Petra

Petra: OSK-DMG maintains Buy with TP $4.50, implying 30.9x FY15e P/E. Notes in its recent visits to Jakarta and Manila, the house observed that Petra is strongly positioned for the structural growth of modern trade channels in its two core markets. In Jakarta, Petra's products continue to dominate the chocolate confectionary shelves, with a more than 50% space. In Manila, Petra has a 10% mkt share mainly under the Goya brand. Since the divestment of its cocoa ingredients business in Dec '12, mgt has not made any moves despite sitting on an est US$250m war chest. The house believes M&As and/or new strategic product categories are likely to happen once ongoing litigation with Barry Callebaut reaches certainty.