Anglo-eastern Plantations Share Discussion Threads

[ilad60] 10/8/2022 15:31

Genton International Limited remains a significant shareholder and AEP is pleased to announce the appointment of Marcus Chan Jau Chwen, the son of Madam Lim, on to the Board of AEP as a Non-Executive Director to continue Madam Lim's family involvement in the Company.

Marcus is 38 years old and graduated from the University of Melbourne, Australia with a Bachelor of Commerce. He is currently completing his Master in Business Administration from China Europe International Business School ("CEIBS"). After graduation, Marcus started his career at Ernst & Young Malaysia as an associate auditor and then moved on to be involved with family and associated businesses. His main experience is in business development and marketing. He previously worked in a boutique corporate finance advisory services firm in Kuala Lumpur, Malaysia for three years. Marcus' youth and dynamism will add value to the Group

[nobull] 22/7/2022 08:16

KLK has a little over 100,000 hectares of titled land in Indonesia and is only listed on the KLSE. Ilad, your point is right - I forgot about that. Thanks.

[ilad60] 22/7/2022 07:07

A merger of AEP with REA is impossible due to current legislation.

The Indonesian government has, in recent years, passed laws to prioritise domestic investments and to limit foreign direct investments over national interest, including a limit of 20,000 ha per province and a national total of 100,000 ha on the licensed development of oil palms for companies that are not listed in Indonesia or with less than a majority local ownership.

[nobull] 21/7/2022 12:19

An old article from 1993 that may be of interest. Chillington is now PGI.

Sorry to hear the news about the former Chairman. Her and her husband's business achievements are discussed below. Yes, the share price is outing the value now. I can't imagine Genton International wanting a zillion squillion REA shares, but REA could do with AEP's cash!

The Anglo-Indonesian Corporation a.k.a. Anglo-Indonesian Plantations goes back to 1910, the time when REA started.



Edit: for anyone who wants a historical perspective, scroll down to "1982-1989 The Taskik Project" to get the connections between REA, Chillington/PGI, AEP and Anglo-Indonesian Corp/Anglo-Indonesian Plantations:

[ilad60] 21/7/2022 09:35

MP Evans 2022 H1 crop and production

In the period to the end of June 2022, the Group realised an average price at mill gate of US$1,035 per tonne compared with US$724 in the first half of 2021, an increase of 43%. Prices for palm kernels averaged US$830 per tonne (mill gate), higher than the US$491 per tonne in 2021.

[gaiusgracchus] 21/7/2022 09:20

Odds of a takeover at a decent premium to current share price surely increasing

[799boy] 19/7/2022 12:13

MPE put out an RNS. Would have been good to see something similar from AEP but I'm sure they have their hands full at present.

I do get a feeling things are going to get a bit lively here over the next few weeks/months as the business moves into the next phase...

[34adsaddsa] 19/7/2022 10:00

They should put out some kind of statement.

[ilad60] 17/7/2022 09:30

Indonesia removes palm oil export levy until Aug. 31

[34adsaddsa] 15/7/2022 22:23

Rest in peace Madam Kim.

It's right that the shares went up today. The merest hint of a change in strategy/capital allocation and we'll skyrocket.

[ilad60] 15/7/2022 13:39

Lim Siew Kim, daughter of late Genting group founder, dies aged 73

hxxps://www.theedgemarkets.com/article/lim-siew-kim-daughter-late-genting-group-founder-dies-aged-73

[kenzo1966] 15/7/2022 03:39

Apparently she's passed away now.

[skanjete2] 08/7/2022 20:10

Could this be a prelude to an offer or taking private from Genton?
They would never pay full price, but a similar valuation as the other western palmoil groups would be attractive on its own.

[gb904150] 08/7/2022 13:37

That is an interesting development.

As at 30/04/2021:

Genton International Limited* 20,247,814 51.08%

Madam Lim Siew Kim is the controlling shareholder.

During Madam Lim's tenure I would say AEP has been well run, if conservatively run.

The share price is up 10x since 2002 but always paying out very nominal dividends - about 0.5% at the last look ($0.05 / 4p on around 800p SP).

It will be interesting to see what she wants to do with her stake and whether AEP chooses a more distributive approach to profits.

They can certainly afford it....divi cover is about 48!

[ilad60] 08/7/2022 12:50

8 July 2022



Anglo-Eastern Plantations Plc


Directorate Change

Anglo-Eastern Plantations Plc today announces the retirement of its Chairman, Madam Lim Siew Kim, from the Board and all its subsidiaries.

Madam Lim's involvement as a Board member for 29 years and as the Chairman for the last 11 years has seen the Group grow in profitability and the business expanded to what it is today. After achieving a record profit last year, she is confident that the Group is in good hands to continue to grow and expand to enhance shareholders' value.

Madam Lim will remain a shareholder through Genton International Limited.

Mr Jonathan Law, who has served as an Independent Non-Executive Director for 9 years, will continue as a Non-Independent Non-Executive Director and takes over from Madam Lim as the Chairman of the Company with effect from today.

The Board is actively seeking to appoint two Non-Executive Directors, one of which will be an Independent Non-Executive Director.

[stemis] 27/6/2022 11:29

Decent update although would have been nice to know the cash balance, which surely must be at least $280m by end of June. Prudently I reckon about 80% belongs to AEP shareholders (rest to minority holders in subs), so on a share price of 820p that would make EV of $176m.

Earnings in H1 2021 were $38m on revenue of $201m. CPO price ex mill was $1064/t for 1st 5 months falling by 30% (to $745/t) for June, an average of $1011/t. That's 43% higher than H1 2021 of $701/t. Applying that to H1 2021 sales, and a 4% reduction in volumes, gives another $63m of sales. Don't see why that shouldn't feed directly into profit, less 15% for minorities and a tax charge of 20%, giving H1 2022 earnings of around $78m.

It'll be interesting to see if my prediction is close but, if so, puts AEP on a cash adjusted P/E based on H1 2022 of 1.1 or an EBITDA multiple of 0.9.

[ilad60] 27/6/2022 08:37

AGM Statement

the six mills processed a lower volume of crops with the Crude Palm Oil ("CPO") production at 187,000mt, 4% lower than the corresponding period in 2021 (five months to May 2021: 194,400mt).

The mills accordingly enjoyed a 54% higher average ex-mill price of $1,064/mt compared to $691/mt for the same period last year. The ex-mill price in Indonesia has, however, fallen by as much as 30% since 28 April 2022 due to the confusion and the uncertainty of the rules surrounding the export of palm products despite the export ban being lifted on 23 May 2022.

[stemis] 21/6/2022 15:15

Current market cap = $414m. Cash at 31 March was $253m. By end June sb at least $280m. Even assuming only 85% belongs to AEP shareholders, that's $238m, so an EV of $176m. In 1st half of 2021 AEP made earnings of $38m for it's shareholders (= $ 76m annualised). Cash free P/E of 2.3 at worst...

[ilad60] 21/6/2022 14:21

hxxps://evans.ir-data.com/article/id//slug/311428222342823220-indonesian-export-tax-update-2022-06-21

MP EVANS

As reported in the trading statement published on 10 June 2022, the Group achieved an average mill-gate price for its sales of crude palm oil of US$1,079 per tonne in the first five months of 2022, compared with US$715 for the same period in 2021. Following the government's revisions to the export duty and levy, coupled with a softening in the cif Rotterdam price, recent mill-gate prices achieved have been around US$750 per tonne.

[ilad60] 16/6/2022 06:30

A U.K. Value Pick: Anglo-Eastern Plantations

hxxps://uk.investing.com/analysis/a-uk-value-pick-angloeastern-plantations-200521687

[ilad60] 13/6/2022 11:54

RSPO Certification
The Group had been mulling to certify their plantations with RSPO, and as a first step has appointed an external consultant to study the cost and benefits of certification. The report of the study is available here:


hxxps://www.angloeastern.co.uk/~/media/Files/A/Anglo-Eastern/Sustainability/Sustainable%20Certification/RSPO%20Gap%20Analysis%20%20Strategic%20RecommendationsBrief.pdf

[34adsaddsa] 08/6/2022 21:55

Just amazingly stupid. They deliberately create a collapse in exports and then scramble to fix the crisis they created.

If they would just let the market work and use the export tax revenues + palm oil company profits to distribute funds to the population so they can buy oil at market prices everyone would be better off.

[stemis] 20/5/2022 12:24

Generated 70p in cash in one quarter alone...

[tigerbythetail] 20/5/2022 12:16

I still make AEP an out and out misprice - even factoring in every negative I can think of (derisory dividend, Indonesia unpredictability, 10%-15% local partners in subsidiaries, etc.)
$252m in cash in the group (and no debts) against a mcap of $420m (850p share price)!
$34m in cash added in the last quarter!
I do wish the company would pay a proper dividend and spend some money on proper corporate communication and PR. IMO, the share price would double if they did.