CNT paid RMB 78 million for the services provided by a real estate agent, relating to market research and promotion for a piece of land sold in Shanghai Luodian at total price of approximately RMB 1.4 billion. (A progressive rate in terms of land sale price per mu as agent fee was adopted for that piece of land sold.) This is extracted from the Company response to SGX today. Now, rmb78m is 5.57% of the sale price, which is awfully lucrative for the agent. In addition, I wonder how much profit the RMB1.4 billion sale produced. Considering that the total profit for the year was rmb234.5 m, I estimate it is a high % of the profit. In other words, the agent was paid very generously.
\"you should also ask them to appoint an international valuer to assess the current market value of all their land bank - based on my proprietary quatitative model, the total value of their net assets are many times their market cap. they should publish their RNAV (revalued net asset value) - many property companies know their RNAV. i\'m sure CNTD\'S RNAV is at least 50 - 60 cents versus their market price of only 11 cents\" - Above posting by a fellow at CNA forum is quite accurate in terms of the land value of China New Town. The market has yet to \'upsize\' China New Town\'s stock price....
I remember that E&Y expressed an auditor opinion with emphasis of matter with respect to their audited financial statements for FY08. It was unqualified. What was that about and has it been resolved? Safe to go in now?
And I see more directors selling than buying.
The company is a very different animal (financial structure-wise) from a year ago. If I am not mistaken, they went thru hell, paying terribly high interest rates on borrowings, and then restructured the whole deals. They have put all these behind them, and have only profits to book in the months/years ahead. Just my 3 cents worth. Anyone knows more stuff abt this business is welcomed to share.
The major shareholder, SinoPower, bought 97,939,859 ordinary shares in open market! And exercised the conversion rights in full of Convertible Bonds into 754,145,894 ordinary shares. This one doesnt sound so good... dilution?