This article first appeared in The Edge Financial Daily on February 20, 2018
PUC Bhd (+ve)
SHARES in PUC Bhd (fundamental: 1.5/3, valuation: 0/3) triggered our stocks with momentum algorithm for the first time this year.
The stock price went up 7.7% or two sen at 28 sen yesterday, with 142.71 million shares changing hands versus the counter’s 200-day average of 35,097,655 shares.
On Feb 9, PUC said Pictureworks (Hong Kong) Ltd — wholly owned by Pictureworks Holdings Sdn Bhd — signed a four-year exclusive partnership with Hong Kong’s theme park operator, Ocean Park Corp, to provide the latter end-to-end photo imaging products, services, and systems.
Last December, it proposed to acquire 33% of Pictureworks Holdings shareholdings from a group of individuals, including PUC managing director and chief executive officer Cheong Chia Chou. The RM52.8 million acquisition, which will be satisfied through a combination of cash and new share issuance, is still pending authority and shareholders’ approvals.
PUC is currently trading at 1.7 times its net book value.