I got introduced to a value stock recently, Haw Par Corporation (HPC) with ticker code H02. I took a look and liked what I saw. As a result, I decided to collect some of its shares. In this post, I will describe my thinking process behind it.

As usual, please take my words with a pinch of salt. I have vested interest in the company. I am also just a DIY investor and may be totally wrong.

With the disclaimer out of the way, let’s examine what the company does.

Company Background

HPC is perhaps best known as the manufacturer of Tiger Balm, a traditional Chinese medicine brand. However, HPC is primarily an investment company first and foremost. Tiger Balm comes next, then tourist operations third. The following pie charts show where HPC earns income from.

Source: Haw Par Annual Report 2019

First of all, HPC owns a substantial number of UOB and UOL shares. In case you are unfamiliar