Tuesday, August 14, 2012

Genting Berhad: Maintain Hold - Powering Down At Home

Powering Down At Home
  • Maintain HOLD. Genting disposed its 97.7% stake in its Malaysian power assets at a generous EV/MW of USD1.5m but makes no mention of special dividends from the cash proceeds of MYR2.5b (69sen/sh).
  • Although we cut our earnings by 4-10% on discontinued Malaysian power earnings and lower Genting Singapore earnings, the MYR1.9b EI gain from this deal keeps our RNAV-based TP at MYR10.00.
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Source: Maybank Research - 14 August 2012

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