EAST WEST PROPERTIES PLC (EAST.N0000)

@invest2018, actually i dont have latest updates. Lets ask some members to update.

Investment Property
(a) East West Properties PLC
Investment Properties of the Company consists of Warehouse No.I, Warehouse No.II and Warehouse No III. The Company has adopted the cost model to value the Investment Properties as required by “LKAS 40 –Investment Property”. The above investment properties details are as follows.
Location
Warehouse No.I ‐81/11, 3rd Lane, New Nuge Road, Peliyagoda
Warehouse No.I
‐ Mezzanine Floor 81/11, 3rd Lane Peliyagoda
Warehouse No.II ‐81/12, 3rdLane, New Nuge Road Peliyagoda
Warehouse No.III ‐81/12, 3rdLane, New Nuge Road Peliyagoda
Extent 27,342 sq.ft.
2,390 sq.ft.
12,967 sq.ft.
34,863 sq.ft.
Cost (Rs.) 13,389,223/‐
7,162,230/‐
21,841,098/‐
63,231,316/‐
The carrying amount of above Investment Properties as at 31st December 2019 amounting to Rs.60,432,599/‐
The Investment Properties had been revalued by same independent valuer as at 31.03.2015. The Company has classified above properties as Investment Properties and revaluation surplus which is related to investment properties has not been incorporated to the books of accounts.

Leasehold Property ‐ Company
640 sqft
640 sqft
2,957,228/‐
8,382,929/‐
Leasehold Land includes leasehold rights to land owned by Urban Development Authority situated at 3rdLane, New Nuge Road, Peliyagoda which is on a 99 year lease. Leasehold Land amortized over their remaining period of lease.
The Company recognized Leasehold Property at cost and according to the last valuation done by Messers. Haleem Ghouse SCV, LIV.B.Com, ATM, PHF, MPVP Corporate & Registered Valuer as at 31.03.2015, the fair value of the property is Rs.515,677,225/‐

True nav was not shown in balnance sheet. Many aseets pending revaluation. Auditor should be summoned to SLAASMB

Refer ASPH 2018 report. Similar scenario,after the revaluation NAV increased to 800RS from 90RS.

Difficult to understand why they are not taking revaluation gain in to books. In 2015 it was 500 mn. By now it whould have crossed 1 Bn. Real value of the assets not showing. May be they want to collect everything @ a lesser price from other shareholders.

Invest2018 wrote:Difficult to understand why they are not taking revaluation gain in to books. In 2015 it was 500 mn. By now it whould have crossed 1 Bn. Real value of the assets not showing. May be they want to collect everything @ a  lesser price from other shareholders.

NAV should increase by 10-15 neh , they might be upto something. Delisting maybe?

Ekanayake90 wrote:

Invest2018 wrote:Difficult to understand why they are not taking revaluation gain in to books. In 2015 it was 500 mn. By now it whould have crossed 1 Bn. Real value of the assets not showing. May be they want to collect everything @ a  lesser price from other shareholders.

NAV should increase by 10-15 neh , they might be upto something. Delisting maybe?

Nahil is currently in Colombo.

Quibit wrote:

Ekanayake90 wrote:

Invest2018 wrote:Difficult to understand why they are not taking revaluation gain in to books. In 2015 it was 500 mn. By now it whould have crossed 1 Bn. Real value of the assets not showing. May be they want to collect everything @ a  lesser price from other shareholders.

NAV should increase by 10-15 neh , they might be upto something. Delisting maybe?

Nahil is currently in Colombo.

We can expect something very soon then

Incase of a delisting scenario what would be the offering price ? (50% premium to the NAV?)

Share buy back. At a minimum of book value. Book value still don't reflect true assets value

Quibit wrote:

Ekanayake90 wrote:

Invest2018 wrote:Difficult to understand why they are not taking revaluation gain in to books. In 2015 it was 500 mn. By now it whould have crossed 1 Bn. Real value of the assets not showing. May be they want to collect everything @ a  lesser price from other shareholders.

NAV should increase by 10-15 neh , they might be upto something. Delisting maybe?

Nahil is currently in Colombo.

Let them play their game , 
NAV will increase rs1.5-2 each year (90% book value reflects cash)

Most recent De-listening scenarios-:

Dunamis Capital PLC(CSES.N0000)
Offer Price-:48.30 RS (2.95 times of NAV)
NAV. -:16.35 RS

AIA Insurance Lanka PLC(CTCE.N0000)
Offer Price-:2500. RS (4 times)
NAV. -:619.97 RS

Property Development PLC(PDL)
Offer price-:123 RS *Rejected by the SH* (2.3 times)
NAV. -:52.85 RS

Difficult to understand why everyone talking about a delisting. I don’t see any logical reason for owners to delist the company.
Have they given any hint/comment about it in the AGM ?
Any thoughts from the forum

Difficult to understand why everyone talking about a delisting. I don’t see any logical reason for owners to delist the company.
Have they given any hint/comment about it in the AGM ?
Any thoughts from the forum

Ekanayake90 wrote: Most recent De-listening scenarios-:

Dunamis Capital PLC(CSES.N0000)  
Offer Price-:48.30 RS (2.95 times of NAV)
NAV.          -:16.35  RS

AIA Insurance Lanka PLC(CTCE.N0000)
Offer Price-:2500. RS (4 times)
NAV.          -:619.97 RS

Property Development PLC(PDL)
Offer price-:123 RS *Rejected by the SH* (2.3 times)
NAV.          -:52.85 RS

Which one is more profitable for the directors? (Paying a dividend or a buyback)

Directors owns 88-90% shares as per records, in a buyback situation Price will be depends on the no shares they have collected in last few months.(I believe they owns 95+% atm)

*In a buyback situation they have to pay more than its net asset(20+) otherwise minority shareholders wont accept the offer*

I think East-west haven't sound financial performance. this time, they sell their property & investment subsidiaries. their profit was recorded highest one due disposal of investment subsidiaries. It is not good for future prosperity of the company. Auditor emphasis of matter on going concern in 2018 Annual report. therefore, to overcome this problem they sold their investments. How to say this one is viable stock?

Eranga87 wrote:I think East-west haven't sound financial performance. this time, they sell their property & investment subsidiaries. their profit was recorded highest one due disposal of investment subsidiaries. It is not good for future prosperity of the company. Auditor emphasis of matter on going concern in 2018 Annual report. therefore, to overcome this problem they sold their investments. How to say this one is viable stock?

Actually no one is saying this is a valuable stock. The truth is most of our friends got stuck their money in this. But this thing is unpredictable and a mad share. Controlled by a family.

And this was my 1st bought share in CSE. I was lucky to buy @9 and sell @9.20. I didn't knew anything, my dad recommended this to me. But i felt this isn't good and i exited with a profit of 0.02 rs per share  

I can still see that big red value of his portfolio. However they declared a crazy dividend as they sold some property. I barely analysed this share. However this isn't a good share for me. (not satisfying)

But price is dropped now. Maybe they will declare another dividend. Idk. I don't recommend this. I am soooo much away from EAST.

now, I can see, they maintain the price of the stock. I don't know what happens in future. price may fly at the significant level after uploading the annual report 19/20. will see..

Eranga87 wrote:I think East-west haven't sound financial performance. this time, they sell their property & investment subsidiaries. their profit was recorded highest one due disposal of investment subsidiaries. It is not good for future prosperity of the company. Auditor emphasis of matter on going concern in 2018 Annual report. therefore, to overcome this problem they sold their investments. How to say this one is viable stock?

Its a company which has a more cash pile than its market cap (1.7B cash , 1.1B M.cap-12.5/cash per share)
After the massive dividend they have dump the share in the market to collect at lower price, I believe they have succeed the task.*Wijesuriya's aren’t Pereras or I Nanayakkara - they wants the money out*

cash proceeds were collected from selling longterm investment property. basically, the company must have long term cash generated different different investments rather than a short-term investment. otherwise can't be survive in the longterm.

Ekanayake90 wrote:

Eranga87 wrote: I think East-west haven't sound financial performance. this time, they sell their property & investment subsidiaries. their profit was recorded highest one due disposal of investment subsidiaries. It is not good for future prosperity of the company. Auditor emphasis of matter on going concern in 2018 Annual report. therefore, to overcome this problem they sold their investments. How to say this one is viable stock?

Its a company which has a more cash pile than its market cap (1.7B cash , 1.1B M.cap-12.5/cash per share)
After the massive dividend they have dump the share in the market to collect at lower price, I believe they have succeed the task.*Wijesuriya's aren’t Pereras or I Nanayakkara - they wants the money out*  

On point:D
Zero debt , Each and every quarter Net Asset will increase(mainly from interest income). Whatever happens it should be above the net assets.Jst wait and watch this will go pass rs20 in no time

"හොද හොද සෙල්ලම් එලිවෙන ජාමෙට"

As far as I remember, there was a quantity transferred within the family members @17-17.5 , when it was trading around 7 RS (June-July 19)

Why everyone so exited about EAST? Any authenticated information about way forward?

Quibit wrote:

Ekanayake90 wrote:

Invest2018 wrote:Difficult to understand why they are not taking revaluation gain in to books. In 2015 it was 500 mn. By now it whould have crossed 1 Bn. Real value of the assets not showing. May be they want to collect everything @ a  lesser price from other shareholders.

NAV should increase by 10-15 neh , they might be upto something. Delisting maybe?

Nahil is currently in Colombo.

Vajira is also in Colombo.

Can someone please elaborate how the east owners will be benefited by delisting the share, rather than taking the money out as a big dividend .

Correct. That’s my point also. No reason for them to delist the company

It’s sliding fast. Any reason

don't buy east west instead buy Overseas Realty below 15 or buy aitken spence, royal ceramic, sampath, ndb, acl cable, abans electrical, Richard Peiris export, hayles export, hnb, kegalla plantation , renuka city hotel, dipped products, ioc, industrial asphalt, aitken plantation and ahungalla hotels, keels hotels, lanka hospitals

Aren’t this the best share to invest during this pandemic when considering its cash/ debt position and fundamentals?