week earlier.
The gain on Friday morning could be due to Yangzijiang's rally, said CMC market analyst Margaret Yang.
"I guess because Yangzijiang has rallied so much this year, people are looking at Cosco for a catch-up play," she said, noting that Yangzijiang has outperformed Cosco throughout the year and is getting "more and more expensive".
"We will see, maybe later in the day there will be more announcements," she added.
Yangzijiang shares has jumped 4.5 per cent to S$1.635 on Friday morning, on a 208 per cent increase in its third-quarter earnings.
Others believe the sharp rise in Cosco shares could be due to continued play on its takeover bid for Cogent, transforming itself into a logistics business.
"Sometimes the fund managers won't come in so early," said a remisier. "After that they play it up, then sell it out."
Cosco on Nov 3 launched a S$488 million cash buyout of Cogent at S$1.02 a share. It also plans to buy Indonesian shipping logistics company PT Ocean Global for S$14 million, also in a cash deal.
These moves by one of the big China plays on the Singapore Exchange, announced separately on Friday alongside its third-quarter earnings, confirmed analysts' speculation that the logistics business could be Cosco's new focus.
In a note on Nov 6, DBS analyst Ho Pei Hwa said that the bail out offer by Cosco's parent in May 2017 leaves it with a cash hoard of S$300 million, instead of net debt.
"This bodes well for the acquisition of new businesses as it will be left with a mid-sized dry bulk fleet of four vessels, post disposal of the shipyards," she said.
An earlier-than-expected recovery in oil prices could catalyse and industry recovery, with Cosco securing more orders at attractive prices. Sharp improvements in productivity could also cause its share price to re-rate, she added.
Hot stock: Cosco Shipping rallies 13% alongside Yangzijiang's gains
Fri, Nov 10, 2017 - 11:47 AM Andrea Soh sandrea@sph.com.sg
SHARES in Cosco Shipping International surged 13 per cent on Friday morning, as fellow Chinese shipbuilder Yangzijiang Shipbuilding (Holdings) gained on better-than-expected third-quarter earnings.
Cosco shares traded at 43 Singapore cents as at 11.11am, up 5 cents or 13.2 per cent, from its previous close. It has gained 43 per cent since it announced its takeover of Singapore-listed logistics firm Cogent Holdings a week earlier.
The gain on Friday morning could be due to Yangzijiang's rally, said CMC market analyst Margaret Yang.
"I guess because Yangzijiang has rallied so much this year, people are looking at Cosco for a catch-up play," she said, noting that Yangzijiang has outperformed Cosco throughout the year and is getting "more and more expensive".
"We will see, maybe later in the day there will be more announcements," she added.
Yangzijiang shares has jumped 4.5 per cent to S$1.635 on Friday morning, on a 208 per cent increase in its third-quarter earnings.
Others believe the sharp rise in Cosco shares could be due to continued play on its takeover bid for Cogent, transforming itself into a logistics business.
"Sometimes the fund managers won't come in so early," said a remisier. "After that they play it up, then sell it out."
Cosco on Nov 3 launched a S$488 million cash buyout of Cogent at S$1.02 a share. It also plans to buy Indonesian shipping logistics company PT Ocean Global for S$14 million, also in a cash deal.
These moves by one of the big China plays on the Singapore Exchange, announced separately on Friday alongside its third-quarter earnings, confirmed analysts' speculation that the logistics business could be Cosco's new focus.
In a note on Nov 6, DBS analyst Ho Pei Hwa said that the bail out offer by Cosco's parent in May 2017 leaves it with a cash hoard of S$300 million, instead of net debt.
"This bodes well for the acquisition of new businesses as it will be left with a mid-sized dry bulk fleet of four vessels, post disposal of the shipyards," she said.
An earlier-than-expected recovery in oil prices could catalyse and industry recovery, with Cosco securing more orders at attractive prices. Sharp improvements in productivity could also cause its share price to re-rate, she added.
Sinkie
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FRI, NOV 10, 2017 - 11:47 AM
ANDREA SOH
SHARES in Cosco Shipping International surged 13 per cent on Friday morning, as fellow Chinese shipbuilder Yangzijiang Shipbuilding (Holdings) gained on better-than-expected third-quarter earnings.
Cosco shares traded at 43 Singapore cents as at 11.11am, up 5 cents or 13.2 per cent, from its previous close. It has gained 43 per cent since it announced its takeover of Singapore-listed logistics firm Cogent Holdings a week earlier.
The gain on Friday morning could be due to Yangzijiang's rally, said CMC market analyst Margaret Yang.
"I guess because Yangzijiang has rallied so much this year, people are looking at Cosco for a catch-up play," she said, noting that Yangzijiang has outperformed Cosco throughout the year and is getting "more and more expensive".
ANDREA SOH
SHARES in Cosco Shipping International surged 13 per cent on Friday morning, as fellow Chinese shipbuilder Yangzijiang Shipbuilding (Holdings) gained on better-than-expected third-quarter earnings.
Cosco shares traded at 43 Singapore cents as at 11.11am, up 5 cents or 13.2 per cent, from its previous close. It has gained 43 per cent since it announced its takeover of Singapore-listed logistics firm Cogent Holdings a week earlier.
The gain on Friday morning could be due to Yangzijiang's rally, said CMC market analyst Margaret Yang.
"I guess because Yangzijiang has rallied so much this year, people are looking at Cosco for a catch-up play," she said, noting that Yangzijiang has outperformed Cosco throughout the year and is getting "more and more expensive".
Bro dont anyhow leh
Sinkie
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Steyr69
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ccostagmont
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Steyr69
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For the past 2 agms i attended...the ah tiong directors are **** real bad by the investors. This year one they kenna scolded until diam diam.
Im interested to see how next year agm will be....provided the trend continue.
Sent from Asus ME173X using GAGT
Im interested to see how next year agm will be....provided the trend continue.
Sent from Asus ME173X using GAGT
Steyr69
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You should attend the agm n vent your anger n frustration. You have this privilege.feeling a bit sore let going 30k cosco at 44c last fri and lost 8,155.
Sent from Asus ME173X using GAGT
Jupiter2017
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http://www.businesstimes.com.sg/com...92-to-all-time-high-of-s0595-in-early-trading
Hot stock: Cosco Shipping rises 9.2% to all-time high of S$0.595 in early trading
Tue, Nov 14, 2017 - 10:14 AM Navin Sregantan navinsre@sph.com.sg
SHARES in Cosco Shipping International (Singapore) Co rose 9.2 per cent on Tuesday morning to hit an all-time high, continuing a week-long surge.
Cosco shares traded at 59.5 Singapore cents as at 9.48am, up five cents or 9.2 per cent, from its previous close on Monday, which itself represented a gain of S$0.105 or 23.9 per cent up on its Friday close.
The stock has gained 51 per cent over the past week, and 95 per cent over the past two weeks.
The stock's current rally occurred shortly after Chinese shipbuilder Yangzijiang Shipbuilding reported better-than-expected third-quarter earnings. That was also just after Cosco - which provides ship repairing, ship building, and marine engineering services primarily in China and Singapore - announced a S$488 million cash buyout at S$1.02 per share of Singapore-listed logistics firm Cogent Holdings on Nov 3.
That offer represented a 5.2 per cent upside for Cogent's shareholders based on the 97 Singapore cent price of the stock before the bid was announced. As at 10am on Tuesday, Cogent's shares were trading at S$1.01.
Cosco's gains have also come on the heels of the company having divested its shipyard business and its plans to buy Indonesian shipping logistics company PT Ocean Global for S$14 million in a cash deal.
** price link: http://www.shareinvestor.com/fundamental/factsheet.html?counter=F83.SI
Hot stock: Cosco Shipping rises 9.2% to all-time high of S$0.595 in early trading
Tue, Nov 14, 2017 - 10:14 AM Navin Sregantan navinsre@sph.com.sg
SHARES in Cosco Shipping International (Singapore) Co rose 9.2 per cent on Tuesday morning to hit an all-time high, continuing a week-long surge.
Cosco shares traded at 59.5 Singapore cents as at 9.48am, up five cents or 9.2 per cent, from its previous close on Monday, which itself represented a gain of S$0.105 or 23.9 per cent up on its Friday close.
The stock has gained 51 per cent over the past week, and 95 per cent over the past two weeks.
The stock's current rally occurred shortly after Chinese shipbuilder Yangzijiang Shipbuilding reported better-than-expected third-quarter earnings. That was also just after Cosco - which provides ship repairing, ship building, and marine engineering services primarily in China and Singapore - announced a S$488 million cash buyout at S$1.02 per share of Singapore-listed logistics firm Cogent Holdings on Nov 3.
That offer represented a 5.2 per cent upside for Cogent's shareholders based on the 97 Singapore cent price of the stock before the bid was announced. As at 10am on Tuesday, Cogent's shares were trading at S$1.01.
Cosco's gains have also come on the heels of the company having divested its shipyard business and its plans to buy Indonesian shipping logistics company PT Ocean Global for S$14 million in a cash deal.
** price link: http://www.shareinvestor.com/fundamental/factsheet.html?counter=F83.SI
Pocoyoz
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koreanlover
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$0.595 is all time high meh ?
henrylbh
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The writer was born not too long ago.
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