Hyflux

[ChiuSiaoRiao]

they are the biggest water stock in sgx

 

[HerbalTeaSeller]

Predicted sometime back. Breaking out today. Looking to TP @ 0.675 level. DYODD.

 

[chowck]

Oh?

So higher water price means higher Hyflux share price?

Hyflux is in the water treatment plants. Got co-relation with water price?

 

[luxcan]

Finally decided to let go Hyflux today after the divestment of Galaxy Newspring. Seems like they keep running out of capital to function.

So far this is the only stock that i lose money, 58% losses..

 

[luxcan]

If this is true, what is Hyflux next sale?

Singapore-listed ultrafiltration membrane manufacturer and project developer Hyflux has confirmed to GWI that it has applied for regulatory approval to sell up to 70% of its Tuaspring integrated water and power project (IWPP) in Singapore.

https://www.globalwaterintel.com/gl...8/3/general/hyflux-to-offload-70-of-tuaspring

 

[Jupiter2017]

http://www.businesstimes.com.sg/com...ed-with-s261m-q3-loss-revenue-plunges-to-s98m
Thu, Nov 09, 2017 - 6:55 PM
Hyflux slides into the red with S$26.1m Q3 loss; revenue plunges to S$98m

THE WEAK Singapore power market and the Tuaspring Integrated Water and Power Plant, which is classified as held for sale, eroded results for Hyflux Ltd (Hyflux) in its third quarter.
These factors sent Hyflux into the red, recording a net loss of S$26.1 million, from net profit of S$10.3 million in the previous year, the group said in a Singapore Exchange filing on Thursday evening.
For the three months ended Sept 30, revenue plummeted 60.6 per cent to S$98 million from the year-ago period.
"The contraction in revenue came on the back of lower engineering, construction and procurement contributions from the TuasOne Waste-to-Energy project in Singapore and Qurayyat Independent Water Project in Oman, which were in line with its planned construction schedules," Hyflux said.
Municipal projects continue to represent a majority (84 per cent) of Hyflux's revenue at S$82.2 million.
Loss per share increased to 5.04 Singapore cents from 1.05 Singapore cents in the year-ago period.
Net asset value per share sank to 26.2 Singapore cents as at Sept 30, from 45.1 Singapore cents nine months ago.
As at Sept 30, Hyflux's net gearing was at 1.07 times, with a cash position of S$222 million.
Hyflux "is in the process of divesting its full interest in the Tianjin Dagang desalination plant in China, as well as the partial divestment in its Tuaspring plant", the group said. "This is in line with the group's asset light strategy, and progress updates will be announced when available."
Looking ahead, Hyflux expects losses for the rest of 2017 due to the challenging conditions in the Singapore power market which have already been impacting the group's results.
Hyflux shares closed unchanged at S$0.49 on Thursday.

 

[luxcan]

http://www.businesstimes.com.sg/com...ed-with-s261m-q3-loss-revenue-plunges-to-s98m
Thu, Nov 09, 2017 - 6:55 PM
Hyflux slides into the red with S$26.1m Q3 loss; revenue plunges to S$98m

THE WEAK Singapore power market and the Tuaspring Integrated Water and Power Plant, which is classified as held for sale, eroded results for Hyflux Ltd (Hyflux) in its third quarter.
These factors sent Hyflux into the red, recording a net loss of S$26.1 million, from net profit of S$10.3 million in the previous year, the group said in a Singapore Exchange filing on Thursday evening.
For the three months ended Sept 30, revenue plummeted 60.6 per cent to S$98 million from the year-ago period.
"The contraction in revenue came on the back of lower engineering, construction and procurement contributions from the TuasOne Waste-to-Energy project in Singapore and Qurayyat Independent Water Project in Oman, which were in line with its planned construction schedules," Hyflux said.
Municipal projects continue to represent a majority (84 per cent) of Hyflux's revenue at S$82.2 million.
Loss per share increased to 5.04 Singapore cents from 1.05 Singapore cents in the year-ago period.
Net asset value per share sank to 26.2 Singapore cents as at Sept 30, from 45.1 Singapore cents nine months ago.
As at Sept 30, Hyflux's net gearing was at 1.07 times, with a cash position of S$222 million.
Hyflux "is in the process of divesting its full interest in the Tianjin Dagang desalination plant in China, as well as the partial divestment in its Tuaspring plant", the group said. "This is in line with the group's asset light strategy, and progress updates will be announced when available."
Looking ahead, Hyflux expects losses for the rest of 2017 due to the challenging conditions in the Singapore power market which have already been impacting the group's results.
Hyflux shares closed unchanged at S$0.49 on Thursday.

Just few months later, going to sold another assets. Gg.

 

[Jupiter2017]

http://www.businesstimes.com.sg/com...n-consumer-business-ahead-of-possible-listing
Hyflux to distribute shares in consumer business ahead of possible listing
FRI, DEC 29, 2017 - 8:35 AM RACHEL MUI rachmui@sph.com.sg

MAINBOARD-listed Hyflux is distributing shares of its consumer business with an eye to eventually list the unit.
The water treatment company is planning to distribute 70 per cent of the shares in Hyfluxshop Holdings to Hyflux's existing shareholders on the basis of one Hyyfluxshop share for every 10 Hyflux shares held. Hyflux will retain the remaining 30 per cent stake in Hyfluxshop.
With the share distribution, "Hyfluxshop is expected to be in a position to consider listing on a recognised stock exchange, should future growth performance be on track and market conditions of the capital markets be favourable", the company said.
It added that the proposed distribution will enable existing shareholders to have direct shareholdings in two distinct entities, at no additional cost.
Headquartered in Singapore, Hyfluxshop is the consumer arm of Hyflux, focusing on the health and wellness segment. This segment is vastly different from Hyflux's traditional industrial segment, and separating them allows for the valuation of both entities that are reflective of the "underlying value and growth potential of their respective businesses", Hyflux said.
Hyflux added that separating both entities will enable the management of both groups to focus on their respective core businesses, and oversee their strategies and operations more effectively.
As Hyfluxshop is at an early stage of growth, the distribution will also enable shareholders to enjoy the potential appreciation in value if and when the proposed listing happens, the company said. The pro forma net trangible assets value of each Hyfluxshop share is about 17.83 Singapore cents.
Based on the pro forma consolidated net tangible assets of the Hyfluxshop Group of about S$20 million as at Sept 30, the distribution will amount to a S$14 million payout to Hyflux shareholders. This will be taken from the company's retained profits, Hyflux said.
The proposed distribution is subject to approval from shareholders at an extraordinary meeting (EGM) to be convened on Feb 1, with the book closure date set for 5pm on Feb 7, 2018.

Price link: http://www.shareinvestor.com/fundamental/factsheet.html?counter=600.SI

 

[XtraderX]

my opinion as an ex staff is... chuii... fundamentally buang..

Sent from Samsung SM-A800I using GAGT

 

[Jupiter2017]

http://www.businesstimes.com.sg/com...ion-in-interest-following-arbitration-dispute
Hyflux unit to be paid US$2.7 million in interest following arbitration dispute
Tue, Jan 16, 2018 - 5:48 PM Jacqueline Woo tsjwoo@sph.com.sg

WATER treatment company Hyflux said that SEPCOIII Electric Power Construction Corporation has been ordered to pay its wholly-owned unit, Hydrochem, US$2.7 million in interest, following an arbitration dispute.
SEPCOIII will also have to pay Hydrochem about S$4.2 million for the costs of arbitration, Hyflux told the Singapore Exchange in a filing on Tuesday.
The two payments are in addition to the US$16.1 million that SEPCOIII had been ordered to pay under the interim award in September last year.
Hydrochem had commenced arbitration against SEPCOIII regarding disputes which arose out of an engineering and procurement contract dated Aug 28, 2009.
The contract involved the development, design and manufacture of certain units for a desalination facility in Salalah, Oman.
The interim award was issued by the tribunal on Aug 31.
Hyflux shares closed flat at 37.5 Singapore cents on Tuesday, before the announcement was made.

price link: http://www.shareinvestor.com/fundamental/factsheet.html?counter=600.SI

 

[Jupiter2017]

http://www.businesstimes.com.sg/com...r-for-hyfluxshop-following-dividend-in-specie
SIC: Hyflux's Lum must make offer for HyfluxShop following dividend in specie
Thu, Feb 01, 2018 - 2:54 PM Vivien Shiao vshiao@sph.com.sg

HYFLUX controlling shareholder Olivia Lum must make a general offer for the water treatment company's consumer business after the completion of a dividend in specie distribution, according to the Securities Industry Council (SIC).
Ms Lum, who is chief executive and chairman of Hyflux, will offer 17.83 Singapore cents per HyfluxShop share, matching a partial offer she had made as part of the in specie distribution and the distribution valuation of the HyfluxShop shares.
Hyflux is planning to distribute 70 per cent of the shares in HyfluxShop Holdings to Hyflux's existing shareholders on the basis of one HyfluxShop share for every 10 Hyflux shares held, for free. Hyflux, which is undertaking the distribution as part of plans to list HyfluxShop, will retain the remaining 30 per cent stake in HyfluxsShop.
Ms Lum had offered to buy any unlisted HyfluxShop shares from Hyflux shareholders at 17.83 Singapore cents per HyfluxShop share, provided her direct shareholding in HyfluxShop does not exceed 29.99 per cent.
Hyflux and Ms Lum, who holds a 34.05 per cent stake in Hyflux, will together hold about 53.8 per cent of HyfluxShop shares after the distribution. That will oblige Ms Lum to make a general offer for HyfluxShop shares she does not already hold under Singapore's takeover code, although the SIC, which oversees takeovers in Singapore, can grant a waiver.
But SIC gave a verbal ruling on Jan 31 that Ms Lum will be obliged to make an offer for HyfluxShop if the distribution goes through. As a result, Ms Lum is now prepared to make a general offer for HyfluxShop after the distribution, and her offer to purchase HyfluxShop shares will not be capped once her general offer is launched.
Hyflux shareholders met on Thursday afternoon to vote on the in specie distribution.

price link: http://www.shareinvestor.com/fundamental/factsheet.html?counter=600.SI

 

[Shion]

Can Hyflux retire its preference shares before they get dearer?

Can Hyflux retire its preference shares before they get dearer?

It can service its perps only through divestments - therein lies the hurdle

http://www.straitstimes.com/business/can-hyflux-retire-its-preference-shares-before-they-get-dearer

Like me, investors who are sniffing for yield would have noticed that Hyflux's 6 per cent preference shares, issued at $100 apiece, now trade below par at $91.30 - even with the first call date nearing on April 25.

The first of a kind at their market debut in 2011, Hyflux's $400 million perpetual securities were an instant hit, bid up above par in the earlier years as retirees chased the 6 per cent semi-annual coupon like it was the best thing since sliced bread.

Fast forward to 2018, however, and the big question is whether or not Hyflux will be able to retire the perps come April, or incur a steep interest rate step-up to 8 per cent.

Banks would not be keen to refinance the highly leveraged water project developer, which has not generated positive cash flow from operations since 2009.

The only way Hyflux can procure enough cash to service its perps is through asset divestments, which it had expected to complete last year, but has not.

In February last year, Hyflux said it was planning to partially divest up to 70 per cent of Tuaspring water desalination and power plant, held on its books at a value of $1.3 billion.

Since October 2016, it has also been trying to sell the Tianjin Dagang desalination plant in China, which has a book value of $150 million.

A Hyflux spokesman told The Sunday Times two weeks ago that Tuaspring had attracted a long list of buyers at the start of the process, which is why the approval process took longer than originally planned. A handful of parties were shortlisted and bids were received late last year, she said.

But sceptics are scratching their heads over why anyone would want to buy Tuaspring, and for what price.

Tuaspring as a whole is loss-making. Its 411MW power plant has never turned a profit since operations began in March 2016.

Hyflux has blamed a weak electricity market and poor power spreads for the losses.

And it is not the only power generation firm that is struggling.

The fact is that Singapore's electricity market is heavily oversupplied, and that is not going to change.

To prevent outages, the energy market regulator sets a minimum reserve margin of 30 per cent.

This is the difference between power produced and consumed.

The actual margin is closer to 90 per cent.

AMORTISATION BURDEN

Any buyer of Tuaspring would also have to take on the burden of amortisation costs since the 25-year water concession ends in 2038, at which point the plant would be returned to national water agency PUB.

Hyflux said it wants book value for the partial divestment.

For more on how the drama unfolds, investors will have to watch the company's full-year results statement at the tail end of this month.

Until then, the 2018 perps are basically a bet that Hyflux pulls off the Tuaspring divestment.

And that would not be the biggest hurdle Hyflux has to clear.

It has another payment coming up on Sept 7, when its $100 million 4.25 per cent Series 008 notes mature. Its $500 million tranche of retail perps callable in 2020 are also trading at 75.1 cents to the dollar, reflecting market doubts over the longer-term sustainability of the business.

Hyflux describes in its annual report: "Our approach is to build up the value of an asset and divest it at an opportune time to recycle capital for growth."

In other words, it makes more money from engineering and construction contracts than from actual plant operations.

But the desalination industry has matured since Hyflux's initial public offering (IPO) in 2001.

With buyers getting more sophisticated, Hyflux is less able to bank on selling a Singapore brand name, so this business model is under pressure, observers say.

Besides, membranes and water polishing are not rocket science, and rivals like Sembcorp Industries, Keppel Infrastructure and Chinese state-owned enterprises like China Everbright Water have stronger financial backing.

As for Hyflux's latest manoeuvre - the proposed distribution of shares in its fledgling consumer business, HyfluxShop - the transaction is immaterial to bond and perp investors since it returns no cash to the Hyflux mother company.

That said, it is unusual for a listed company to give its shareholders units in a private subsidiary that is still a long way away from an IPO, and promises no certainty of an IPO.

Hyflux founder Olivia Lum intends to buy out shareholders' HyfluxShop shares, and has been required by the Securities Industry Council to make a general offer for HyfluxShop.

So shareholders can get some cash back from the proposed dividend in specie if they tender their shares, but should they?

Although the HyfluxShop group made a net loss before tax of $6.3 million in 2016, its core product, oxygen-rich water called ELO Water, may hold promise.

Hyflux claims that unlike other brands of oxygenated water that rapidly lose oxygen to the atmosphere, "ELO Water is produced via a proprietary process that allows a high level of oxygen to exist in water in a unique, stable and bound form and is believed to be easily absorbed by the body".

This may have useful implications for cancer patients and other medical conditions associated with hypoxia.

But the water does not come cheap. With one 1.5-litre bottle retailing at $10, a lot of work needs to be done to convince customers and build up a distributorship.

 

[andyhtc]

It looks like the company is going to fold soon unless its debtors write off their investments.

For the ELO water technology to work it has to increase oxygen solubility in water via lower temperature, higher pressure or lower salinity. Since the first two factors cannot be tweaked during consumption, ELO water could be essentially just highly purified water using Hyflux's water treatment technology. I suppose deeper breathing in clean air environment might work more effectively on the body for a normal person and is free.

 

[TheAwakened]

Anyone has any analysis on Hyfluxshop? Will be interesting to see a discussion on it.

 

[luxcan]

It looks like the company is going to fold soon unless its debtors write off their investments.

For the ELO water technology to work it has to increase oxygen solubility in water via lower temperature, higher pressure or lower salinity. Since the first two factors cannot be tweaked during consumption, ELO water could be essentially just highly purified water using Hyflux's water treatment technology. I suppose deeper breathing in clean air environment might work more effectively on the body for a normal person and is free.

ELO research claims also quite shady, just Google about the Dr behind elo.i was shaking my head when they are in elo business.