It has been news for the wrong reasons. It announced the abortion of plans to turn the sanitary ware company into an oil and gas player.
It is hope truly lost for GBH?
As it stands, its existing business is not exciting. Revenue has been steady at rm40 million to rm47 million over the last four years though profits have been erratic, registering losses in 2010 and 2012 and profits in 2011 and 2013.
However its main attraction was its 13.93 acre land bank in Mont Kiara, which when sold will turn the company cash rich. The land has been since been proposed to be sold to Keladi for rm192.4 million.
Once the deal goes through, its cash on hand will increase to rm237 million or rm1.28 per share.
It is unclear what other ventures GBH will look to, but with such a large cash and the stock now (15 Oct 2014) falling closer to its net cash value, there will unlikely be a shortage of suitors.
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