Owners of WAPO,
Rubber investment ---> Buki -------> Carson -------> Ceylon Guardian ------ WAPO.
Simply owners of WAPO are Carson Group Which is an investment group has a portfolio of more than LKR. 38 billion.
http://www.ft.lk/2011/05/23/ceylon-guardian-acuity-partners-tie-up-to-boost-unit-trust-industry/
In there Annual report they hint out following future potentials.
http://www.cse.lk/cmt/upload_report_file/612_1305287122.pdf
1. In future All Private Equities (private Placements) buy to Carson group through WAPO. Good opportunity to grow their Net Asset Per share.
2. They has a loss last year because of Payment of Divident Payment Rs. 132 per share. Anyway this seems good for me. Because they are an investment comany not a manufacturar or a service provider. So they share their porfit with shareholders. Rather than keeping good figures to window dressing their Final accounts.
3. They have already invest on EXPO LANKA. They hv bought
41,600,000 shares @ Rs. 6/-. So lets say Expo lanka will trade at Rs.14/- ( Which is the IPO price. But I'm 100% sure it will go more than that since it's most of shares bought by big fish not retailers like us). so shall we calculate the gain,
Expo Lanka 41,600,000*(14-6) = Rs. 332,800,000
so because of this earing WAPO EPS will become = 332,800,000/25,833,808= Rs.12.88
So EPS will reach to Rs. 12.88 from (-Rs.0.37)
4. They have balance Rs. 226.2 mn Capital to invest from their right issue.
There three types of Investment Ratios. Investor ratios, Financial ratios & Preformance ratios. At the movement this company investor ratios are bad eg: EPS,NSPS. but Financial ratios & Preformance ratios will say Stability of the company. so for me Financial ratios & Preformance ratios are good in this comany. For example ,
Current Ratio= current Assets/ current laibilities = 226,208/5,428=41.67 this is good because it has low liabilities. so High solvency.
My Advice is if you have already bought shares at resonable price. Hold for mid term. don't be panic to sell at a loss.
Disclouse - I have 1400 WAPO shares @ 194-200