EXPOLANKA HOLDINGS PLC (EXPO.N0000)

ONTHEMONEY wrote:Hi all,

Did some background work on EXPO and the following are the strategically important facts for EXPO's for future growth.

Post restructuring, the company is now beginning to show a turnaround in the overall business

1. Timely Growth in Logistics which is the CORE profit generating arm of EXPO

The Freight and Logistics segment currently generates ~94.0% of EXPO’s business. Investments made in the North American trade lane, (48.0% of EXPO’s gross profits), to aid growth of the segment. Through additional investments made in the US operations, EXPO is now beginning to reap benefits by gaining leading names in the retail space (excluding apparel and primarily focusing on PPE with COVID19 spread globally) and the tech space, as clients.

The strategic initiatives taken during 2019 was to grow the North American trade lane with the acquisition of Expolanka USA with a few key strategic objectives achieved by now
1) expand strategic account base
2) strengthen the trans-pacific trade lane performance
3) expand the vertical offering (strengthen apparel while expanding into tech & other products). 

This focus carried out, with the emphasis of growing volumes and building scale in the market. The operations currently services some of the largest names in the apparel vertical from the major exporting countries like Vietnam, Bangladesh, Kenya, and with the new team, EXPO has been able to win bids for business with new clients who are large names in the retail and consumer electronics space in the US

In order to grow the trans-pacific trade lane, EXPO continues to focus on growing its Far East operations, resulting in adding further volumes to the US operations. The company expect the logistics segment to grow at a CAGR of 18.4% till 2021.


2. Focus on yield management results in more stable margins


With much of the overall global trade put on hold due to COVID19, there is a exponential demand for quick delivery of PPE and other related gears through air freight. With demand for air freight outpacing availability requires ADVANCE PAYMENTS FOR AIR LINES to reserve slots.

EXPO has a significant advantage as the mother company SG HOLDINGS GLOBAL PTE.LTD having sufficient cash to fund compared to other key logistics players globally which shall ensure a much higher margin in business


Good Luck

Mithooshan wrote:

kanishkaecomm wrote:Is this a right time to enter to this share for short-term purpose?

Try to buy it around Rs.9.50 not more than that. Place a buy order, based on past few days it should eventually come down to that price before reaching RS.9.80 or above levels.

Learn to buy around 12. That is when most shares have the lowest traded value during the day. (My observation)

Captain wrote:Remenber sg holding, main shareholder bougt at majoroty Rs10.7

That means price still in a minimum level

They will done lot of thing to make profit the company, for their to exit at good price level.
Bz they are strategic investors.

dilshangac wrote:Be careful of entering to EXPO at this stage. Huge manipulating under this

ONTHEMONEY wrote:

dilshangac wrote:Be careful of entering to EXPO at this stage. Huge manipulating under this

Hi dilshangac,

Can you please explain the basis of manipulation?

How do you see the fundamentals of EXPO and future growth potential of the business lines?

Thank you

geesura wrote:

ONTHEMONEY wrote:

dilshangac wrote:Be careful of entering to EXPO at this stage. Huge manipulating under this

Hi dilshangac,

Can you please explain the basis of manipulation?

How do you see the fundamentals of EXPO and future growth potential of the business lines?

Thank you

more than 227mn shares sold @2.6 n @2.7.

stockback wrote:

geesura wrote:

ONTHEMONEY wrote:

dilshangac wrote:Be careful of entering to EXPO at this stage. Huge manipulating under this

Hi dilshangac,

Can you please explain the basis of manipulation?

How do you see the fundamentals of EXPO and future growth potential of the business lines?

Thank you

more than 227mn shares sold @2.6 n @2.7.

  what? 2.6

geesura wrote:

stockback wrote:

geesura wrote:

ONTHEMONEY wrote:

dilshangac wrote:Be careful of entering to EXPO at this stage. Huge manipulating under this

Hi dilshangac,

Can you please explain the basis of manipulation?

How do you see the fundamentals of EXPO and future growth potential of the business lines?

Thank you

more than 227mn shares sold @2.6 n @2.7.

  what? 2.6

*during the month of may n june

geesura wrote:

ONTHEMONEY wrote:

dilshangac wrote:Be careful of entering to EXPO at this stage. Huge manipulating under this

Hi dilshangac,

Can you please explain the basis of manipulation?

How do you see the fundamentals of EXPO and future growth potential of the business lines?

Thank you

more than 227mn shares sold @2.6 n @2.7.

Captain wrote:@Ahilan pls refer the SG holding expo acquisition prices
And remember as I said earlier correct awarrness will always rich you

ONTHEMONEY wrote:

geesura wrote:

ONTHEMONEY wrote:

dilshangac wrote:Be careful of entering to EXPO at this stage. Huge manipulating under this

Hi dilshangac,

Can you please explain the basis of manipulation?

How do you see the fundamentals of EXPO and future growth potential of the business lines?

Thank you

more than 227mn shares sold @2.6 n @2.7.

Hi Geesura,

Thank you for sharing the historical trades of EXPO. 

I am already aware of the fact after analyzing the Top 20 share holders of EXPO as of March 2020 Vs June 2020. This is what has happened to sale of 227Mn shares.

Major Sellers 


1. CACEIS BANK, LUXEMBOURG BRANCH-BARCA GLOBAL MASTER FUND LP sold majority from the holding of 178.8Mn shares.
2. BBH-MATTHEWS EMERGING ASIA FUND sold the majority of shares from 91.3Mn


Major Buyers


1. SG HOLDINGS GLOBAL PTE.LTD [mother company] has purchased majority of the sale. Approximately, 147.1Mn shares bought by them increasing the holding in EXPO Lanka from 68% to 75%
2. DFCC BANK PLC/I.K. DE SILVA - 23.5Mn

3. MR. S. SENTHILNATHAN - 22.0Mn
4. MR. KANDIAH BALENDRA - 20.0Mn
5. MR. D.K.A.K. WEERATHUNGA increased holding by 9.0Mn shares
6 MRS. V. SARASWATHI increased holding by 2.7Mn shares
7. MR. A.D. GUNEWARDENE - 2.9Mn
8. SEYLAN BANK PLC/ PINNADUWAGE ARAVINDA DE SILVA increased holding by 2.7Mn
9. MUTIARA HOLDINGS (PRIVATE) LTD - 2.5Mn
10. MR. M.A. JAFFERJEE - 2.5Mn

Therefore, it is a share sale happened in large volumes between Rs 2.40 ~ Rs 2.80. So, one can see this as a manipulation which is wrong. A share sale cannot be treated as a manipulation.  


I see this is one good reason for EXPO to perform with record breaking results.

The company has exploited COVID19 opportunities better than others in Global level and generated EPS of 0.89. I am confident that EXPO will deliver an EPS of Rs 3/- during the year. In that context the following could happen.

1. Increase in NAV by a substantial amount.
2. Declaration of a DY at least 10%[around current price] which Rs 1/- per share 
3. The Market Price = Rs 21/- [Rs 3 @ X7 times of PE]

Based on above facts, what I feel is that EXPO has clear fundamental reasons attract the investors constantly from Rs 3/- to Rs 10/-. 

Apparently, EXPO is the largest turnover contributor to CSE today which is about 14% of the market turnover or Rs 400Mn. 

Good Luck

Captain wrote:IF you are selling now,

PE around 4 ,company 

In this market better to buy or sell ?

IF you are going to sell, what is the rationality behind your investment.

jason12 wrote:

Captain wrote:IF you are selling now,

PE around 4 ,company 

In this market better to buy or sell ?

IF you are going to sell, what is the rationality behind your investment.

As per the ichimoku charts(1 day) Lagging span is trading above the conversion line most of the time.so you have a point here.

jason12 wrote:

Captain wrote:IF you are selling now,

PE around 4 ,company 

In this market better to buy or sell ?

IF you are going to sell, what is the rationality behind your investment.

As per the ichimoku charts(1 day) Lagging span is trading above the conversion line most of the time.so you have a point here.