Pacific Andes Resources Development (20 Nov 2009)

By Carey Wong
Fri, 20 Nov 2009, 08:54:49 SGT

Market Pulse: Pacific Andes Resources Development (20 Nov 2009)

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Pacific Andes Resources Development: Positioning for growth in market share

Summary: We visited Pacific Andes Resources Development’s (PARD) latest addition – China Fishery Group’s (CFGL) key flagship factory vessel, the Lafayette. This vessel will play a strategic role as the group positions itself for future fishing opportunities in the South Pacific, giving it a potential 20-25% market share of the Chilean Jack Mackerel market. This fish species could see wider human consumption, and this could support its price, which has already risen from less than US$600 per ton in 2001 to about US$1000 per ton (CIF) currently. The group has changed its financial year end to 28 Sep, and the next set of financial results is due out on 27 Nov 2009 which will cover the six-month period till 28 Sep 2009. We have made some changes to reflect the change in year-end, but our forecasts remain fairly unchanged pending the release of its results next week. We are also maintaining our BUY rating and fair value estimate of S$0.31. (Carmen Lee)

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NEWS HEADLINES

- IE Singapore expects Singapore’s total trade to grow 7-9% next year after an estimated 21-22% contraction this year.

- The US Conference Board leading indicator index rose for a seventh consecutive month in October.

- Asia Tiger Group is taking a controlling interest in UK-based waste-to-energy specialist Think Greenenergy Ltd.

- Manufacturing Integration Technology has received orders totaling S$6.7m from its semiconductor and contract equipment manufacturing customers.

- Gems TV Holdings is set to offer gemstone jewelry lovers in Japan mobile shopping for mobile phone subscribers.

- Sarin Technologies has launched the DiaMension HD, a high precision system for the measurement of diamonds.

- Golden Agri-Resources said it is in the process of actively evaluating its Liberia investment opportunities.

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