APPT - Asian Pay Television Trust

Prospectus here.

In a single line - AVOID.  Yes, the yield 8.25 - 9.0 % looks lucrative and the business model sounds like "starhub". So people may jump in not to miss the opportunity. But when you see the assets which MIIF is trying to put under APPT, then you may realize :)

Asian Pay Television is a newly constituted Registered Business Trust formed to acquire its initial
asset, the TBC Group. The TBC Group is Taiwan’s third-largest cable TV operator, with more than
751,000 Basic Cable TV RGUs as at 31 December 2012. 

Then, the revenue/loss/profit number for the last two years is not very promising either. Though the margins are good the interest /finance costs are taking out all the money.

And their assets are kind of bloated if I're to calculate their nav. the intangible assets are close to 1.8 billions (or 89% of their total assets). Not quite sure what kind of intangible assets a cable operator can hold. Is it the 'license to operate'? Not sure and any way I am not an expert so I'll leave it up to the analysts and better informed people.

The cable industry or living room entertainment sounds lucrative but I see a very high risk in countries with good connectivity. Especially, SG, HK, Korea, TW etc. Reason, is Internet and once people start to use Internet streamed content the biggest margin squeeze would happen. It may not happen in this year but I feel it's not too far in future too. At the same time, the broadband prices are dropping YoY. So any increase in broadband share would be offset by falling prices.

So why should I pay $1 for a business making losses and doesn't have a solid future ? Is it for the 9% dividend? or trap?

* I may be missing the whole point here but this is my own opinion and I am not trying to induce someone to get in to buy or not to buy * ;)

Long term investing - Comparison of Cisco, Microsoft & Infosys

Have you ever wondered how people gained from the phenomenal growth of companies. We all know the Google story, and more recently the Apple story.

Ofcourse we have our local listed companies like Noble etc offering such growths (Sadly these days these are laggards)

Below is a comparison of three stocks (vested in all but not from IPO days.) and you'd be zealous to miss such an oppty.

See it to believe. So if you invested $100 in microsoft in year1986, you are sitting on 41,700 today. If it is Cisco in year 1990 then you are richer by 32,000. If it is Infosys, then you are a HNWI or UHNWI (High Net-Worth Individual or Ultra HNWI) and you can find banks queuing up infront of your home. Because that's > 16 million.

By the way all this numbers are without dividends :)

• Microsoft

• Cisco Systems

• Infosys 

HUTCHISON PORT HOLDINGS TRUST Opens at 0.97

HUTCHISON PORT HOLDINGS TRUST N (NS8U.SI ) opens at 0.97 on it's trading opening. The IPO price is 1.01 makes its about 4% discount :)
Just within the five minutes the total trading volume is > 100 million shares and HPH became the top volume stock in the market. The low is 0.960 so far with the high being 0.980 so far.

I think this continues the trend of stocks opening at less than the IPO price in SGX.

As I am writing this post the volume hit150 million.....May be it'll hit more than 500 million before end of the day..

Update: After three hours, the total volume is 616 million & value 591 millions and close @ 0.950


I think this is a record for a stock to hit that volume/value. By the way I won't believe that the price dropped due to the happenings in Japan. This is a perfect way for the promoters to dispose their assets and get hard cash..