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***Important***Blogger is not wrote any recommendation & suggestion. All is personal
opinion and reader should take their own risk in investment decision.
opinion and reader should take their own risk in investment decision.
Close to apply: 24 Jun 2024
Balloting: 27 Jun 2024
Listing date: 09 Jul 2024
Share Capital
Market cap: nill
Total Shares: 2.5 bil shares
Market cap: nill
Total Shares: 2.5 bil shares
Industry CARG
Global vegetable oil consumption by end use 2020 to 2030 : 2.8%
Forecast of global palm oil demand by end-use 2020 to 2030: 1.4%
Industry competitors comparison (2023)
A. Revenue ‘000 /ha
1. Johor Plantation: 24.0
2. UTDPLT: 31.0
3. BPlant (2022): 17.9
4. Simeplt: 16.4
5. FGV: 40
B. Profit/ha vs Revenue/ha
1. Johor Plantation: 13.3% (PE12.5, ROE 6.32%)
2. UTDPLT: 53.87% (PE14.10, ROE 23.65)
3. BPlant (2022): nil
4. Simeplt: nil
5. FGV: 1.75% (PE61.26, ROE 1.32)
***UTDPLT have highest Revenue/ha, have the % of profit/ha lower compare other peers.
Global vegetable oil consumption by end use 2020 to 2030 : 2.8%
Forecast of global palm oil demand by end-use 2020 to 2030: 1.4%
Industry competitors comparison (2023)
A. Revenue ‘000 /ha
1. Johor Plantation: 24.0
2. UTDPLT: 31.0
3. BPlant (2022): 17.9
4. Simeplt: 16.4
5. FGV: 40
B. Profit/ha vs Revenue/ha
1. Johor Plantation: 13.3% (PE12.5, ROE 6.32%)
2. UTDPLT: 53.87% (PE14.10, ROE 23.65)
3. BPlant (2022): nil
4. Simeplt: nil
5. FGV: 1.75% (PE61.26, ROE 1.32)
***UTDPLT have highest Revenue/ha, have the % of profit/ha lower compare other peers.
Business (FYE 2023)
Upstream oil palm plantation company operating predominantly in Johor.
Planned Area
3 yrs (immature): 6.8%
4-8 yrs (Mature young): 14.3%
9-18 yrs (prime young): 54.3%
19-22 yrs (prime old): 15.6%
23 yrs above (old): 9.0%
Fundamental
1.Market: Main Market
2.Price: RM0.84 (will follow final institutional price if final price is lower than RM0.84)
3.Forecast P/E: 12.5
4.ROE(Pro forma III): 6.32%
5.ROE: 7.39% (FYE2023), 25.07%(FYE2022), 18.39%(FYE2021), 3.18%(FYE2020)
6.Net asset: 0.21
7.Total debt to current asset: 3.82 (Debt: 2.171 bil, Non-Current Asset: 4.224 bil, Current asset: 0.567 bil)
8.Dividend policy: 50% PAT dividend policy.
9. Shariah status: Yes
Past Financial Performance (Revenue, Earning Per shares, PAT%)
2023 (FPE 31Dec): RM1.253 bil (Eps: 0.0670), PAT: 13.3%
2022 (FYE 31Dec): RM1.752 bil (Eps: 0.1980), PAT: 28.3%
2021 (FYE 31Dec): RM1.549 bil (Eps: 0.1380),PAT: 22.3%
2020 (FYE 31Dec): RM1.020 bil (Eps: 0.0210),PAT: 5.1%
Major customer (FYE2023)
1. Intercontinental Specialty Fats Sdn Bhd: 38.2%
2. Palmaju Edible Oil Sdn Bhd: 22.6%
3. PGEO Group Sdn Bhd: 16.9%
4. Mewaholeo Industries Sdn Bhd: 6.1%
5. Cargill Palm Products Sdn Bhd: 4.5%
***total 88.3%
Major Sharesholders
1. Kulim : 65% (direct)
2. Jcorp: 65% (indirect)
Directors & Key Management Remuneration for FYE2023
(from Revenue & other income 2022)
Total director remuneration: RM3.24 mil
key management remuneration: RM3.35 mil – RM3.55 mil
total (max): RM6.79 mil or 1.87%
Use of funds
1. Capital expenditure: 196 mil, 50.5%
2. Repayment of bank borrowings: 167 mil, 43.0%
3. Working capital: 6.7mil, 1.7%
4. Estimated listing expenses: 18.7 mil, 4.8%
***total RM389.76 mil
Conclusions (Blogger is not wrote any recommendation & suggestion. All is personal opinion and reader should take their own risk in investment decision)
Overall is a low growth rate IPO. If want to invest in this company, may be can consider after the company after listing.
*Valuation is only personal opinion & view. Perception & forecast will change if any new quarter result release. Reader take their own risk & should do own homework to follow up every quarter result to adjust forecast of fundamental value of the company.
*Valuation is only personal opinion & view. Perception & forecast will change if any new quarter result release. Reader take their own risk & should do own homework to follow up every quarter result to adjust forecast of fundamental value of the company.