TALAMT – THE TOTALLY NEGLECTED PROPERTY STOCK WHOSE TIME HAS COME

Hi guys,

I first bought Talam at Rm1.00 when Dr. Neoh Soon Kean recommended it in his monthly digest more than a decade ago.

At that time Talam with its sister company Brisdale  were doing well. And Talam was also giving a nice 4 sen dividend then.

This is one of the few Stock that Grand Master Champion Sifu Dr. Neoh’s recommended which did not turn out as expected.

Of course Dr. Neon recommended SKPres which went up 1,000%. Also many others that gone up 500% to 800% over the years.

 

After buying Talam it crashed from Rm1.00 to 10 sen. A horrible drop of 90% & went into PN17.

I had 10 lots of Talam then. And from Rm10,000 it dropped to Rm1,000 (90% wiped off, how to recover from losses?)

Ha! Talam proposed 1 for 3 shares split.

Now I noticed that KEuro (Now WCE) is the Top Owner of Talam. And IJM took Huge Position in KEuro.

And so IJM being owned by EPF has put a leg into KEuro. And KEuro in turn has a leg inside Talam. So I deduced that Talam should have a 60/40 chance of survival. So I bought more Talam Shares at 10 sen. I also bought KEuro at 27 sen then. KEuro was supposed to get the West Coastal Highway from Klang to Lumut then.

And I was correct. KEuro went up in price to 81 sen for a nice 200% gain.

Talam after split rebounded in price. So I sold off Talam & recovered from all my losses. Above that, I even made 200% from KEuro.

 

More than 10 years have passed & Talam now renamed TalamT has fallen back to only 4 sen.

I took another look at TalamT as it has lots of Land Banks in Bukit Beruntung & Bukit Sentosa (Total of 2,200 acres of freehold lands still  at Old Book Value)

 

So many years have passed & properties & lands in KL, Penang, Selangor & even Johor have gone up by 200%, 400% 600% & in some cases by 1,000%.  Tebrau Teguh was once 10 Sen. Today name changed to  IWCity it is over Rm1.50 (Up 1,000%). Same goes for Focal Aims. It was only 11 sen in 2009. Today its name has changed to Ecoworld and price shot up 4,000% at one time.

 

So TalamT is a totally bombed out counter. Totally overlooked, unloved, unwanted & forsaken.

 

Herein, lies its potential now.

Why NOW?

BECAUSE GEELY WILL SIGN JV WITH PROTON TOMORROW (THIS FRIDAY, MOST PROBABLY)

If so the Assets of TalamT in Bukit Beruntung & Bukit Sentosa will see better days ahead.

My Friend Mr. Pang bought 2 shophouses in Bkt Beruntung more than 15 to 20 or more years ago. He bought it because of 2 rumours. Either or both New Airport & Bus Interchange will be built in Bukit Beruntung. So the opportune time to buy is before

KL Subang Airport relocate near Bukit Beruntung. And the prospect of shifting PUDURAYA BUS TERMINAL TO BUKIT BERUNTUNG FOR ALL OUTSTATION BUSES TO CONVERGE.

 

Alas! Both news were fake. Subang Airport shifted to Sepang in stead. And PUDURAYA BUS INTERCHANGE Relocated to Bandar Tasek Selatan. And so Mr. Pang’s 2 Shop Houses in Bkt Beruntung were left in limbo. No buyer & no tenant for many years.

NOW WITH THE IMPENDING JV BETWEEN GEELY & PROTON TO BE OFFICIALLY SIGNED THIS FRIDAY – There will be a Titanic Shift of PROTON’S PRODUCTIONS FROM SHAH ALAM & GLENMMARIE With Its 60,000 Staff to PROTON CITY in Tg Malim.

15 Vendors  And Parts Manufacturer that Supplied Parts to  Proton will also relocate their factories to TANJUNG MALIM

These Are The 15 Vendors Listed by FOCUS Mag

APM Automatic Holdings Bhd

Atlan Holdings Bhd

DRB-HICOM BHD

EP MANUFACTURING BHD

Globaltech Formation Bhd

HH Industries Bhd

Kumpulan Jetson Bhd

MCE Holdings Bhd

MBM RESOURCES

Paragon Union Bhd

Pecca Group Bhd

Sapura Industries Bhd

Scientex Bhd

SMES Corp Bhd

UMW Holdings Bhd

So many factories will relocate to Proton City.

 

And with Increasing Population the Demand for Shopping, Housing, Services & Others will increase.

Prices of Real Estate here will skyrocket.

 

When Pengerang’s RAPID was launched – 70,000 skilled & semi skilled workers flooded Sg Rengit & Desaru for housing needs. The Prices of shops, houses & rental shop up by 300% to 400%!

 

 

The same pattern will happen to Lands Surrounding Tanjung Malim State & PROTON CITY in particular.

 

A check with the 2,200 ACRES of Freehold Lands owned by TALAMT in Bukit Beruntung & Bukit Sentosa reveal that their cost per sq ft is below Rm5 psf to as low as only Rm1.50 psf.

 

As development & the WHEEL OF FORTUNE & THE WHEEL OF INDUSTRY MOVES UP NORTH

The Assets of TalamT in Bukit Beruntung & Bukit Sentosa will move up in tandem.

TalamT’s price is 4 sen with NAV over 8 sen.

And all its Assets, Shophouses, Highrise Offices & Lands are still at old book value

Already selling at more than 50% discount to NAV. The prices &  prospect of TalamT’s Lands in Bkt Beruntung is bound to go up.

 

Calvin is now turning bullish on TalamT & call for a buy at 4 sen.

This is better than Mr. Pang who bought his shophouses in Bkt Beruntung years back.

For now the Prospect and Turn for TalamT – whose time has finally come.

 

Please invest longer term to see value emerge

 

Calvin has a modest target price for TalamT at 8 sen – equal to 100% upside

Btw – TalamT’s orginal founder Mr. Chan has bought huge quantity of TalamT at 8 sen not too long ago.

So the target price of 8 sen is very possible in view of the coming Boom Up North.

 

Best Regards

 

Cheers

 

Calvin Tan

Singapore

 

Below is the Boom in Batu Kawan due to IKEA making Batu Kawan its HQ for Manufacturing. From Penang to Batu Kawan is over 46 km.

Map from Penang Island to Kampung Batu Kawan, Simpang Ampat, Penang, Malaysia

 

 

And the following map shows Distance from Tg Malim to Bkt Beruntung at 35 km which only takes 27 min drive by car through the North south higheway.

Map from Tanjong Malim, Perak, Malaysia to Bukit Beruntung, Rawang, Selangor, Malaysia

A New Catalyst for Stocks Through GEELY’s Imminent Investments into Proton City/Tg Malim (Calvin Tan

Hi guys,

I am reposting News from Geely Website to See What is in Store for Some Malaysian Stocks

 

Geely to take over Proton, Lotus

Chinese car-making giant set to snap up Malaysia’s ailing Proton
Surging Chinese car-maker Geely is set to take over Proton and Lotus parent company DRB-Hicom after outlasting France’s PSA Peugeot-Citroen in a bidding duel.

The takeover, which sources insist will be announced this week, will deliver Proton and sports car brand Lotus to Geely, to go along with its Swedish brand, Volvo, its recently announced Lynk&Co brand and the London Taxi Company.

DRB-Hicom asked Malaysia’s stock exchange to halt its trading yesterday, pending a major announcement, believed to be the acquisition of 51 per cent of the ailing concern by the Zhejiang Geely Holding Group.

Geely’s bidding battle with the Dongfeng-controlled PSA (the parent company of Peugeot and Citroen) saw DRB-Hicom shares rise to their highest point in two months, while Geely shares surged to an all-time high on the Hong Kong stock exchange.

The highest-performing stock on the Hang Seng index, with 250 per cent growth in the last 12 months, Geely took over Volvo from Ford in 2010 for $US1.5 billion.

It hasn’t been a smooth process, with Geely pulling out of the bidding process as recently as mid-April, accusing DRB-Hicom of dithering over the selection process.

“They keep changing, today it’s this, tomorrow it’s that,” said Geely chairman Li Shufu said in April. “They haven’t decided what they want.”

The glamour part of the deal gives Geely full control of Lotus Cars, the sports car operation based in Hethel, near Norwich, England, that has racked up losses for decades and has essentially been in a holding pattern since controversial former boss, Dany Bahar, was sacked in 2012.

However, sources have admitted there are other, more significant reasons why the deal makes sense for Geely.

The most important of those is access to Proton’s Tanjung Malim plant, which is barely utilised today but has a capacity of 150,000 cars a year. That plant will give Geely its first right-hand drive production capacity (outside Volvo’s Swedish operations), allowing it to access 84 countries markets that are barred to it today.

The first part of the deal would be to transfer right-hand drive production of the Lynk&Co 01 SUV to Tanjung Malim so the car could be sold in countries like Australia, the UK, Japan and South Africa.

Due to be launched in China late this year, the 01 will also be launched in Europe midway through 2018 and three other models are planned to follow by 2021.

As Malaysia is part of a free-trade ASEAN bloc, it would also allow Geely to export cars tax free to Brunei, Singapore, Indonesia, The Philippines, Thailand, Vietnam, Laos, Cambodia and Vietnam.

The Lotus takeover brings a surprising benefit for Geely, too. It is pursuing a plastic body-on-aluminium architecture for its London Taxi program, and nobody has more experience at bonding the two materials together than Lotus, which has used the technology effectively for the Elise and Elise-based sports cars for 20 years.

What Geely plans to do with the ailing Proton brand remains a mystery, even to senior Geely insiders, who believed the brand’s future was far from locked in. If it survives at all, it would be as the Group’s budget brand.

Its domestic market share fell from 15.3 per cent in 2015 to just 12.5 per cent in 2016, while total production fell 29 per cent last year to just 72,300 cars.

Geely itself has no such concerns, with its sales growing 63.5 per cent from the first quarter of 2016 to the same period this year, according to JATO Dynamics.

The Geely Group now ranks 13th in the world with 410,830 sales in the first quarter of the year, placing it just behind Daimler and BMW and ahead of Mazda.

It sold 330,000 cars a year before it swallowed up Volvo (which was then selling roughly the same number of cars). Combined into a Group, the two brands moved 1.3 million cars last year and it is aiming for 2.8 million by 2020, with 800,000 of those from Sweden.

Besides its nine Chinese plants, Geely also has factories in Belgium, Sweden and England and builds around 20 different models. It has design studios in Gothenburg, Sweden, Shanghai, Pasadena in California and Barcelona, Spain, employing around 500 designers.

It’s also the biggest of the Chinese outfits, outranking 15th-placed Changan (389,305 cars sold in the first quarter of the year), Great Wall in 19th and GAC in 20th.

Interestingly, while PSA ranks 10th with 682,174 cars sold in the first quarter, just ahead of Daimler and behind Suzuki in size, it is controlled by China’s Dongfeng, which sold only 239,818 cars over the same period and is the 18th biggest car-maker in the world.

But PSA and Dongfeng are also struggling to swallow the recent takeover of General Motors’ German operation, Opel, and PSA itself lost five per cent in sales so far this year.

See this SUV being mentioned for production in Tg Malim Plant
Calvin comments:
These are the Top 5 beneficiaries when GEELY Set Up Shops in Tg Malim
1) MAJU PERAK
Maju Perak will benefit directly due to its 230.44 Acres of Industrial/Commercial/Residential lands right beside Proton City
2) DRB Hicom
Shah Alam & Glenmarie assets will see the unlocking of value as operations
shift to Proton City. Followed by 60,000 Proton current staff.
3) BINA PURI
BPuri’s LATTAR HIGHWAY will see increasing traffic. Toll collections will increase
4) BJ CORP
End of LATTAR Highway is Bestari Jaya. Bj Corp own 3,200 Acres of Lands here. Land value is bound to increase
5) TALAMT
TalamT has 2,200 acres of freehold lands in Bkt Beruntung/Bkt Sentosa
along the North South Highway not far from Tg Malim.
Also 236 acres of lands in Bandar Bestari Jaya
The reasons why these stocks should benefit are due to the increased economic activities brought by Geely
Read again
1) The most important of those is access to Proton’s Tanjung Malim plant, which is barely utilised today but has a capacity of 150,000 cars a year. That plant will give Geely its first right-hand drive production capacity (outside Volvo’s Swedish operations), allowing it to access 84 countries markets that are barred to it today.
Through Tg Malim Geely can now access 84 Markets which China (Geely) is now barred from exporting. 
2) The first part of the deal would be to transfer right-hand drive production of the Lynk&Co 01 SUV to Tanjung Malim so the car could be sold in countries like Australia, the UK, Japan and South Africa.
SUV will be produced here. Currently  Proton has saloon cars & 2 MPVs (Proton Ertiga/Proton Exora) So this SUV fits Proton well
3) As Malaysia is part of a free-trade ASEAN bloc, it would also allow Geely to export cars tax free to Brunei, Singapore, Indonesia, The Philippines, Thailand, Vietnam, Laos, Cambodia and Vietnam.
TAX FREE EXPORT TO ASEAN 10 NATIONS OF 620 MILLION PEOPLE
Further comments from Calvin
So now we SEE the Huge Ramp Up of Production in Tg Malim
GEELY THROUGH TG MALIM IS EXPORTING VOLVOS, SUVS, PROTONS & OTHERS TO OVER 100 COUNTRIES WORLDWIDE!
FINALLY,  TANJUNG MALIM WILL BE A FAMOUS PLACE ON WORLD MAP JUST LIKE DETROIT of USA, CHENNAI of India, AYUTTHAYA of Thailand or AICHI , TOYOTA CITY  of Japan
Regards
Calvin Tan
Singapore