STE's Stocks Investing Journey

image credit to channelnewsasia.com In last’s week’s Town-Hall meeting, in a distressed and disappointed mood, Hyflux "s CEO said that “ it was ironic that she built Hyflux and made it a successful business story started in Singapore and yet fail because of Singapore’s project ( Tuaspring Integrated Water & Power Project   -Link). The Town-hall meeting was attended by almost 600-700 retail investors ( mostly retirees), with one reported to have invested more than $250,000 in 4.25% Perps Bond and also 200 plus MTN holders in early session.

image credit to staritstimes.com Disclaimer : I am a Hyflux N2H ( 6% CPS ) holder, my view may carry some biases towards the company I have vested. As I said in my previous blog post, we shouldn't blame anyone for losses incurred in our investment except ourselves. Electricity tariffs to rise by 6.9% for July-September period ( from channelnewsasia.com - 29 th June 2018) This is what caught my attention and I think this will further contribute to a better bottom line of SP power ….. Yes, SP Power is making close to $900 mil per year   ( Base Annual Report from SP Power –  here ) and all the Genco is bleeding and in red of more than -$357 Mil in 2016 ( I’m sure it will be much more than this figure in 2017 and some estimated it could be close to $1 Bil ) image credit tp SP group.sg While : “Singapore's power generation sector has a total capacity of 13,350 megawatts (MW). Peak demand, however, averaged only 7,000 MW in the year to Ma...

Yes, this has been one of the hottest topics recently “ Hyflux applies for court supervision to re-organize liabilities, businesses “ ( here ). Thousands of investors will be affected by this sudden collapsed of Hyflux, yes, including Me. Nobody knows how things will turn out eventually under this so-called “ debt’s restructuring “ but I think for sure it is not good for ordinary or preference shareholders who’s typically rank lower in term of debt’s seniority as compared to secured bank loans. Hundreds of millions of bond and perps securities holders will also be affected. In anticipating for the worst, I will need to write off   $114,675.44 from my books as I am holding 1270 units of their 6% CPS. Total cost = $117,816.81 - $3141.37 ( interest received on 25 th April) Enough of warning has been given by analysts, bloggers on the problems of Hyflux in servicing their loans ( including bonds/ perps / CPS ) due to the company’s inability to generate eno...