Sino Grandness

Sino Grandness: Maybank-KE maintains BUY with a TP of $0.94, following the recent share split. Sino Grandness invited analysts for a 3-day trip in China and came away positively from visit to F&B trade fair in Wuhan and the plant visit in Danyang. Believe the stock is still undervalued at 5.1x FY13 PE and much more value is waiting to be unlocked via Garden Fresh IPO. The house was quite encouraged during stay in Wuhan by the achievements that Sino Grandness made. Newly-launched products seem well-received by the market and its distribution network is also more diversified and widespread. Overall, investment theme on Sino Grandness remains unchanged. Believe that if everything is carried out smoothly, Garden Fresh IPO should be able to complete before Oct 2014.