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Ezra released their FY 2010 financials on October 22, 2010; and at the same time, there was also an announcement on the acquisition of two companies for a combined US$325 million (US$250 million + US$75 million). The details can be read up on SGXNet, so I will NOT be posting the salient aspects of the proposed acquisition. Although I had divested of Ezra one year ago in October 2009, I am still monitoring its business, financials and fundamentals by way of interest to assess if the divestment at the time was a correct choice, based on objective evidence and my thoughts at the time. That post one year ago can be found here.
While reviewing and analyzing the numbers from the financial statements, I had a distinctive feeling that the Balance Sheet quality had deteriorated significantly from a year ago, and the Income Statement also showed a similar but gradual deterioration. What I found out from my analysis is strictly based on an objective look at the hard numbers for Ezra as at August 31, 2010; and all conclusions are my own personal one. At no time at all should any reader construe this information as a recommendation to either buy or sell securities of Ezra Holdings Limited, and I shall NOT be responsible for any losses derived thereafter. Notwithstanding the upbeat press release by Ezra (drafted by Oaktree Advisers), I would like to give my objective view on some of the key numbers and financials from an analytical standpoint. Comments are encouraged and welcome in order for me to learn and grow as an investor.
At the same time, I also provide my comments on the proposed corporate financing deal which Ezra had proposed for Aker Marine Contractors (“Aker”) and AMC. I explain why the deal may not be as lucrative as reported in the glossy press releases and presentation slides, and present my view on the potential long-term effects of such an acquisition on the financial health of the Company. The usual disclaimers apply with regards to my comments here, as well. Read more...[caption id="attachment_4794" align="alignright" width="150" caption="Photo by moriza"][/caption]
Ezra released their FY 2010 financials on October 22, 2010; and at the same time, there was also an announcement on the acquisition of two companies for a combined US$325 million (US$250 million + US$75 million). The details can be read up on SGXNet, so I will NOT be posting the salient aspects of the proposed acquisition. Although I had divested of Ezra one year ago in October 2009, I am still monitoring its business, financials and fundamentals by way of interest to assess if the divestment at the time was a correct choice, based on objective evidence and my thoughts at the time. That post one year ago can be found here.
While reviewing and analyzing the numbers from the financial statements, I had a distinctive feeling that the Balance Sheet quality had deteriorated significantly from a year ago, and the Income Statement also showed a similar but gradual deterioration. What I found out from my analysis is strictly based on an objective look at the hard numbers for Ezra as at August 31, 2010; and all conclusions are my own personal one. At no time at all should any reader construe this information as a recommendation to either buy or sell securities of Ezra Holdings Limited, and I shall NOT be responsible for any losses derived thereafter. Notwithstanding the upbeat press release by Ezra (drafted by Oaktree Advisers), I would like to give my objective view on some of the key numbers and financials from an analytical standpoint. Comments are encouraged and welcome in order for me to learn and grow as an investor.
At the same time, I also provide my comments on the proposed corporate financing deal which Ezra had proposed for Aker Marine Contractors (“Aker”) and AMC. I explain why the deal may not be as lucrative as reported in the glossy press releases and presentation slides, and present my view on the potential long-term effects of such an acquisition on the financial health of the Company. The usual disclaimers apply with regards to my comments here, as well. Read more...
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Ezra released their FY 2010 financials on October 22, 2010; and at the same time, there was also an announcement on the acquisition of two companies for a combined US$325 million (US$250 million + US$75 million). The details can be read up on SGXNet, so I will NOT be posting the salient aspects of the proposed acquisition. Although I had divested of Ezra one year ago in October 2009, I am still monitoring its business, financials and fundamentals by way of interest to assess if the divestment at the time was a correct choice, based on objective evidence and my thoughts at the time. That post one year ago can be found here.
While reviewing and analyzing the numbers from the financial statements, I had a distinctive feeling that the Balance Sheet quality had deteriorated significantly from a year ago, and the Income Statement also showed a similar but gradual deterioration. What I found out from my analysis is strictly based on an objective look at the hard numbers for Ezra as at August 31, 2010; and all conclusions are my own personal one. At no time at all should any reader construe this information as a recommendation to either buy or sell securities of Ezra Holdings Limited, and I shall NOT be responsible for any losses derived thereafter. Notwithstanding the upbeat press release by Ezra (drafted by Oaktree Advisers), I would like to give my objective view on some of the key numbers and financials from an analytical standpoint. Comments are encouraged and welcome in order for me to learn and grow as an investor.
At the same time, I also provide my comments on the proposed corporate financing deal which Ezra had proposed for Aker Marine Contractors (“Aker”) and AMC. I explain why the deal may not be as lucrative as reported in the glossy press releases and presentation slides, and present my view on the potential long-term effects of such an acquisition on the financial health of the Company. The usual disclaimers apply with regards to my comments here, as well. Read more...
