Shareholders sees deep value in Rapid Synergy

by **Cals** Mon 25 Aug 2014, 04:58

Published: Saturday August 23, 2014 MYT 12:00:00 AM
Updated: Saturday August 23, 2014 MYT 7:04:37 AM
[size=40]Shareholders sees deep value in Rapid Synergy[/size]

Since early August, Datuk Dr Yu Kuan Chon has been mopping up shares of semiconductor firm Rapid Synergy Bhd, which he believes the company has growth potential.
Reiterating his investing philosophy, Yu says, “I’m a long-term investor, as long as the cash flow is good and well-managed, I will continue to invest in the company.”
Similarly, in the case of YNH Property Bhd, Yu says he “sees deep value in the company and will continue to buy as it is undervalued”.
“YNH Property will continue to develop its landbank in the foreseeable future and we are looking at a real estate investment trust structure for our investment assets under the group. This will be more tax-efficient,” he tells StarBizWeek.

As at Aug 20, Yu had a 20.25% direct interest In Rapid Synergy, with another 8.61% being held indirectly. This is about 3% more than what he held early this month. Bursa filings show that these shares were bought from the open market and off-market at prices between RM5.97 and RM6.00.
Interestingly, Yu has been buying when other directors of Rapid Synergy are selling their shares.
Yu has been a long-time shareholder of Rapid Synergy and a non-executive director since 1998.
Over the last few years, Yu has been buying up shares of his flagship property company, also on the belief that it is undervalued. Currently, he controls close to one-third of it as opposed to four years ago, when his stake was under 20%.
YNH Property is currently embarking on three new projects, one being the proposed RM3.4bil mixed development along Jalan Sultan Ismail in Kuala Lumpur.