InvestIdeas

From UOB-KayHian:-

Ownership Under Review

Unisteel’s share price has risen more than 25% since the company announced in April that the ownership of the company was under review.

Unisteel added that discussions with potential buyers were at preliminary stages. Macquarie Capital has been appointed by the company to assist in the evaluation of any proposals that are forthcoming for consideration by Unisteel’s board of directors.

According to Reuters, four potential buyers are bidding for Unisteel. US private equity firms Bain Capital and Kohlberg Kravis Roberts & Co (KKR) are seen as having the strongest interest in the company. Reuters added that Carlyle Group and TPG Capital are also bidding. If a private equity firm succeeded in a majority buyout of Unisteel, company founder and Executive Chairman Bernard Toh Bee Yong is expected to roll over part of his 18% stake into the new firm and play an active role in the future.

Unisteel is one of the leading hard disk drive (HDD) players in Singapore. We believe Unisteel will benefit from the HDD booming market. However, the company is also hit by commodity price hikes and a weakening US$. We will review the target price together with 1Q08 results, which will be released on 13 May 08.

I am vested at the support level...

Not vested.

However, the following are some notes that I've on the company:-
1) FMR and Chartered has been selling while Capital has been buying. Please check the SGX website for the latest transactions

The Target Price are:-
1) DBS 1.82 Apr 16 Feb 18 from 1.97 Nov15 from 2.61 Sep 18
2) CS 2.18 Sep6
3) DBS 2.29 Jul 27 from 2.53 May 7 PE 15 from 2.88 Jan 5 PE 15
4) Merrill 2.5 Sep 29
5) JPM 3.3 Apr 6
6) UOB 1.88 May 14 from 1.8 Feb 20 from 1.95 Nov 15 from 2.42 Nov 5 from 1.93 Sep 27
7) OCBC 2.15 Dec 5 from 2.59 Jul 13 Jul 6 from 2.91 Mar 30
8) CIMB 1.89 May 14 from 2.18 Feb 20 from 2.23 Jan 25 Nov15 from 2.53 Oct 10
9) BNP 2.58 Oct 16

Take care,
Winston

Thanks for posting the price targets..but usually I take them with a pinch of salt...a huge pinch.

Hi lioninvestor,

Yes, I also take them with a pinch of salt too..

However, when there is a Target Price decrease or increase, I do like to understand the reason behind it. Also, a Target Price does also give me a ball park figure to estimate things.

Take care,
Winston

Trading Halt pending announcement. Shall see who among the four emerges with the winning bid and what's the premium paid for this recurring cashflow king.

Let's hope the bidders do not disappoint.

(vested)

I am vested as well. (very little)

Got it before trading halt.

I totally miss this counter for the past 2-3 weeks despite telling myself to look at some steel counters.

And even the chart shows some movement yesterday.

Sigh... think I need to start looking for some stock screeners.

Hi 802,

I also got in before the halt. Missed buying it when it hit $1.2 then, it was on my radar screen but i just watch it as prices sky-rocketed. i just happened to see yesterday's v high volume moving up the share price was a +ve thing. Then today's sudden high volume was surprising (given today's weak market)... so just got in and nimble abit, was prepared to average down but never had the chance. . .

I should also get some stock screeners as well... but i have full time job so very difficult to monitor market constantly.

guess u guys gonna say i'm stopid................
i sold off mine early this morning...cos due date was today....damn it!
then saw it on high vol list...was thinking whether to buy in again.....
then was stuck in meetings....and when i'm out, it's TRADING HALT!!!!!! so sadz........................

kazataza :

when it is yours, it'll be no matter what you do... likewise, the other way around...

nevertheless, surely u made some nice $$ from this, right?

wish you huat huat !!