CFLB buys 12.5% of COLO

mono · 1 CFLB buys 12.5% of COLO Fri Aug 12, 2011 5:56 pm

mono

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http://www.cse.lk/cmt/upload_cse_announcements/121313149706_.pdf

cse_investor · 2 Re: CFLB buys 12.5% of COLO Fri Aug 12, 2011 6:00 pm

cse_investor

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Smart move, they will know COLO's quarterly results. Same as DIMO the share is undervalued in my eyes at current price levels.

RIO · 3 Re: CFLB buys 12.5% of COLO Fri Aug 12, 2011 7:49 pm

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cse_investor wrote:Smart move, they will know COLO's quarterly results. Same as DIMO the share is undervalued in my eyes at current price levels.

I wonder how COLO is compared with DIMO.... scratch

DIMO imports Mercedes, Chrysler & TATA Brand Vehicles + Mahindra Tractors + Spares + Osrams Lights etc etc but their main income generator is Automobile market

Can you ps post which vehicle Brand is imported to SL by COLO now...? or any other business they are actively involved....?

RockStock · 4 Re: CFLB buys 12.5% of COLO Fri Aug 12, 2011 8:32 pm

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RIO wrote:

cse_investor wrote:Smart move, they will know COLO's quarterly results. Same as DIMO the share is undervalued in my eyes at current price levels.

I wonder how COLO is compared with DIMO....

DIMO imports Mercedes, Chrysler & TATA Brand Vehicles + Mahindra Tractors + Spares + Osrams Lights etc etc but their main income generator is Automobile market

Can you ps post which vehicle Brand is imported to SL by COLO now...? or any other business they are actively involved....?

They import KIA vehicles including popular KIA Sportage, They also involved in spare part sale considerably

They have other significant investments including equities and a free hold land at Union Place

Refer following for further information
http://forum.srilankaequity.com/t5669-cabo-balance-sheet-analysis

FXX · 5 Re: CFLB buys 12.5% of COLO Fri Aug 12, 2011 8:48 pm

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RIO wrote:

cse_investor wrote:Smart move, they will know COLO's quarterly results. Same as DIMO the share is undervalued in my eyes at current price levels.

I wonder how COLO is compared with DIMO....

DIMO imports Mercedes, Chrysler & TATA Brand Vehicles + Mahindra Tractors + Spares + Osrams Lights etc etc but their main income generator is Automobile market

Can you ps post which vehicle Brand is imported to SL by COLO now...? or any other business they are actively involved....?

Recently they started Importing Tata Nano expect to be a big hit in Sri Lanka Very Happy

Aamiable · 6 Re: CFLB buys 12.5% of COLO Fri Aug 12, 2011 8:55 pm

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CFLB is another share to watch Smile

eeyohan · 7 Re: CFLB buys 12.5% of COLO Fri Aug 12, 2011 9:56 pm

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Most important thing is wat will happen to COLO ?
is it good news or bad news ?
wat will happen to the price ? Question

cse_investor · 8 Re: CFLB buys 12.5% of COLO Sat Aug 13, 2011 12:58 am

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RIO wrote:

cse_investor wrote:Smart move, they will know COLO's quarterly results. Same as DIMO the share is undervalued in my eyes at current price levels.

I wonder how COLO is compared with DIMO....

DIMO imports Mercedes, Chrysler & TATA Brand Vehicles + Mahindra Tractors + Spares + Osrams Lights etc etc but their main income generator is Automobile market

Can you ps post which vehicle Brand is imported to SL by COLO now...? or any other business they are actively involved....?

@RIO

Please see RockStock's reply above, which is spot on. Both companies are active in the automobile industry and with COLO's results due soon we can expect both to be trading at similar PE ratios. Hence the comparison, apples with apples.

cse_investor · 9 Re: CFLB buys 12.5% of COLO Sat Aug 13, 2011 1:01 am

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eeyohan wrote:Most important thing is wat will happen to COLO ?
is it good news or bad news ?
wat will happen to the price ?

@eeyohan

Their results will be out soon. Why would the major shareholder increase their stake by 12.5% if bad news was to come? As far as I know their results are excellent. We'll know soon whether I'm right.

sajeethk · 10 Re: CFLB buys 12.5% of COLO Sat Aug 13, 2011 6:53 am

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COLO have some investment as well in listed companies. since overall market improvement will be impact on NVPS inCOLO

RIO · 11 Re: CFLB buys 12.5% of COLO Sat Aug 13, 2011 8:47 am

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cse_investor wrote:@RIO

Please see RockStock's reply above, which is spot on. Both companies are active in the automobile industry and with COLO's results due soon we can expect both to be trading at similar PE ratios. Hence the comparison, apples with apples.

I can see only you are comparing Fruits with Fruits....but unfortunately its Apples with Papols...!

Kinm hunter · 12 Re: CFLB buys 12.5% of COLO Sat Aug 13, 2011 12:06 pm

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Smart move, they will know COLO's quarterly results. Same as DIMO the share is undervalued in my eyes at current price levels.
cse_investor
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How can it be a smart move , becz CFLB was the holding company even before this acquisition, holding 52% stake. Now they have increased it to 65%.

However there may be another reason behind that. Try to think what it is…….

cse_investor · 13 Re: CFLB buys 12.5% of COLO Sat Aug 13, 2011 3:27 pm

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Kinm hunter wrote:
Smart move, they will know COLO's quarterly results. Same as DIMO the share is undervalued in my eyes at current price levels.
cse_investor
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How can it be a smart move , becz CFLB was the holding company even before this acquisition, holding 52% stake. Now they have increased it to 65%.

However there may be another reason behind that. Try to think what it is…….

@Kinm hunter

A smart move for two main reasons:

1) There have been numerous rumors in the past about COLO losing the KIA franchise. This has contributed to the share price falling. CFLB will know exactly what the truth is.

2) CLFB also exactly knows the company's performance, what the quarterly results will look like and what the outlook for the next few quarters is.

CFLB has an advantage over any trader or stock broker, simply because of knowledge. This purchase is an investment just like any other, only that it's one of their own subsidiaries they bought a stake in. It's got nothing to do with manifesting control, it's simply a money making move. They have the cash to hold for months and even years if needed, so it'll just be a matter of time for them to double their money.

mark · 14 Re: CFLB buys 12.5% of COLO Sat Aug 13, 2011 4:23 pm

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RIO wrote:

cse_investor wrote:Smart move, they will know COLO's quarterly results. Same as DIMO the share is undervalued in my eyes at current price levels.

I wonder how COLO is compared with DIMO....

DIMO imports Mercedes, Chrysler & TATA Brand Vehicles + Mahindra Tractors + Spares + Osrams Lights etc etc but their main income generator is Automobile market

Can you ps post which vehicle Brand is imported to SL by COLO now...? or any other business they are actively involved....?

Their fully‐owned subsidiary KIA Motors also imports a range of vehicles such as Jeeps‐Sport Utility Vehicles (SUVs), motor cars.

The company is a preferred supplier of parts to the Sri Lanka Transport Board for Tata and Ashok Leyland buses.The company also supports Land Rover customers with maintenance, undertaking repairs/restoration of Defenders, hard tops and soft tops and also supplies parts for government institutions, ministries and the armed forces.

cse_investor · 15 Re: CFLB buys 12.5% of COLO Mon Aug 15, 2011 10:35 am

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@RIO

I guess now you know why I said it was a smart move.

duke · 16 Re: CFLB buys 12.5% of COLO Mon Aug 15, 2011 10:48 am

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Was this another inter-family transaction? Lankem/CFLB family are famous for swapping assets with each other and taking the retail customers for a ride..

arun2267 · 17 Re: CFLB buys 12.5% of COLO Mon Aug 15, 2011 10:54 am

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good news for colo shareholder:

http://www.ft.lk/2011/08/15/controlling-shareholder-cflb-buys-12-more-of-colonial-motors-for-rs-319-m/

cse_investor · 18 Re: CFLB buys 12.5% of COLO Mon Aug 15, 2011 10:55 am

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@duke

Shares were purchased from Dr. Senthiverl, see the link posted by arun2267

duke · 19 Re: CFLB buys 12.5% of COLO Mon Aug 15, 2011 11:25 am

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cse_investor wrote:@duke

Shares were purchased from Dr. Senthiverl, see the link posted by arun2267

Thanks cse_investor and arun2267. So Dr. Senthiverl wanted to exit and the parent company purchased it.

cse_investor · 20 Re: CFLB buys 12.5% of COLO Mon Aug 15, 2011 11:35 am

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@duke

Spot on. As mentioned before I consider this a very smart move because they will know what the results look like already. This buy also confirms that the rumors about losing the KIA franchise are highly unlikely. Wouldn't be surprised if this goes straight back to 500 in a rather short period of time. At least that's my feeling, especially since several major HNWI are collecting heavily today.

duke · 21 Re: CFLB buys 12.5% of COLO Mon Aug 15, 2011 12:14 pm

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What I meant to say is that, HNWI wanted to sell and the parent company decided to buy it because somebody has to buy it. And everybody made news around it.

Antonym · 22 Re: CFLB buys 12.5% of COLO Sat Sep 03, 2011 11:25 pm

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Since this transaction, the COLO share price has increased from Rs 285 to Rs 487.60.

Who has benefited the most from this? CFLB, obviously - since they own 64% of COLO. The market value of CFLB's stake in COLO has increased by a whopping Rs 1.183 billion.

This works out to Rs 6.57 per CFLB share. Yet, the CFLB share price has actually declined since then! I smell an opportunity...

themask · 23 Re: CFLB buys 12.5% of COLO Sun Sep 04, 2011 12:30 am

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cse_investor wrote:

eeyohan wrote:Most important thing is wat will happen to COLO ?
is it good news or bad news ?
wat will happen to the price ?

@eeyohan

Their results will be out soon. Why would the major shareholder increase their stake by 12.5% if bad news was to come? As far as I know their results are excellent. We'll know soon whether I'm right.

Quarterly EPS 15.7 compared to 26.11 Annual EPS for 2010/2011.

ShareShares · 24 Re: CFLB buys 12.5% of COLO Sun Sep 04, 2011 6:32 am

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That is the concern, when COLO is identified it has gone up. No body mentioned about CFLB buying this share at the beginning. announcement is too late. Investors need to know them vey early. At least BIL is recognized early. CFLB under observation.

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CFLB buys 12.5% of COLO

1 CFLB buys 12.5% of COLO Fri Aug 12, 2011 5:56 pm

mono

2 Re: CFLB buys 12.5% of COLO Fri Aug 12, 2011 6:00 pm

cse_investor

3 Re: CFLB buys 12.5% of COLO Fri Aug 12, 2011 7:49 pm

RIO

4 Re: CFLB buys 12.5% of COLO Fri Aug 12, 2011 8:32 pm

RockStock

5 Re: CFLB buys 12.5% of COLO Fri Aug 12, 2011 8:48 pm

FXX

6 Re: CFLB buys 12.5% of COLO Fri Aug 12, 2011 8:55 pm

Aamiable

7 Re: CFLB buys 12.5% of COLO Fri Aug 12, 2011 9:56 pm

eeyohan

8 Re: CFLB buys 12.5% of COLO Sat Aug 13, 2011 12:58 am

cse_investor

9 Re: CFLB buys 12.5% of COLO Sat Aug 13, 2011 1:01 am

cse_investor

10 Re: CFLB buys 12.5% of COLO Sat Aug 13, 2011 6:53 am

sajeethk

11 Re: CFLB buys 12.5% of COLO Sat Aug 13, 2011 8:47 am

RIO

12 Re: CFLB buys 12.5% of COLO Sat Aug 13, 2011 12:06 pm

Kinm hunter

13 Re: CFLB buys 12.5% of COLO Sat Aug 13, 2011 3:27 pm

cse_investor

14 Re: CFLB buys 12.5% of COLO Sat Aug 13, 2011 4:23 pm

mark

15 Re: CFLB buys 12.5% of COLO Mon Aug 15, 2011 10:35 am

cse_investor

16 Re: CFLB buys 12.5% of COLO Mon Aug 15, 2011 10:48 am

duke

17 Re: CFLB buys 12.5% of COLO Mon Aug 15, 2011 10:54 am

arun2267

18 Re: CFLB buys 12.5% of COLO Mon Aug 15, 2011 10:55 am

cse_investor

19 Re: CFLB buys 12.5% of COLO Mon Aug 15, 2011 11:25 am

duke

20 Re: CFLB buys 12.5% of COLO Mon Aug 15, 2011 11:35 am

cse_investor

21 Re: CFLB buys 12.5% of COLO Mon Aug 15, 2011 12:14 pm

duke

22 Re: CFLB buys 12.5% of COLO Sat Sep 03, 2011 11:25 pm

Antonym

23 Re: CFLB buys 12.5% of COLO Sun Sep 04, 2011 12:30 am

themask

24 Re: CFLB buys 12.5% of COLO Sun Sep 04, 2011 6:32 am

ShareShares

25 Re: CFLB buys 12.5% of COLO

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