Sunvic

Sunvic: Business Times highlight that the company itself is enjoying strong growth and is one of the world's largest maker of specialty chemicals. The co is bullish on its outlook. After posting a Rmb 97m yuan ($20m) profit last yr, it is looking at tripling earnings this year, based on a strong pick-up in quarterly earnings. Its Q4 2012 earnings came in at Rmb 75m (the coy will release its Q1 2013 results this week). If we annualise its expected quarterly profit, we are looking at EPS of some 20c this yr, which translates into 2x P/E, while the stock trades 0.66x P/B. Grp note that if the market continues to undervalue its business, and the listing platform does not allow the group to tap capital markets, then probably privatisation will make sense. We recall how stock used to be a mkt darling few yrs back, when it was able to record stellar earnings / results and would not be surprised if market takes a more serious view / look on the stock again, after its strong bullish guidance for FY13.