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Transcentury IPO
bomboclat
#11 Posted : Wednesday, June 22, 2011 11:42:15 AM
Rank: New-farer

Joined: 2/22/2011
Posts: 41
Look at its books in other countries that it has invested in before you decide to buy those shares. It was making massive losses in other countries in Afica, can't remember where exactly and most Kenyans were or are not aware of it.
selah
#12 Posted : Wednesday, June 22, 2011 11:44:38 AM
Rank: Elder

Joined: 10/13/2009
Posts: 1,950
Location: in kenya
tony stark wrote:
ngapat wrote:
@25, my valuation

Based on what book value, earnings ??
The price OTC a few weeks ago before they closed the book at Dyer and Blair was 50- 60 bob.
Can you explain how you came to this value? Ama it was your gut(duodenum, ileum, stomach or rectum) feeling?

@ VVS im also waiting this out. Can not get a handle on the value of this company and with diversification into Africa this guys can cook the books and value the company holding at a huge premium. History of political patronage, the messed up RVR deal and now the gover is building a rival railway.... Nikubaya.
That is only in Kenya what happening to their holdings in other countries. I learned a lesson from Olympia I still need more info.


I think this is an over valuation although it depends on the number of shares issued.

I remember equity did the same thing with their Introductory price it was around 70/- 75/= there I cant remember but given its future prospects it quickly appreciated in price.

Now lets use layman language to analyze Transentury.

RVR -Loss making venture last yr the company pumped more than 600m into it and it disappeared into thin air.

EAC - well last yrs profits were a disappointment.

Engineering - performing averagely with stiff competition from Asian countries.

Others - Their chai products are selling well but its not their main line of business while real estate is mostly tied in debts.(the last time I checked)

so can someone please enlighten us on why I should buy this stock above 20/=(No valuation done to come with this value)
'......to the acknowledgment of the mystery of God, and of the Father, and of Christ; 3 In whom are hid all the treasures of wisdom and knowledge.' Colossians 2:2-3
the deal
#13 Posted : Wednesday, June 22, 2011 11:50:17 AM
Rank: Elder

Joined: 9/25/2009
Posts: 4,534
Location: Windhoek/Nairobbery
Its coming overvalued...but we will find ways to make money out of it just like CFC insurance and Uchumi.
mwanahisa
#14 Posted : Wednesday, June 22, 2011 12:52:10 PM
Rank: Elder

Joined: 6/2/2008
Posts: 1,438
At the beginning, some folks will indeed make money from it. But I doubt that it will last for long. So this will have to be a hit and run affair.
selah
#15 Posted : Wednesday, June 22, 2011 12:53:40 PM
Rank: Elder

Joined: 10/13/2009
Posts: 1,950
Location: in kenya


Quote:
Private equity firm TransCentury’s share has been valued at Sh47 ahead
of listing on the Nairobi Stock Exchange by the end of the year.

Goodson Capital Partners, a South African-based strategy and research
firm said the company’s value stood at Sh12.5 billion, attributing the
price to its promising future.

The private equity company plans to float 267 million shares on the
stock exchange.

Mr Masinde concurred that an information memorandum will be a better
guide and this is expected to come after the market regulator, the
Capital Markets Authority, gives the green light for the firm to list
through introduction expected to take place by the end of this year.


Source RICH.CO.KE

My question is why was it valued in South Africa ? I would like to know how they came up with a 12b valuation.
'......to the acknowledgment of the mystery of God, and of the Father, and of Christ; 3 In whom are hid all the treasures of wisdom and knowledge.' Colossians 2:2-3
mwanahisa
#16 Posted : Wednesday, June 22, 2011 1:01:06 PM
Rank: Elder

Joined: 6/2/2008
Posts: 1,438
As far as I am concerned Trans Century is an Investment Holdings Co. - no different from the likes of Centum & the likes of RemGro (JSE listed co.)So why should we be valuing it differently from its peers?

KenyanLyrics
#17 Posted : Wednesday, June 22, 2011 1:05:19 PM
Rank: Veteran

Joined: 4/16/2010
Posts: 906
Location: Nairobi
bomboclat wrote:
Look at its books in other countries that it has invested in before you decide to buy those shares. It was making massive losses in other countries in Afica, can't remember where exactly and most Kenyans were or are not aware of it.

It's haemorrhaging money in Tanzania apparently.
selah
#18 Posted : Wednesday, June 22, 2011 1:20:51 PM
Rank: Elder

Joined: 10/13/2009
Posts: 1,950
Location: in kenya
Looking at a statement in BD indicates that OTC had overvalued it by a whooping 1.8B if we were to factor-in the current valuation.

Quote:
The Sh50 per share value of the company’s shares when it closed its books is also higher than the Sh12.5 billion valuation by Sh1.8 billion.



http://www.businessdaily...18/-/2pl9hj/-/index.html
'......to the acknowledgment of the mystery of God, and of the Father, and of Christ; 3 In whom are hid all the treasures of wisdom and knowledge.' Colossians 2:2-3
VituVingiSana
#19 Posted : Wednesday, June 22, 2011 2:33:58 PM
Rank: Chief

Joined: 1/3/2007
Posts: 18,361
Location: Nairobi
If you buy these shares then it is like buying Firestone yaani the cash goes to the TC 'owners' not TC itself.

I am NOT saying they will not grow but wait for the prospectus so we can check it out!
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
Wa_ithaka
#20 Posted : Wednesday, June 22, 2011 2:45:01 PM
Rank: Veteran

Joined: 1/7/2010
Posts: 1,279
Location: nbi
For Ksh47, you can but two Centum shares which may well be worth Ksh47 in two years time...
The Governor of Nyeri - 2017
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