KEE@FSWMAG.COM
THE LAUNCH OF THE PROSPECTUS OF CHINA STATIONERY AT SHANGRILA BALLROOM WAS AN ALL-BUSINESS EVENT WITH EVERY MAN BUT ME IN DARK BUSINESS SUIT. I WORE A DRAGON SHIRT AND DRAGON PANTS AS EARLIER I WAS AT MATIC ALONG JALAN AMPANG FOR THE CHINESE NEW YEAR LUNCH RIANG RIA WITH DATUK SERI DR NG YEN YEN THE MINISTER OF TOURISM.
THE NEW STRAITS TIMES PUBLISHED A BIG PHOTO OF ME AND DATUK SERI DR NG YEN YEN IN THE MAIN SECTION YESTERDAY AND MANY COMPLIMENTED ME ON IT AS I REALLY LOOKED LIKE A DRAGON LORD.
THE VIP GUEST OF HONOUR AT CHINA STATIONERY PROSPECTUS LANUCH WAS DATUK DONALD LIM THE DEPUTY MINISTER OF FINANCE AND THE AMBASSADOR OF CHINA PLUS HEAPS OF REMISIERS, FUND MANAGERS AND INVESTORS WHO CAME TO SEE IF CHINA STATIONERY WAS WORTH INVESTING AS IT WILL BE LISTED ON 24 FEBRUARY.
Dato Donald Lim, deputy Minister of Finance gave a speech where he reminded Chinese companies to pay out dividends! Behind is Tan Choon Hwa, a director of China Stationery which will be listed on 24 February so apply for the shares now at 95 sen per lot
THE LISTING PRICE IS ONY 95 SEN SO IT REALLY IS WORTH BUYING AT RM 950 PER LOT OF 1,000 SHARES. THE AMOUNT RAISED IS RM 85.5 MILLION SO THERE IS PLENTY OF ROOM FOR THE SHARES TO RISE AND RISE. I AM GOING TO INVEST AND WAIT TILL IT REACHES RM 4 OR AT LEAST RM 3!
Speech by Chan Fung, executive of China Stationery
Speech by Wong Gian Kui
Speech by HIs Excellency the Chinese ambassador Chai Xi
Speech by deputy Minister of Finance Dato Donald Lim
The directors and Chinese ambassador Chai Xi and deputy Minister of Finance Dato Donald Lim launching the prospectus by touching the magic ball which then lit up
All ready now
All together now---the VIPs touched the ball which flickered into life
The prospectus then appeared
The prospectus was a mega book weighing nearly 2 kg
Signing on the prospectus
Everyone took turn to autograph on the board
The deputy Minister of Finance Donald Lim, China's ambassador Chai Xi and directors of China Stationery including Tan Choon Hwa at extreme right
From 6 it is now 7
Now it is 8! An ever expanding party!
Now it is 9!
Is it 10 now? No, it remains at 9 and the prospectus is being shown
Dato Donald Lim accompanied by China Stationery director Tan Choon Hwa
I was given a prospectus contained inside this bag, a typical product of China Stationery
BELOW ARE THE SPEECHES FROM THE VIPS;
SPEECH BY
MR CHAN FUNG @ KWAN WING YIN
EXECUTIVE CHAIRMAN
CHINA STATIONERY LIMITED
LAUNCH OF PROSPECTUS CEREMONY
31ST JANUARY 2012
Yang Berhormat Dato’ Donald Lim Siang Chai
Deputy Finance Minister
His Excellency Chai Xi,
Ambassador Extraordinary and Plenipotentiary of the People’s Republic of China
to Malaysia
Yang Berbahagia Dato’ Azmi bin Abd Aziz
President of WG Capital (M) Sdn Bhd
Yang Berbahagia Dato’ Wong Gian Kui
Director of M&A Securities Sdn Bhd
Board members of China Stationery
It gives me great pleasure to stand before you here today in welcoming you to
our official launch of the Prospectus. A special note to thanks goes out to Yang
Berhormat Dato’ Donald Lim Siang Chai, Deputy Finance Minister and His
Excellency Chai Xi, Ambassador Extraordinary and Plenipotentiary of the
People’s Republic of China to Malaysia for gracing our event and agreeing to
launch our Prospectus today.
It has been a busy few months for us at China Stationery, with all the
preparations leading up to today’s event. I would like to thank M&A Securities for
their great efforts in preparing our long awaited Prospectus, and not forgetting
the relevant approval authorities and other professional advisers, for your support
that has led us here today.
Based in Putian, Fujian Province, China Stationery Group is an integrated plastic
stationery company with its own brands of plastic stationery products, proprietary
products and technical know-how.
The Group has grown, financially and operationally. Today, we have five
subsidiaries under the China Stationery’s umbrella. Our products are sold under
our own brands, namely, “SAKURA”, “NACHI” and “FOLDERSYS”. We design,
manufacture and sell a broad assortment of more than 450 plastic filing and
storage products such as expandable files, pocket files, pocket files with sheet
protectors, compact disc holder files, business card holders and albums as well
as our own patented products. Currently, our plastic tape printer is our main
proprietary and patented product.
Since our inception in 1991, we have established ourselves in the niche segment
of plastic filing and storage products. China Stationery is one of the few players
within this business segment. We strive to provide the best services to our
customers.
China Stationery has always stressed on quality and integrity. We have so far
never strayed from these fundamental principles and goals which have served us
well in the past and which will continue to guide us in the future. We will continue
to work hard to please our customers and our shareholders.
This listing is also a timely exercise for the Group as it will allow us to gain
access to the capital markets to tap funds for future expansion, diversification
and to support out continued growth.
I would like to invite the Malaysian public, institutional investors and fund
managers to participate in our IPO as I believe that the Group’s potential is
enormous.
SPEECH BY
YBHG DATO’ WONG GIAN KUI
DIRECTOR OF M&A SECURITIES SDN BHD
LAUNCH OF PROSPECTUS CEREMONY
31ST JANUARY 2012
Yang Berhormat Dato Donald Lim Siang Chai
Deputy Finance Minister
His Excellency Chai Xi,
Ambassador Extraordinary and Plenipotentiary of the People’s Republic of China to
Malaysia
Yang Berbahagia Dato’ Azmi bin Abd Aziz
President of WG Capital (M) Sdn Bhd
Mr Chan Fung @ Kwan Wing Yin
Executive Chairman of China Stationery Limited
Directors of China Stationery,
I am indeed honoured Yang Berhormat Dato’ Donald Lim Siang Chai and His
Excellency Chai Xi have taken time off from their busy schedule to grace this auspicious
occasion today, the launching of China Stationery’s Prospectus in conjunction with its
Listing on the Main Market of Bursa Malaysia Securities Berhad.
M&A Securities is pleased to be with China Stationery at this major milestone in its
corporate history.
This Prospectus launch marks the official opening date of China Stationery’s public
issue of 90 million new shares at an issue price of RM0.95 each comprising:
60 million shares made available to the Malaysian public via balloting; and
30 million shares made available for private placement to selected investors.
As part of the listing exercise, China Stationery will also be making an offer for sale of
133 million shares to selected investors via private placement.
The market capitalisation of China Stationery upon listing on the Main Market of Bursa
Securities will be RM1.13 billion based on its enlarged issued and paid up share capital
of 1.19 billion Shares.
The global plastic stationery market stood at USD75.0 billion in 2010 and is expected to
grow at a Compound Annual Growth Rate of 5.3 per cent over the next four years,
between 2011 and 2014. By 2014, the market size in terms of revenue is estimated to
reach USD91.2 billion.
This should augur well for China Stationery as the total market size of plastic stationery
in China is valued at USD7.1 billion in 2010 and is expected to reach USD8.3 billion in
2014 with a Compound Annual Growth Rate of 4.4 per cent.
It is a mature industry, whereby competition will turn from pure price competition to
multi-faceted brand competition consisting of service, management and shopping
environment.
We are indeed pleased to play a significant role in China Stationery’s listing and once
again, wish to extend our heartfelt appreciation and thanks to China Stationery for
having us as your Adviser, Underwriter and Placement Agent. We hope this working
relationship with China Stationery will continue into the future.
Finally, we, at M&A Securities, would like to congratulate the Promoters, Directors and
Shareholders of China Stationery on its listing on the Main Market of Bursa Securities.
We wish China Stationery and its Promoters and Directors every success and we look
forward to a fruitful long-term partnership together as you venture forward as a listed
company.
CHINA STATIONERY LIMITED
Bermuda Company Registration No: 40535
Malaysian Foreign Company Registration No: 995224-K
YB DATO’ DONALD LIM AND HIS EXCELLENCY CHAI XI
LAUNCHED CHINA STATIONERY’S PROSPECTUS
-expects to raise RM85.50 million from IPO Kuala
Lumpur, 31st January 2012 – Integrated plastic stationery company, China
Stationery Limited (中国文具有限公司) (“China Stationery” or the “Company”)
launched its Prospectus today in conjunction with its proposed listing on the Main
Market of Bursa Malaysia Securities Berhad ("Bursa Securities").
The Prospectus was officially launched by Yang Berhormat Dato’ Donald Lim Siang
Chai, Deputy Finance Minister; His Excellency Chai Xi, Ambassador Extraordinary of
Plenipotentiary of the People’s Republic of China to Malaysia; Mr Chan Fung @
Kwan Wing Yin (关永贤), Executive Chairman of China Stationery Limited; Yang
Berbahagia Dato' Wong Gian Kui (黄景基), Director of M&A Securities and Yang
Berbahagia Dato' Azmi Abd Aziz, President of WG Capital (M) Sdn Bhd.
Under the flotation exercise, the Company is issuing 90 million new shares at an
offer price of RM0.95 per share of which 60 million shares will be made available to
the Malaysian public via balloting while the remaining 30 million shares are
earmarked for private placement to selected investors.
CHINA STATIONERY LIMITED
Bermuda Company Registration No: 40535
Malaysian Foreign Company Registration No: 995224-K
As part of the listing exercise, China Stationery is also making an offer for sale of
133 million shares to selected investors via private placement.
The Company expects to raise RM85.50 million from its Initial Public Offering
("IPO"). Out of the total gross proceeds, RM29.42 million has been allocated for
purchase of machineries; RM25 million for purchase of machineries for research and
development department; RM10.78 million for advertising, branding and promotional
activities; RM10 million for working capital and the remaining RM10.30 million for its
listing expenses.
Moving forward, China Stationery will launch two new patented products namely
anti-tampering plastic envelope and second generation plastic tape printer this year.
The anti-tampering plastic envelope incorporates its proprietary anti-tampering seal,
and is expandable, water-proof and durable and affordable. Their target customers
for the anti-tampering plastic envelopes are global players of express mail service
industry as well as post offices in China and other countries.
Meanwhile, the second generation plastic tape printer is suitable for desktop as well
as office usage. The plastic tape from the new type of plastic tape printer could also
be utilized as an added security measure when applied to seal envelopes or other
mailing parcels.
Both products are expected to start contributing to the Group’s bottomline this year.
Revenue from patented products accounted for approximately 33.7%, 35.7%,
32.0%, 28.2%, 28.8% and 26.7% of our Group’s total revenue in Financial Year
ended 31st December 2007 (FYE2007), FYE2008, FYE2009, FYE2010, Financial
Period Ended 31st July 2010 (FPE2010) and FPE2011 respectively.
CHINA STATIONERY LIMITED
Bermuda Company Registration No: 40535
Malaysian Foreign Company Registration No: 995224-K
For FPE 2011, China Stationery registered RM105.90 million net profit compared
with RM102.20 million a year ago. Revenue from the period rose to RM451.05
million from RM371.77 million previously.
The prospectus is open for subscription from today until 10th February 2012. A copy
of the prospectus relating to this offering may be obtained from Bursa Malaysia's
website's (www.bursamalaysia.com).
M&A Securities Sdn Bhd is the Adviser, Underwriter and Placement Agent for the
transaction.
About China Stationery Limited
Based in Putian, Fujian Province, China Stationery Group (the “Group”) is an
integrated plastic stationery company with its own brands of plastic stationery
products, proprietary products and technical know-how.
The Group focuses on design, manufactures and sells a broad assortment of more
than 450 plastic filing and storage products such as expandable files, pocket files
with sheet protectors, compact disc holder files, business card holders and albums
as well as its own patented products under its own brands, namely “SAKURA”,
“NACHI”, and “FOLDERSYS”. Currently, the tape printer is China Stationery main
proprietary and patented product that is capable of printing customised adhesive
tape labels containing company logo or advertisement taglines, which are used to
seal corrugated or packaging boxes. Apart from selling products under its own
branding, the Group also undertake Original Equipment Manufacturing for its
customers.
CHINA STATIONERY LIMITED
Bermuda Company Registration No: 40535
Malaysian Foreign Company Registration No: 995224-K
The Company’s house-brand products are marketed in China and globally in over 45
countries to more than 400 customers including distributors, retailers and
corporations located in China, Asia (including Hong Kong, India, Indonesia, Japan,
Kuwait, the Philippines, South Korea and Taiwan excluding China), Europe, America
and other regions.
China Stationery’s manufacturing plant is located in Putian, Fujian Province, China
and is used for manufacturing of Polypropylene (“PP”) sheets, production of plastic
filing and storage products, production of its patented products and for
administration purposes. Its current production capacity of PP sheets stand at
approximately 27,600 tonnes per annum.
Led by Mr Chan Fung @ Kwan Wing Yin with over 20 years of industry experience,
the Group has built a reputation for its ability to consistently offer high quality
products to its customers. It has obtained numerous awards, accolades and
certification for its products and brand, which the Company believes is
testament to the quality, reliability and excellence of its products and processes.
The Company’s SAKURA brand of products has won numerous awards,
certifications and accolades including Fujian Province Branded Products ( 福 建
省 名 牌 产 品 ) (valid for 3 years until 2009) awarded by the Fujian Provincial
People’s Government (福建省人民政府), and Fujian Province Famous Trademark
(福建省著名商标) (valid for 3 years) awarded by the Fujian Administration for
Industry & Commerce (福建省工商行政管理局).
CHINA STATIONERY LIMITED
Bermuda Company Registration No: 40535
Malaysian Foreign Company Registration No: 995224-K
In 2006, China Stationery was one of only 5 manufacturers in China invited to
co-author the industry standards for files published by the State Development
and Reform Commission (中华人民共和国国家发展和改革委员会) in China.
For the financial year ended 31 December 2010, China Stationery recorded a net
profit of RM189.07 million on the back of RM669.88 million revenue. The Company
has net cash of RM543.21million as at May 2011.
China Stationery has a dividend payout policy of not less than 20% based on its net
profit distributable to its shareholders with respects to financial year ending 31
December 2011 onwards. It has consistently enjoyed a high net margin of more than
30% over the last three years.
Media and Investors Contact:
WG Capital (M) Sdn Bhd
Michelle Kuan
Tel: 603 2711 1828 / 0668, Mobile: 6012 335 8339
Email: michelle@wgcapital.com
Hannon Cheah
Tel: 603 2711 1828 / 0668, Mobile: 6012 295 0951
Email: hannon@wgcapital.com
The End
On 26 August 2013, the price of the stock has gone down to 23 sen per share. This is a calamity!
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