Market cap must surely need rerating for this new contract.
Assuming everything else remains the same the profit uvel should make with this new contact coming on board from Nov 2017 IMHO ye 31/3/18 £1M and then ye 31/3/19 onwards £2M+ that's before exchange diffs. Compared to ye 31/3/17 actual of £400K quite a difference.
Ye 31/3/19 (first full year of main contract) Estimates T/O £11M Gross profit 30% £3.3M Admin/loan costs £1.3M PBT £2.0M.
All my estimate but what's the market cap of companies making a couple of million plus per annum? Surely must be more than current £7M?
You absoliutely must look hard and long at DCTA (DIRECTA PLUS)
They have a product called Grafysorber.
The sp has dipped by 2/3 rds.
The CEO has said there will be exciting news second half of the year and effectively promised the sp will be restored and some >£2.50
I have said enough (To Much?) but I am considering crystalising some stocks to go in almost over exposed.
Directors have been buying also.
You need to do some research, but more importantly maybe call them... :-)
Is anyone across what's happening here with Mr Koo selling shares, and at the end of last year splitting the company? Does this have anything to do with the long standing issue over the shopping mall payment?
"The arbitration could potentially give them quite a chunk of cash"
I'm sure at some time UVEL will get some of the money they are owed from the sale of the Mall, but I'm just very pessimistic about when. The agreement said they would receive it in December 2012. And since then they have received nothing and the legal costs to try to recoup it are going up. It would be great to get the cash soon, and we in the UK see the legal situation and think it's a cert to happen, but I fear in some countries even when courts order people to pay, they don't necessarily bother.
You make a good point about the increased attention to security in HK - hopefully this will help sales.
As I said on all valuations this is dirt cheap, but you have to remember Far Eastern Companies listed on AIM seem to be completely undervalued by the markets - there seems to be an expectation that every such business is a scam and we can't believe the figures they give.
One other observation about far eastern companies is they don't seem to have the same attitude to dividends as we have in the UK. They'll pay a dividend one year because they have some surplus cash, but it is not necessarily a commitment to continue paying dividends year on year.
i bought in today, with a few purchases. I like the small market cap, the fact they paid a divi (although last years was due to exceptional debt write off) and I'd think that the recent political unrest will drive a desire for more cctv by the HK government. The arbitration could potentially give them quite a chunk of cash too. I've not been able to research it sufficiently to find out what is going on with it, but hopefully the company will achieve a sale.
"UniVision, is pleased to announce that, on 22 June 2012, the Group, Hua Xin and Guangzhou Jun Heng Mechanical and Electrical Equipment Company Limited entered into an agreement for the sale of the Group's entitlement to a 51% interest in the Group's shopping mall project in Zhongshan, for a consideration of RMB110 million (equivalent to c. £11.1 million and HK$134.1 million)
The Deposit of HK$6.17 million from the Investor will be treated as a down payment on the Sale and deducted from the consideration payable to UniVision;
The balance of HK$96.93 million will be paid to UniVision in cash, or other methods to be mutually agreed by the Group, Hua Xin and the Investor, by 22 December 2012."
So they presumably have HK$96.93m still to come. (Note - the 2 payments don't add up to the total sum, so no idea where the rest goes.) That's about £7.8m in real money.
I said at the time that agreeing payment and getting the money was another thing, and it's nearly 2 years since the agreed payment date, and nothing to show except mounting legal fees.
So to answer your question and provide a few other figures (because I'm not sure the question is quite what you meant to ask)
The Mall was worth RMB216m (£22m) in June 2012. Don't know what it's worth now.
Univision's 51% share was RMB110m. (£11m)
Univision seem to be owed HK$96.93m (£7.8m) from the sale.
Univision's Book Value is £11.13m which presumably includes the outstanding mall payment.
Univision's Market Cap is £2.686m (look at fundamentals page)
I guess what you are inferring is that Univision is worth far more than its current share price. On the face if it, that's a fact. Against that the money is not Univision's till they get it & there seems to be an inherent distrust of all Far Eastern Businesses listed on AIM which invariably values them way below their reported worth.
will be a great day if they can ever monitise the mall, even accounting for offset of any short term loan:
see notes to accounts:
31. FINANCIAL GUARANTEE
In accordance with those certain supplemental agreements on the Sales and Purchase Contract regarding Zhongshan shopping mall project dated 10 December 2009, the Group's wholly-owned subsidiary, LSSH provided a guarantee in respect of secured short-term financing arrangement with a maximum amount of up to £7.9 million (including outstanding principal and accrued interest and charges) at the date of report. Pursuant to the terms of the guarantee, at any time from the date of guarantee, in event of default in repayments, the Group is fully liable to repay the outstanding loan principal, together with penalty charges, accrued interest and related late fees, after netting off the pledged assets. The Group's guarantee period starts from the date of grant of the financial arrangement and ends when it is fully repaid. At 31 March 2014, the secured short-term loan has become overdue and the financial arrangement is in negotiations for extension, but has not yet reached a final agreement as to repayment of the borrowings.
In connection with Zhongshan shopping mall project ("Zhongshan Project"), the Group is secured by certain beneficial interest in Zhongshan Project on a recourse basis. At 31 March 2014, the fair market value of the Zhongshan Project amounted to £29 million, based on the appraisal report issued by an independent valuer. At 31 March 2014, the Company expects their interest in Zhongshan Project to be transferred to a committed purchaser at the consideration of RMB110 million (approximately £11 million), together with the contingent liability under the financial guarantee, in the next twelve months. Hence, no additional provision of financial guarantee liabilities is required and the provision is expected to be reversed upon the subsequent sale of Zhongshan Project.
glad to still be sitting on these but it sure is taking a long long time
Nice to see some good results come through. Even stripping out the exceptional gain (itself great news) the underlying security business seems to be doing ok. Fingers crossed the mall comes good in the next 12 months???
I tried to e mail the company to ask. I tried the e mail address given on the co. website & it bounced back "undeliverable." I then went on to the Contact part of the website filled in an email form, pressed send, and it said "page not available"
There wasn't a date on it (that I could see) so do we know when it was issued?
I don't think there was new new news within it. It just re-iterated what has already been said.
I still don't see any evidence or reason for stake building. 1) the volumes are very insignificant; and 2) when the majority of shares are in the control of 1 person, there is no real point stake building (for a take-over) - you just talk to the majority stake holder.
The part about concentrating on projects in mainland China should yield some good growth prospects. There is also mention about the Mall having appreciated "significantly" since UVEL have become involved. All in all a good update in my books!
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