Monday, December 23, 2013
Declout: Counter broke out of its mid-term (60MA) downtrend on Friday and continued its positive momentum on good volumes today. Most notable corporate news occurred in Sep when Declout raised money to reinforce the group’s capital structure, enabling the group to have more flexibility in tapping growth opportunities for its IT Infrastructure Services and Vertical Domain Clouds segments. Declout is a potential beneficiary on the gradual initiation of the cloud computing industry and the commoditization of IT. Cloud computing alters the economic calculus of information technology via transition from products to services, from capex to opex. The transition to public or private clouds is gaining pace as companies in Singapore realize the potential for transforming business capabilities and driving new innovative services. Cloud computing in Singapore is expected to grow 43% from 2012-2017, exceeding the forecast of 29% in the region.