Replies to post #96539 on Sino Agro Food Inc (fka SIAF)

[Fluid]

This is what they've said before...

"On August 28, 2015 the Company concluded a three-day strategy meeting with Euro China Capital on the topic of creating shareholder value, which resulted in two main decisions.

Mr. Fredrik Danielsson of Euro China Capital will be nominated to join the Company's board of directors as an independent director with special focus on finance and capital markets related matters.
It is anticipated that the pace of divestments will be faster than initially announced. The Company now aims to assist 3 to 4 of its subsidiaries through either a listing or an M&A exercise within the next twelve to eighteen months."

[Traderfan]

Yes, that's why I said in my first posts that a doable (for once) time-table would have been nice, since this is really impossible for us to try to evaluate. Q at the CC needed of course!!

Agreed but then again they can tell us all they want in the CC, in the past it has never meant anything at all, not even close has something materialized when it comes to a time frame they told us in a CC. So the value of this is rather low.

Have to say I'm not sure about this, when and who?

Maybe I'm confusing it with FN and Nasdaq but I had the impression that there won't be a problem with Oslo company specific. Heck we have several people here who always claimed that not even the A-shares are a problem when it comes to Oslo.

I already told this, I could mean anything, f.e. that he don't even think OSE is needed to get the valuation/exit he wants smile!! Takes longer time, of course, but maybe he got an 10 year window for this.

Yes I agree, I just mentioned it because a lot of people have used this as an argument that Oslo will be imminent and without a problem. I guess my problem with a 10 year time frame is that we are already in this for 5 years+.

I think we have to have some clarifications, as usual after a PR, in the upcoming CC, problem is of course, if you're right and we're looking at a 1+year delay they really can't say that without blowing something else up our s's.

Well we all know how long it will take them to set up a complete new company with all the things they mentioned, committee and everything else, the spin off will take a while as well, I think saying we will have the spin off listed and trading in Oslo in 12 months from today is very optimistic if not more IMO. Now maybe somebody can tell me what other catalyst there will be that this stock will go back to even 14-15 in the mean time. And right now we have US markets at highs again and the SSEC recovering big time lately. Now think if that turns as well.

[Carog]

Hi everybody!

In my view the PR is great news. This will shorten our way to a proper valuation in the absolute most effective way there is.

Simple math on Aquaculture: Siaf today produced 5.300 tons and makes a gross profit of 27m. Company will add 10.000 tons during 2016, with similar profitability to take profits to 81m. SIAF will own 75% of this so that means 60m in profit. Peers in fishing sector trade on average at 10.5x on Oslo. Meaning that this Aquaculture divestiture should be worth usd600m when listed, which is 3x current market cap. This is based on the estimated runrate at the end of 2016.

SIAF will not sell this company they will do a separate listing of the Aquaculture assets on OSE.

A lot of the DD work is already done. Its likely that the legal dd is finished since they tell us in the PR how the company will look. Meaning there is no legal red flags when it comes to JV´s or the unincorporated companies. Meaning there is nothing hindering a deal like this. The deal will require financing and there will likely be some dillution, since we need a industrial partner to carry this through. My guess is that the dillution will be no more than 25 percent. But then we will own a Aqua culture company with 75 percent ownership in all of the Aqua assets.

On top of this, it will be a new management and one share class. Its all good!
If I werent already fully invested I certainly would buy on this news.

Stop focusing on any delay, this is certainly the fastest way to realize shareholder value.