Friday, September 20, 2013
KingWan: Counter's near-term catalyst would be the listing of KTIS on Thai Stock Exchange, after having received the approval for its IPO. According to a DMG rpt on 16 Aug, this would add a higher level of certainty on KingWan's declaration of a 1.5¢ special dividend/share, on top of its core 1.5¢ dividend. This translates to a 10% yield based on the current price of $0.30. KingWan's share price came off recently mainly due to the weakening Thai Baht and weak economic sentiment from the supposed Fed taper, which caused investors to expect a not-so-positive take up on the listing of KTIS. Stanchart's strategy rpt today highlights the potential inflows into THB bonds after seeing small buyers of THB bonds in recent weeks after having been heavy sellers since early June. The strengthening of the Thai Baht would be beneficial for its equity market.