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West China Cement has a simple, strong product, using very modern facilities, and is ideally placed as the second largest cement producers in the central China region of Shaanxi. It has ambitious but quite achievable targets for growth, an excellent growth track record and is currently stunningly good value.

WCC has raised significant capital to fund the development at Ankang, which has recently come on stream, soon to raise production capacity by 50% (1.8 million tonnes) to about 5.3m tonnes. The full benefit will be seen in H2 2009. The debt incurred for completing this development is expensive (due to the dreadful credit markets), but could still be comfortably repayed over the next 2 years, given the strong demand for their products and cash flow, if WCC were not aiming for further growth in production of 2m tonnes by Q3 2010.

Two new 1m tonne p.a. plants near the city of Hanzhong are targeted to come on stream in mid 2010. Debt for this new development should be charged at a modest 5%. The longer term target is to increase capacity yet further to some 10m tonnes p.a. by 2011.

Strong product: WCC has won awards for the quality of their building materials (e.g. in 2007 an award for Outstanding National Laboratory in the Building Materials Industry; more recently in January 2009 they were "Provincial Model Enterprise for Environmental Protection"). WCC was the first in Shaanxi to get ISO14001 (Environmental Management system) accreditation. They also use waste heat for power generation. This is important, as small and less green and efficient producers have been shut down. The Lantian waste heat project was completed in August with expected cost savings of RMB 14 million p.a.. WCC naturally got official praise for this too.

Ideally Placed: While the current downturn has hit export-based areas of China such as Guangdong, WCC is well removed from this, being located in Shaanxi, one of the key provinces targetted by the government for infrastructure development, with a host of roads and railways being planned and built to both improve the local transport links and also use Shaanxi as a corridor connecting other parts of China. The government's huge stimulus package specifically targets this kind of development, and in this area. WCC's recent expansion with Ankang, and the two new 1m tonne developments at Yangxian and Mianxian (near Hanzhong), are in the South West of Shaanxi, where there is little competition and robust demand, so margins should be good. WCC have won a number of contracts in the last year, and have obviously excellent prospects for more, which will result in a healthy order book. Currently, there is additional demand from the earthquake-shattered areas of neighbouring Sichuan, and WCC are providing cement for reconstruction work.

The board is well connected, with the CEO Jimin Zhang being a Shaanxi Congress Delegate, advising on links between government and Enterprise.

Last Results : http://www.westchinacement.com/newEbiz1/en290yaobores/images/in/ss3.pdf



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This one is on a current year PER of just over times 2, and a forward PER of under times 2. Makes it very cheap.

I had a change of stance on this one and have been buying in since 120p levels, and see the potential here to do a "SOLA" given over 1 pounds of earnings forecasts for next year.


Broker forecasts :


Evolution Watter... 31-03-09 BUY

2009 PTP 56.62m
2009 EPS 78.63p

2010 PTP 75.94m
2010 EPS 104.57p

Another benefit for WCC now, as investement goes, is that it is past the 100 million pounds market cap level.

As is known, recently all stocks under 100m were classed as "micro-cap" by many hedge funds, which will make them "untouchable" to those funds however WCC has crossed that point, and with such outstanding potential is surely going to be of interest to many a hedge fund manager looking for a stock with very high growth potential, but one that is also liquid and above a market cap barrier of 100m and also has the enviable position of having the next few years of their growth pretty much lined up and in the bag already with the effects of the China Domestic Stimulus package.

On the up again today, its difficult to get your head around it, when you see over 100p of earnings forecast for next year, but thats what it is.

Times 6 = 600p.

Many other cement stocks in Asia are presently on times 20 or more. Not worth thinking about, getting to times 6 is already presently considerable upside.

Will it break upwards through 200p before close today, ahead of the long weekend ?

That would put it on a PE of times 2 for 2010 results.........or of times 3 for 2009 results...........

Plenty of upside to come, and a strong rerating over the remainder of 2009 should be happening.

Going over the 100m market cap level now makes this "attractive" and "possible" for hedge funds to start buying, and given the outlook for demand and therefore the strength of the outlook, it must be attractive to some. Would be good to see some chunks getting purchased now and a strong move into the low 200's.

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Fundamentals and forecasts for WCC :


http://www.digitallook.com/cgi-bin/dlmedia/security.cgi?ac=&csi=201989&username=


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Quite stunning when you compare peers on other markets.

I notice that there is a sell note out on "Anhui Conch" who are a cement producer in Anhui. The note says the PER of times 21 is too high, and a new targer price of PER times 17 of current year forecast.


LOL.


Put WCC on current year forecast of 17 times and you get 17 x 1190p (yes near 12 pounds).

Do that again next year and you get 17 times 1785p (year near 18 pounds).

Now its never going to achieve that kind of rating on the AIM market, but they are looking to dual list as part of their loan deal announced last year.

Given the outlook, the peer group ratings on other markets and the liklihood of a dual listing then WCC certainly should fall into most peoples "put some in the bottom drawer" and keep for a couple of years kind of investment.

Not that many potential multibaggers out there, especially ones presently on a PER of less than times 3 and one that is profitable and expanding, now, through the use of internally generated cash.

Couple of media articles, one from Nov last year highlighting that WCC is likely going to be a big beneficiary of the Domestic Stimulus plan in China, and a more recent one from PI, snippets from both below :

http://wallstreetpit.com/998-chinas-585-billion-renovation

................Most of the bailout package will be spent on the raw materials and service-suppliers needed to build roads, bridges, and other infrastructure. We should be looking at companies who operate exclusively in that space. Here’s a few we would consider pure-plays on China aggressive infrastructure spending:

West China Cement (LSE: WCC) is definitely going to be very busy. It produces and sells cement, using environmentally sound practices, under the brand ‘Yaobai Cement’. It has three production lines in the Pucheng area (100 miles north of Xi’an) which can crank out 1.5 million tons of cement a year. A massive new plant, however, is scheduled to be completed in the next six months, bringing total production to 5.8 million tons. West China Cement had sales of about U.S. $430 million last year. Its profits and operating income increased about 70% from the previous year.

Guangshen Railway (NYSE: GSH) is a $107 billion transportation....................


-----------------------

http://www.proactiveinvestors.co.uk/companies/news/5073/west-china-cement-record-sales-and-approval-for-two-new-plants-in-earthquake-reconstruction-area--5073.html?WCC

..................The company is to set to supply a number of large infrastrucuture projects with cement over the next two or three next years as the Chinese government invests a large sums of its economic stimulus package on roads, railways and post-earthquake reconstruction in Western China.

The company also Monday announced approval for its Hanzhong ........................

LOOKING GOOD.

More good news today for WCC and the like as "cement stocks" were strong in Asian trading today on news of potential for yet more increased demand.


http://www.forbes.com/feeds/afx/2009/04/30/afx6358749.html

Thomson Reuters
China stocks rise 0.8 pct; property, cement strong
04.30.09, 01:04 AM EDT

SHANGHAI, April 30 (Reuters) - Chinese stocks rose 0.83 percent on Friday, with property and cement shares strong after a cut in capital requirements for investment projects while Shanghai-based firms ga.................

http://www.investegate.co.uk/Article.aspx?id=200905051204196840R

AGM result out, interesting........


RNS Number : 6840R
West China Cement Limited
05 May 2009

Result of Annual General Meeting

The Company is pleased to announce that all resolutions proposed at its Annual General Meeting, held earlier today, were duly passed by shareholders.

Brett Miller, Non-Executive Director, made the following remarks in response to a shareholder enquiry:

'Whilst AIM has served West China Cement very well, the Directors believe that a move to the Hong Kong Stock Exchange or London Stock Exchange Full List might be a natural progression for the Company. At the appropriate time, the Board will need to consider the merits, implications and timing of such a listing in detail. However, the Company's main focus at present is the operations of the business and managing the Company's growth, particularly in light of the recent announcement to build two new cement plants in the South West Shaanxi province.'

Enquiries:
Brett Miller, West China Cement Limited
Tel: +44 20 7584 3663


Christopher Caldwell or Emma Brewer, NCB Stockbrokers Ltd
Tel: + 44 20 7071 5200

Some large trades in there today, and the time they go through and the price kind of suggests that someone is buying lumps of WCC and builing a larger holding. Looks to me like institutional buying is going on, and who can blame them. If they can pick up a million of so WCC at sub 300p and wait a couple of years, they should be looking at quite spectacular gains.

Update from IC on 6th April :

http://www.investorschronicle.co.uk/

Tip update

BUY

WCC’s share price has rebounded in 2009 and it’s roughly where it was 12 months ago. Broker Evolution forecasts 2009 revenues of RMB 1.44m and nearly doubled net profits of RMB490m. Buy.

For those interested in a bit more detail of WCC, there are 5 MM's on WCC this being EVO, WINS, SCAP, LIBR and KBC.

Presently quite strong at 5 v 1 at 184/189



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Mentioned in the Times today under "Tiddler to Watch", snippet below, full article on the link.

http://business.timesonline.co.uk/tol/business/markets/article6252183.ece

".............Tiddler to watch

Shares in West China Cement, the cement producer located......................"


-----------------------


Little bird also says they got a write up in SCSW this weekend ( http://www.scsw.co.uk/ ) so it would seem that more and more people are getting to know a bit more about WCC and its potentially very exciting future and outlook.


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Looks like a small consolidation with profit taking/top slicing by some is now over.

Looking stronger, and it also appears some institutional buying has been going on.

Alan Gibbs at Waverton appears very bullish on West China Cement (WCC).

I agree with him on this company, perhaps not on some of his other views.


http://www.citywire.co.uk/adviser/-/news/fund-manager-views/content.aspx?ID=340459&Page=2

http://www.trustnet.com/News/Printable.aspx?scope=Offshore&id=36568


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Outlook statement from China Shuangji Cement's final results which were released on last Friday :

Business Outlook:

The Company is currently building a new 1 million metric ton cement plant outside Zhaoyuan City to replace the old Zhaoyuan plant and will be completed in July 2009. The Company acquired fifty-one percent ownership in a 300,000 metric ton plant in nearby Longkou, Shandong in April 2009 and will upgrade capacity to 500,000 metric tons by July 2009.

"We foresee positive business sales in the fiscal first quarter and beyond due to the Chinese Government decision to shut down a collection of small cement plants by the end of 2010 and the Chinese Government's recently announced 4-trillion-RMB ($586 billion) economic stimulus plan. This will result in expanding our cement market and increased commodity price for cement," stated Mr. Song.


Which confirms that the government is actively shutting down smaller and polluting cement producers (ones which also produce inferior grade cement) and they are encouraging the growing producers who utilise new plants and new cleaner technology. Which is why WCC is forecast to make over 100p of earnings in 2010, and much higher levels again in 2011 when all the plants presently planned contribute to a full year of revenue and profits.

WCC will continue to grow their output as demand is robust from not only continued construction projects, but also the shutting down of smaller cement producers.

Strong again today. When you look at the development of "expressways" in China (which in the UK would be classed as motorways) its quite staggering.

Again a benefit here is that expressways are now being built more so in central and western China, along with lots of cement roads replacing mud ones, and so, being in the right place where the demand is, a company like WCC can grow very strongly in the coming years.

Historical Development of Expressway Length in China

Year Distance (KM)

01-01-1988 0

01-01-1989 147

01-01-1990 271

01-01-1991 522

01-01-1992 574

01-01-1993 652

01-01-1994 1145

01-01-1995 1603

01-01-1996 2141

01-01-1997 3422

01-01-1998 4771

01-01-1999 8733

01-01-2000 11605

01-01-2001 16314

01-01-2002 19453

01-01-2003 25200

01-01-2004 29800

01-01-2005 34300

01-01-2006 41005

01-01-2007 45339

01-01-2008 53913

01-01-2009 60346

01-01-2010 65000 (projected)

Good news for WCC, as the price of electricity/coal is a major cost for cement producers. Over-capacity and weak prices is excellent for boosting margins, and boosted they should be in 2009 and 2010 at this rate.

http://www.mineweb.net/mineweb/view/mineweb/en/page38?oid=83752&sn=Detail


Is China headed for coal production overcapacity?

China's voracious energy demands notwithstanding, a China Coal Industry official suggests a trend for overcapacity may be emerging.

Author: Dorothy Kosich
Posted: Monday , 25 May 2009

RENO, NV -

The deputy director of the China Coal Industry Association says "weak demand has resulted in a clear trend for overcapacity" in the country's coal industry.

The nation's coal production incre...............

Outlook is very exciting as we all know. Taiwan companies see the potential too, the future looks very enticing for WCC and their location and prospects.

http://cens.com/cens/html/en/news/news_inner_27765.html

Taiwanese Cement Firms Step Up Investments in China

2009/06/01

Taipei, June 1, 2009 (CENS)--

To vie for the business opportunities generated by China`s policy to boost domestic demand, Taiwan-based cement producers are increasing investments in China.

Asia Cement Corporation said it would invest over NT$5 billion (US$153.37 million at US$1:NT$32.6) to set up four kilns in China in the next three years. Chia Hsin Cement Corporation will invest over 100 million renminbi to exp........................

Good news :

http://www.investegate.co.uk/Article.aspx?id=200906090700135534T

RNS Number : 5534T
West China Cement Limited
09 June 2009

West China Cement Limited (AIM:WCC)

Contract Wins

Shitian Expressway and Baotou - Xi'an Railway Line

West China Cement Limited ('WCC'), the AIM listed cement production and sales company located in Shaanxi Province, China, is pleased to announce it has won contracts on two projects in the area.


Shitian Expressway

The more significant of the two is winning the majority of contracts up for tender for the Shitian Expressway project. As at 31 May 2009, Shitian Expressway had opened 64 tender sections, 51 of which are in Ankang Section and 13 in Hanzhong Section. WCC won 43 contracts in Ankang and 11 in Hanzhong, resulting in an overall number of 54 contracts obtained so far, an impressive 84% of the total sections up for tender. There are another 25 sections within Hanzhong region that are yet to be opened for tender. This accomplishment can be credited to the experienced WCC team, the reputation of the Company, and the market share and advantageous geographical locations in which WCC operates.


The Shitian Expressway is of great importance as it links Central China and North Western China. It runs from Shiyan in Hubei Province to Tianshui in Gansu Province, passing across 11 counties in southern Shaanxi Province, linking Ankang and Hanzhong. The total mileage is 750 km, of which 480 km is in Shaanxi Province.


Construction of the Expressway commenced in late 2008 and is expected to open to traffic in 2011. The estimated cement consumption for the sections that fell within WCC's sales radius is 3 million tonnes, with 1 million tonnes per section needed specifically for Ankang West Section, Ankang East Section and Hanzong Section respectively.


An investment of RMB 32 billion (2.8 billion) has been allocated for this project and given its scale and breadth, it will be instrumental in facilitating provincial productivity distribution and economic development.


Baotou - Xi'an Railway Line

On 1 June 2009, biddings for three sections of the Baotou - Xi'an Railway Line took place. WCC tendered for the one section running through the Weinan region, where WCC's Pucheng plant is located and consequently was awarded this section. The estimated cement consumption for this section is approximately 600,000 tonnes.


The line will be 935 km long and will connect Baotou in Inner-Mongolia and Xi'an in Shaanxi Province. The sections that were opened for bidding stretch from the Yulin region in Northern Shaanxi to the Weinan region.


Commenting on the projects, WCC's Chief Executive Officer Jimin Zhang said:


'I am delighted with the wins on both projects. The high percentage of Sections on the Shitian Expressway that have been awarded to us is a result of the determination of our successful team at WCC. These are significant projects for the Provinces involved with large scale investment which will enhance productivity distribution and economic development for all the regions involved and beyond.'



For further information, please contact:


Citigate Dewe Rogerson

Pui Shan Lee Tel: + 86 21 6340 4186 / Mob: + 86 138 1712 5781

ps.lee@citigate.com.cn


Susanna Gale Tel: + 852 2533 4607 / Mob: + 852 9457 4356

susanna.gale@citigate.com.hk


Notes to Editors:

West China Cement listed on the AIM market of the London Stock Exchange on 4 December 2006, raising approximately 20.1 million net of expenses.

Prior to the listing, the Company, which is headquartered in Xi'an the provincial capital of Shaanxi Province, had operated three cement production plants in Pucheng with a combined production capacity of 1.5 million tonnes per annum since 2003.

In order to service the growing demand for cement in the region, a new plant running two cement production lines, funded by money raised at the IPO, opened in Lantian in 2007 and has a production capacity of 2 million tonnes.

The company's 1.8 million tonne third plant at Ankang started producing and selling cement in March 2009 and is expected to reach full capacity in the second half of 2009.

Approval for the building of two new cement plants, Yangxian and Mianxian, each with a capacity of 1 million tonnes per annum, was announced in March 2009. With the massive government spend on infrastructure as part of the RMB 4 trillion fiscal stimulus package and the need to rebuild in the wake of the Sichuan earthquake which occurred in this area, the Company has chosen the appropriate location to build these latest projects.

Enjoying a superb long holiday but keep getting alerts about WCC going up leaps and bounds.

Nice to see it moving, but its still cheap as chips below 10 pounds, so no reason to get excited yet just keep on holding and adding.

Enjoy.

Edit.

Given 2010 EPS could be well over 120p and given the ratings for these companies on the Hang Seng, my target is 15 pounds by 2012, all being well.

Present forecasts are for 2009 EPS of over 77p and 2010 EPS of over 103p.

However, these are based on cement prices that are currently 20% below what the actual price is where WCC sell. Its also based on higher energy costs than currently are actually in effect.

Therefore certainly upgrades are possible for 2010. For 2009 I would just like them to get near to the 77p, so around 73p or a bit more.

For 2010 we could see 120p EPS or more.

With the current price of 250p they are on just over a 2010 PER of times two. Far too low given the recent IPO's in Hong Kong.

So certainly ten pounds a share is a more fair valuation, and there is potentially lots more upside to come as people come to realise just how cheap WCC is, and its cheap but has liquidity meaning its possible to buy large and sell large through a decent stockbroker.

Pro S - Its good to see the recent rises, and awakening of the market. One factor, over and beyond the pure economics of this company is a secondary listing, which in itself would mutliply the share price overnight.

WCC are comitted to this over the medium term so yet another sterling reason to buy/add.

As interims are due in September its worth working out what kind of quarterly earnings should be seen in 2009 to estimate the realms of target earnings.

The new plant will be 100% production from late August onwards, therefore Q4 will be the best earnings for the year.

Could be something like Q1=15P, Q2=15P, Q3=20P, Q4=25P giving a full year 2009 of 75p.

Based upon that we should be looking for between 25p to 30p of earnings for the interims in September, and then 75p for the full year.

The new plant starting its run up process is the reason for the increase in earnings in Q3 and then it being 100% on line for Q4 the rise again in Q4.

In the region of 25p to 30p at interims would be fine and in line. Anything more could lead to upgrades for the full year forecast which is presently 77p.

More development of the plants and increasing efficiencies along with cheaper energy costs could lead to 4 quarters of 30p earnings in 2010, which gives the 120p figure I have for 2010 earnings.

On top of that the recently announced two smaller plants come on line, again leading to potential for Q4 2010 being higher, and leading to a 2011 potential earnings in the region of 150p to 170p all of course depending on cement prices and energy prices amongst the other variables.

With a potential forecast in the region of 150p to 170p for 2011 its the point at which I would attempt the secondary listing and exit strategy for the founders, and why I would look to 2011 for that from the BOD as I said earlier. Crystal ball gazing but it does not hurt to be thinking a few steps ahead.

Cement prices in Shaanxi still nice and high.

http://www.cementchina.net/news/shownews.asp?id=5920

(Shaanxi of WCC fame comes under North West Shanxi, not the North China Shanxi in the link)

Brokers using circa 300RMB prices for forecasts for WCC.

Actual as can be seen is 20% higher at over 370RMB.

Nice .

Cement prices in their home province (North West Shanxi (Shaanxi)) are up again being +5 to 378RMB now.

http://www.cementchina.net/news/shownews.asp?id=5953

Provided they keep above 300 then I am happy.

An interesting Friday last week with a sharp shake down and then finishing up on the day, may or may not bode well for some strength this coming week.

Interims next month.

Rising well today.

Appears that SCSW gave WCC a good write up over the weekend and a buy rating. ( http://www.scsw.co.uk/ )

Cannot blame them given the potential for this company going forward. Should be looking at over 150p of earnings for 2011, so you can guess what the stock price might be at that time.

in many ways, it's quite a tempting stock (despite its parentage!), but it is so thinly traded - about 130k per day - that even buying 2500, or trying to sell same in a soggy market could prove problematic ..... the spread also tends to be pretty hefty too

I thought you didn't like any China stocks cynic especially this one ,we had a ding dong about this a couple of years ago,,why the turnaround ,(not having a dig by the way) .

i don't like china stocks, and i allude to that in my post ..... for all that, i contemplated having a few of these, but for the reasons above, have decided against

Trading in size is not a problem, you just need a good broker, not an online one or a bucket shop job.

2500 shares for on line trades is suffucient for plenty of PI's. 5 trades of that size and thats 30K pounds traded.

i have L2 and can deal direct with the market .... my comment remains the same about illiquidity

Done well to keep hold of the rise and consolidate a little.

There simply is no better Chinese stock on the AIM. Keep buying and adding and holding it what I shall do, and let the profits pile up as the stock price continues to rise up to my 15 pounds target price.

This is not some techy stock that might fall over anytime, or some weird software company that pumps out profit warnings and could fall over anytime. This is cement and its in demand and demand will keep on growing. A very safe investment IMO. Put your money in and forget about it for 2 years and then be very delighted at whats happened.

The Yangxian plant (due to be on line Q2 2010) appears to be still on schedule.

Link Click Here

Company News August 7th 2009

Shaanxi Provincial Inspection Group visited Yangxian Plant

Shaanxi Provincial inspection group and a Standing Committee Member of Yangxian County visited Yangxian plant, the fully owned subsidiary of West China Cement Limited (“WCC”), which is under construction. The plant manager Mr. Wang Fayin and relative leaders warmly welcomed the inspection group.

During the visit, Mr. Wang gave a detailed introduction of the project progression, and the performances and achievements that have been recognized in the past months. The group hopes all staff will be overcome the bad weather and other adverse factors to ensure the plant can be successfully fired up on time and contribute to the local economic development.

At the same time, the plant manager Mr. Wang on behalf of all staff gives thanks for the provincial leader’s support and care. He also pointed out that the group will overcome all the difficulties, continue to be hard working and strive to build a high-quality and high-efficiency demonstration plant.

Edging up.

Cheapest Chinese stock on the market imv given who they are, what they do and the forward looking firm potential.

Nearing 300p, would be nice to break through and get the bid price at over 300p.

Nice to see someone as prominent as Giles Hargreave saying he likes West China Cement and the price could double quite quickly. I am expecting it to triple in the mid term, but yes double short term.

Interview from 14th August, comment on WCC about 1m 47s in.

Enjoy.

http://www.citywire.co.uk/adviser/-/video/week-in-investment/content.aspx?ID=353760


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http://business.scotsman.com/personal-finance/If-the-small-cap-fits.5556824.jp

'.......Hargreave is partial to "quirky" companies, a good recent example being West China Cement, listed on the alternative investment market (AIM) but insulated from the UK economy. "Chinese companies quoted on AIM sell on amazingly low ratings even though they are growing," Hargreave noted. "If West China Cement gets listed in HK or even here there will be a dramatic rise in its share price........"'

MM's really had to spike the price today to loosen up some stock to fill buyers demands.

All very good for the future to get some churn and getting weaker holders out.

EVO are forecasting 1.89m tonnes sold for half one of 2009 at a price of 300RMB average for the period.

That is sales of 568m RMB with gross margin at around 40.8% giving a PBT of 195.4m and a net profit of say 181 million RMB.

That should fall in with my desires of 25p earnings for the half year, or say 2.75 RMB of earnings.

There is potential for a little upside if the average price is a little higher than 300RMB but given the close relationship between EVO and their client I would suggest their figures should be close.

For those looking ahead WCC should be producing and selling 10m tonnes by end 2010 (this is the stated goal and also everything is in place). For for 2011 you would get 10m tonnes sold at say 400RMB average price (cement is on the up in Western China and over 400 already in some places) which would be sales of 4 billion RMB . So in a very simple illustration of taking 7 times (4 billion divided by the 1st half 568m) the forecast earnings for 1st half 09 at 568m sales you get 7 x 2.75rmb = 19.25 rmb or prospective 1.72 of EPS for full year 2011 results.

Again the 1.72 of earnings is in the range I was talking about earlier for 2011 full year.

Happily holding and adding and waiting patiently for 10m tonnes sold in 2011 with further plans announced by that stage and in process to increase capacity even more.

Bit of expected profit after some good rises, allows other to now buy in and add more.

Cheapest and best quality Chinese stock on AIM, and well worth buying lots more IMO.

Should be the next leg up now as the short term money has left, onwards and upwards to interims and beyond.

Anyone interested please note :

WCC management are planning an institutional investor road show in September following the interim results announcement.

As part of this road show, the company would like to invite retail investors to an investor presentation and Q&A session on Tuesday 8th September at

The Caledonian Club,
9 Halkin Street,
Belgravia,
London SW1X 7DR.

The meeting will be at 3:30pm (15:30).

Ms Po Ling Low, WCC CFO and Mr Robbie Robertson, WCC Non Executive Chairman will be presenting at this meeting.

Please email the corporate broker, Anthony Schindler( anthony.schindler@evolutionchina.com ) to confirm your attendance at this meeting.

Presentation: Sept09, London.
Can't get there due to other work; but eager to have account of events (ie here), if a few "retail investors" can contribute....etc. that should create some "balance" . . . . IMHO.

Looking at sp it seems the time to invest was Jan09, abt. 50p . . . the current sp is looking "robust" at 3.20 esp as there is no yield. Hargreaves may be excited about this stock, but they hope to make money on each "deal" - and it's up to retail investors from there on.

hangon, its a growth stock and the money is being re-invested into the business for furhter growth, therefore you cannot expect a dividend, this is pure growth. The rating therefore is low, as if you did not re-invest then the potential dividend would be high and therefore the yield too.

The only fair rating for such a growth stock is on a PER basis, and 10 times would be fair value in my book, so for this year around 7 pounds, moving to aorund 10 pounds in 2010 etc...

Hi Proselenes, am I right in thinking you are the new revamped papalpower?

I have been using this new name for over a year now, perhaps even longer.

Prices of cement in key WCC markets stable. (Broker estimates are based on 300RMB average selling price).

http://www.cementchina.net/news/shownews.asp?id=6004

Shaanxi (main market) steady at 371 RMB

Sichaun (minor market) steady at 418 RMB

Gansu (minor market) steady at 450 RMB

Strong today and moving up nicely.

Decent end of the week. I would imagine this will have plenty of legs into results and the institutional/investor presentations after results.

Returned from my jollies and am pleased to see the market behave whilst I was away.

I equally won't be able to make the PI presentation (work comittments) but would appreciate feedback etc - shame it wasn't an evening or even week-end event, but have to commend managment on the very fact a mtg is being held.

Must digest CHNS non-movement now, as personally had expected a surge here, in the belief that it was merely a stock overhang holding the SP back.

Cash concerns will be the worry at CHNS, many people are sceptical about the last figures and expecting a massive outflow of cash at the interims.

WCC looking for 400p or more in the coming few weeks IMO.

Good news and goes with many earlier comments that companies like WCC, who are building new plants that are much more enviromentally friendly will take up much of the business of smaller and older plants that are shut down due to being too pollutive. WCC has won a number of awards for the efforts in being enviromentally friendly. Although this story centres on Beijing it is a similar story across the country.

http://www.cementchina.net/news/shownews.asp?id=6024

Beijing to kick out 13 cement producers

http://www.cementchina.net [2009-8-21]

Beijing is eliminating a number of small-scale cement companies that are marked by heavy-pollution, high-energy and high-water consumption. At the kickoff ceremony of "China Cement Industry Promotion Program" on August 16, Beijing Cement Industry Association Secretary Hu Zhongjia said Beijing will retain only about 10 large-scale cement plants by 2010.

Beginning in Beijing on August 16, "China Cement Industry Promotion Program" will visit 22 cement plants in Beijing, Henan and Hubei over 34 days to demonstrate production techniques and exchange technological experience. In addition, experts will diagnose production problems and provide technical support on site.

The cement industry is fundamental to the real estate construction material sector. Hu Zhongjia stated that the municipal government has formulated policies to ban the establishment of new cement enterprises and to reduce the size of the cement industry in Beijing through gradual elimination because small-scale cement producers cause heavy pollution and consume a huge amount of energy and water. So far, 8 cement enterprises have been forced to move out of Beijing.

Nearly 30 cement plants still exist in the city. By 2010, 13 more cement enterprises will be phased out and only approximately 10 large-scale cement plants will remain. It is said that Beijing now has an annual cement production capacity of 8 million tons and still needs to import cement from other provinces.

You certainly can find the info Proselenes - I can assure you its much appreciated

Welcome JS.

Strong again today, would be great to see this past 450p after results and presentations.

Looks like profit taking and consolidation over, and off we go up again.

Results out.

http://www.investegate.co.uk/Article.aspx?id=200909010700212657Y

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All time highs now :)

with more to come, one would assume

More to come, yes there was.

I am becoming increasingly concerned that this coming October might be a bad one for the markets so have decided finally to top slice a few WCC and take some profits while strength is there. Better to be safe than sorry and there is certainly nothing wrong with taking a little profit now and then.

Can't disagree with that and something I did yesterday - tbh I rather expected to top up today/tomorrow as was expecting a pullback, even though the roadshows are going on.

Fundamentals still appear great but as you say markets always have that ability to surprise you, so imho profit taking is a sensible strategy, even in a share you have faith in.

Would love to see 500p end of this month, might tempt me to take a little more profits :)

Great stock and hope all are showing massive gains by now, I certainly am.

Been in and out of these twice since the middle of July , thanks for the thread Proselenes would never have noticed them without it.

Much appreciated , cheers.

Be careful with the buys and sells as potentially the best is yet to come, with the company enjoying an effective protected monopoly position, and the virtual certainty of an imminent main market or HK listing.

However, having said that would expect pull backs around the marks, so at 5 there may well be a perfect opportunity to sell and repuchase for a few % points

SOLDOUT TODAY CHEERS PROSEL.

Interesting post and it would explain a number of things. The money raised can be used to pay back the outstanding debt and then allow WCC to go on the acquisition trail. Its going to be more difficult to build new plants in future and the way to expand easily will be limited to buying up other plants. A large number of new shares being issued in HK to raise this money might well keep a lid on the price and based upon that I would expect a price of between 500p to 600p for the placing in HK at the IPO.



West China Cement to raise over $7B in HK IPO next year
11:51
Infocast

(Infocast News) London-listed West China Cement has submitted its application for listing on the Stock Exchange of Hong Kong next year to raise more than $7 billion, the Apple Daily reported today, citing sources.

The IPO in Hong Kong will be sponsored by ICBC International.

The cement producer that operates in Shaanxi Province in China aims to be listed on Hong Kong's bourse before June 30.

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The recent drop to 400p levels has encouraged me to make a top up here. The pending HK listing could well see this one move up, and my target is a price between 400p and 600p on listing, so as its at the bottom of my target range with only possible upside now I have got some more.

Other people think 800p or more is the potential on Hong Kong listing, so I would love to be wrong with my 600p top guesstimate.

Anyway, for a relatively risk free ride on the potential for a re-rating on Hong Kong listing in the coming 4 months, WCC is attractive IMV now.

Have to agree with that - hence my top up of yesterday. Price action in this and other shares is very strange at the moment, but should the markets turn north, then this may turn quite rapidly.

Time to sit quiet and let the markets wake.

Cement shares rising in Hong Kong. Must be remembered that cement companies on the Hang Seng trade on PER's in the teen levels.

WCC will dual list on the Hang Seng soon, and yet is on a forecast PER of less than 5 going forward. And remember, results should be out on WCC before mid-March IMO.


http://www.jlmpacificepoch.com/newsstories?id=1622122_0_5_0_M


..............Shares of construction-related companies rose on Monday, following a proposal in the No. 1 document, China's first policy document in 2010, to increase rural housing construction, provide building materials to rural areas and support rural residents who construct their own homes, reports Xinhua News Agency. China National Building Material (3323.HK) shot up 11.13%, Anhui Conch Cement Co (914.HK, 600585.SH) gained 9.3%, Asia Cement (China) Holdings (743.HK) increased 6.65%, and China Resources Cement (1313.HK) climbed 3.04%......... .

Good strong day for WCC, not surprising given the excellent news coming from China (as per the post above).

Given that statement I might even get tempted to raise my "600p" top price for HK listing IPO ;)

Couple of articles related to the news yesterday from China. In the first link, just wonder what 20 times PE pricing would do to WCC when listed on the Hang Seng ;). A large rise could be an understatement.


http://chinaonmeta.com/news?nid=105536

http://english.sina.com/business/p/2010/0131/302473.html


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Looks like the seller has been cleared and the price can now move on up again.

Nice news. Expanding further :)

http://www.investegate.co.uk/Article.aspx?id=201002090731108680G

West China Cement
RNS Number : 8680G
West China Cement Limited
09 February 2010

Announcement of investment in Longqiao cement plant

West China Cement Limited ("WCC" or the "Company") is delighted to announce an investment in the Longqiao cement plant, a facility with 1.1 million tones per annum capacity and limestone reserves which are sufficient to support this operation for well in excess of 30 years.

The investment has been effected through the establishment of Shangluo Longqiao Yaobai Cement Co., Ltd. ("Longqiao Yaobai"). Shaanxi Danshui Construction Materials Co., Ltd. ("Shaanxi Danshui") an independent third party has injected assets of RMB337m into Longqiao Yaobai. Post the investment Longqiao Yaobai is owned as to 80% by Shaanxi Yaobai Special Cement Co., Ltd., a wholly-owned subsidiary of WCC, and 20% by Shaanxi Danshui. The investment has been financed by an injection of RMB100m by WCC into Longqiao Yaobai, payable in two tranches of RMB50m. Longqiao Yaobai will also assume Shaanxi Danshui bank debts of RMB50m and a shareholder loan from Shaanxi Danshui of RMB150m.

The investment is subject to a number of conditions including the transfer of the mining licence, the transfer of the land use rights and the transfer of the cement production licence and, should these conditions be met, profits and legal ownership will pass to the Company, with effect from 31 December 2009.

Longqiao Yaobai is located in Shangluo region, southern Shaanxi and employs modern NCPP technology.

The investment in Longqiao Yaobai is financed by our internal resources.

Commenting on the transaction, Jimin Zhang, WCC's Chief Executive Officer, said:

"Longqiao Yaobai is another exciting opportunity for WCC. This new establishment is part of our strategic expansion plans and its location some 60 kilometers from Shangluo city, to the east of our Xiushan production facility, further enhances our market position in southern Shaanxi. "

WCC's Chairman Robbie Robertson remarked:

"The Longqiao plant is a particularly interesting investment as it serves the local Shangluo market allowing us to increase our market share in rural development projects, which will benefit from the PRC Government's rural stimulus plan aimed at improving livelihoods in rural areas"

Not too much longer to wait :

http://www.investegate.co.uk/Article.aspx?id=201002100700059125G

West China Cement
Proposed Hong Kong Listing
RNS Number : 9125G

Proposed Hong Kong listing

10 February 2010

WCC, a leading cement producer in Shaanxi Province, People's Republic of China, is delighted to announce that an application for a listing of the shares of the Company on the main board of The Stock Exchange of Hong Kong Limited ("HKEx") was made yesterday, 9 February 2010.

The listing of the Company's shares on the main board of HKEx is subject to, amongst other things, the approval of the listing sub-committee of the board of directors of the HKEx. There will be further announcements to the market as and when appropriate.

News has gone down well. I am hoping for 600p for listing price......some hope for more.

Lets see.

i will concede that this looks to be one of the better chinese stocks, especially with the chinese economy still growing .... however, this is an MM stock only with a pretty wide spread (+/-10p) and low volumes, so caution still a key word

Spread of 1%........not a lot really.

10p = 1%?????

It wanders between 1% and 2%. Last time I looked before it was 1%, now its 2%.

sp has shown 445/455 for about the last 2 hours!

cynic we were at loggerheads about this one a few years back when it was around a pound .

not i, as in principle i don't like chinese stocks

Yes you ,,,i owned the stock at the time unfortunately i sold long before it got to this level.

if you sold at a profit, don't complain ..... having had a good look at this stock, i still don't think i'll buy - i do not like that it is only MM stock; i do not like the low volumes; i do not like the spread

cynic if you believe what you write then why not move on and leave others to hopefully make the profit which you will miss yet again.

firstly, it is entirely my choice as to where and how i post
with regard to WCC, i thought to take another look with a view of maybe putting in a few pennies ...... for the reasons posted above, i have decided against it, at least for now

you are at liberty to invest where you choose, WCC clearly being one such stock

of course i may miss a profit here, or maybe miss a loss, or maybe make a larger profit elsewhere, or maybe make a much larger loss - who knows?

pretty undecided then.

And if the only people who posted an opinion were of the same persuasion what a great informative board that would be.............err not!!

Roll on the Hang Seng listing........ :)

maybe cynic hasn't grapsed the significance of the news - Imo, not only are there a few pennies left in this stock, there should be a few pounds - take a look at whats happening in HK and benchmark WCC on the same basis.

Bid 455, offer 456

Spread 0.2%....

Quick, tell cynic !! ;)

About time these got re rated , bit of a joke the poor rating it has enjoyed on AIM.

Bid 460, Offer 460

Spread 0% ! ;)

LOL

Hey Proselenes in fairness cynic has always disliked Chinese stock and given some of the dogs he has avoided overall it's probably been a good call.

Yes I know, we actually agree that many, like GNG, TAIH and others are illiquid dogs.

But WCC has even got cynic interested.......

yes it has, but spread back out to 6p now ...... WCC is pretty illiquid too, with MMs restricting EMS to 2500 shares

you can add HAIK and, to a slightly lesser extent, SOLA to that hate list too

Now they have applied how long does it take before the actual listing ?

In a nutshell every chinese stock that Papel Power and cynic are not invested in is a dog, that is until they buy it and then start ramping it just like what PP did with WCC, aint that right PP :-))

you really are an arsehole!
on the same basis, and i note you did not answer the question previously, do you therefore gladly embrace the term ramper as applying to yourself with TAIH?

cynic LOL :) !

Dil, should be within 3 months.

Results will be next up, due before mid March.

rdg, I am very sorry, it seems I ramped WCC from 100p to now near 500p.

Everyone, so sorry for giving you a 500% gain :) LOL

Oh so you get personal when the truth hurts then cynic !

Dont worry you have a new friend in PapelPower, you can both run off into
the sunset hand in hand :-))

can you not answer a simple question?
obviously not.
rather speaks for itself,so go play with the children who will not question you

Tipped in Momentum Investor it seems.

The whole article appears to have been copied on to the III web site BB thread on WCC by someone.

Not suprising really when it's sister publication SCSW as always raved about it.

I'm out , cheers again Pros.

This is where the fun begins!

Boring or what ?

I'm firmly staying in and will be taking a paper share certificate so that i'm not delisted!

Greyhound - Exactly what I'd like to do but my shares are held in a Hargreaves SIPP and they've said they will not deal on HK - thus awaiting to see what options I'm given but would hate to have to let these shares go.

Hoping I can transfer into my own name

Do you mean transferring them out of the SIPP into your own name Joe (can't see them agreeing to that) ?

Guess you may be right Dil, so will have to sell SIPP, buy elsewhere. As I suspect there'll be oull backs along the way, this may well proove to be an opportunity should I get my timing right !

I'd have thought you could find someone to be able to transfer - only guessing?? We clearly don't want to miss first days of HK trading. There was no announcement of the results - are they keeping back other developments and good news for an electric HK start?! I've just been looking at TD Waterhouse - they support HK share trading for those transferring (like me) from online broker that doesn't support HK deals - or I might take a share certificate and trade through my traditional broker. I haven't seen any weekend comment - more vertical moves this week....

I am now all out, thanks WCC, been a great ride from just over 100p levels, I have been selling at stages all the way up and now finally am all out.

Been a cracker of a run, but a profit in the bank is worth more than something on paper.

With the potential for a large fund raising at listing in Hong Kong, for me, near 600p is fine to sell out at and let others carry the can now for more gains or stagnation on dilution.

Proselenes - very well done!

Wrong time to sell, up another 80p already :-))

Some of us find it difficult to get in at the bottom or out at the top ravey so settle for what we can grab in the middle.

Been falling like a knife since you posted :)

Dil

Those "some of us" posters are the more reliable in that they are more likely to be telling the truth about their positions :-))

Another good rise here last week and probably not long before confirmation that the Hong Kong listing has been approved. Then some more fireworks all being well.

Greyhound, there will only "might be" fireworks if there is no "money raising" at the HK listing time.

If they choose the listing time to raise loads of money and get lots of HK funds on board at nice prices - then the fireworks might not happen.

The easy money has been made, now there its more difficult, potential is there, but not as much as when this was 100p :)

it's certainly a strange stock to trade with wide spreads and low volumes and lumpy movement ..... i have long broadcast my dislike of chinese stocks, but this certainly looks to be one of the more honest ones

in the immediate future, i think this just could jump higher, for i note sp has hit its 640 ceiling yet again, but with impetus currently behind the markets, now could be the time for that stubborn resistance to be breached

Pretty sure we've already seen no fund raising confirmed. I missed it at 1 but in at 250p and higher, but I still think this has a long way to go. Listing in HK could well be closer to HKD1. With prospective PE of roughly 5.5x, still very cheap. Quite like the currency play too with CNY revaluation back on the agenda, even if it doesn't happen quickly, it will happen at some point.

Will be interesting to see if the WCC listing gets put back.... again.


http://uk.finance.yahoo.com/news/hong-kong-s-ipo-market-hits-the-brakes-afp-c37c777c92be.html?x=0


Hong Kong's IPO market hits the brakes

Peter Brieger, 6:59, Sunday 9 May 2010

Hong Kong's IPO market -- the biggest in the world last year -- has hit the brakes with several companies shelving share sales as the Greek debt crisis pounds global markets.

Swire Properties, a major real estate developer in the city, Thursday pulled a planned 3.09-billion US dollar share sale, just two days after Giti Tire, China's largest tyre maker, shelved a 500-million dollar initial public offering.

On Friday, iron ore producer China Tian Yuan halted its 522-million dollar issue, Dow Jones Newswires reported, citing an unnamed source.

The shelving of the.......................

......

And it is, put back that is.

RNS just out.

Postponed. Looks like they are trying to raise money with the listing..............

hope you don't hold too many of these, not that it's a bad company ...... it is fast becoming a question of how much one should have invested in the markets at all

I think WCC might be staying on AIM a lot longer. It seems to be they want to raise a load of cash in Hong Kong, but the global situation is not compelling to do it. Might it be canceled until next year now ?

Certainly a lot of people feel they were misled (by who though) as they were expecting no fund raising and so it does not matter they can go ahead and list, but it seems to me that fund raising either at listing, or not long after, is key and so they have postponed for now.

I did post a couple of weeks back in a few places that "if" they postpone it will give the game away about the potential to be looking for fund raising, not just introduction.

A big fund raising will dilute earnings down and pull the rating up to be in line with peers in Hong Kong, meaning the expected (by the ADVFN posters) big leap up might never now happen.

In the short term I can see many more people now selling their margin/spread bet positions, and others taking profits and coming back later, so there could be more weakness in the short term.


A few links to the issues :

http://online.wsj.com/article/SB10001424052748704370704575227980016059138.html

http://www.channelnewsasia.com/stories/afp_asiapacific_business/view/1055400/1/.html

http://www.businessweek.com/news/2010-05-07/swire-properties-shelves-2-7-billion-hong-kong-ipo-update3-.html

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i think i'll just say, "Chinese stock!" ...... those who could be bothered to read my ramblings will understand that comment exactly

More weakness coming for WCC as China growth very unlikely to sustain. SELL at 470p.

400p ?

not been reading the site here for some time, however been increasing my holding and relisting looks on course for early august. good numbers out too - staying put for the time being - with a low pe, great value and a test of the highs coming.

Another excellent day and testing the 7 level again. I understand there's been a bit of investor presenting going on although not privy to the detail. Bound to be some resistance around here but a good long inverted head and shoulders nicely formed before final break higher before HK listing I suspect.

West China Cement to raise up to $200 mln in HK IPO

Wed, 28th Jul 2010 11:48

HONG KONG, July 28 (Reuters) - Chinese cement producer West China Cement Ltd, plans to raise $150 million to $200 million from a Hong Kong initial public offering in August, a term sheet obtained by Reuters showed.

West China, which started IPO premarketing on Tuesday, is the second-largest cement producer in terms of production capacity in 2009 in Shaanxi province.

The company which plans to delist from AIM, aims to kick off an IPO marketing road show on Aug. 5 and to list on Aug. 19 in Hong Kong, the term sheet said.

The company plans to sell 823 million new shares, or 20 percent of its enlarged share capital, and would use 60 percent of the proceeds for capacity expansion and the reminder for repaying loans.

Deutsche Bank and ICBC International are handling the IPO



So after a 50 for 1 share split



If they raise the minimum for the shares :

150M US$ for 823M new shares.

18 US cents per new split share.


18 US cents x 50 = 9.11US per share old shares.


Means you present shares are worth GBP 5.87



If they raise the max the its :

200M US$ for 823M shares

0.24US cents per new split share

24 cents x 50 = 12.15US$

Means your present shares are worth GBP 7.83




So the target price to sell to HK insti's is between GBP 5.87 and GBP 7.83

They will have to accept the price on offer for the cash.


At least you know now the price range.

Rumours doing the rounds that they might have to delay the HK listing again as they could not get it fully subscribed to, due to a lack of interest.

If this is true its a major issue IMO, in terms of PR and reputation and of course listing price.

http://translate.google.com/translate?js=y&prev=_t&hl=en&ie=UTF-8&layout=1&eotf=1&u=http%3A%2F%2Fnews.stockstar.com%2Finfo%2FDarticle.aspx%3Fid%3DSS%2C20100806%2C30192581%26columnid%3D2479&sl=zh-CN&tl=en

Is it a buy or a short from here? I think it's a short.

The article says :

WCC were planning to complete the placing during the 9th to 12th of August. They would then delist from AIM on 19th and same day list in Hong Kong.

The article says however that the "official" reasons for another delay is due to "technical issues".

However, the reports source says its not "technical" problems its because they were unable to raise the money as the subscription was not full due to a lack of interest.

If they cannot get the money it means they now have to lower the price etc etc etc etc.......


Will it list therefore at the lower end of expectations ? Say 500p to 550p levels ?

Nutter

play with chinese stocks at your peril .... the market is quite difficult enough without loading the dice even more heavily against yourself

Interesting, reading another Chinese press article it says the "raising" was a flop with a complete lack of interest.

They only managed to raise 30 million US$ and they wanted 200 million, real lack of interest hence the very small amount of cash raised.

Very interesting if this turns out to be correct.

Price range now lower it seems ? More information.

http://uk.reuters.com/article/idUKTOE67800W20100809

Taking into account the 1 for 50 split this now makes the price range lower down to 487p up to 680p.

If they struggle to fill it, the price could be down near 487p a share the Hong Kong II's pay........

Interesting to note that HAWK management are taking legal action against defamatory posts on bulletin boards.

Good start in Hong Kong up 15%.

Up another 7% today to HKD 2.06 - equates to about 880p in old money. Once the dust settles I intend to drop this into my ISA now.

why is this share suspended from AIM?

cynic -

23/08/2010 7:00am

CANCELLATION OF ADMISSION OF SECURITIES TO TRADING ON AIM

WEST CHINA CEMENT LIMITED

At the request of the company trading on AIM for the under-mentioned securities
have been cancelled from 23/08/2010 7:00am.

Try HKX:2233 ?

so where does this leave poor chaps who hold the shares, not that i am one?

it leaves them in HK rather than London

Trust you research other stocks in more depth - although I suspect your posting is deliberately negative.

i was merely curious ..... and i rarely research much, but rely on others who enjoy doing that sort of thing

I switched to HK on the delist and still hold. Ticker's 2233 as mentioned above. Excellent interim statement recently plus great contract wins re rail routes in China and up over 40% since HK IPO - oversubscribed many times. Now equivalent to about 990p with GBPHKD also helping at the moment. It's still on a low PE and I think it's got legs for further gains so staying with it.

West China (2233 HK) has had a very good run since the IPO in HK - up approx 70%. A couple of buy recs recently and another overnight causing the latest 12% move. Probably quite a bit further to run. Now equiv to over 12

Another strong session, currently up over 7% on the day.

"West China is Shaanxi's 2nd largest cement producer in terms of production capacity in 2009. We believe Shaanxi would benefit from the western development projects. As such, we expect WCC a prosperous business outlook driven by the capacity expansion and outstanding profitability protected by its existing geographical edge. We initiate buy rating with target HKD 3.10 representing 9x fy11, compared with peers avg at 10.6x" ICBCI reporting.

Now up nearly 100% since Hong Kong listing.

took some profits today, but remain in there for the much needed re-rating.

Ironically, it was my cynicism with how long the market has taken to re-rate which led me to this part disposal. If it pulls back under $3 I'm rebuying.

And another firm day, up 8% taking us to new highs. That must equate to nearly 14 now. Last week we saw the largest volume since the first couple of days in HK - funds taking positions I would imagine. Still has the legs for sustained gains imo.

Starting to trend higher again now, touching HKD 3.20 last night. A couple of buy recs out, with the latest targetting about HKD 3.80. The JV announced over the festive period looks astute imo.

Interesting WCC (now 2233 in HK) got the most red flags.

http://www.thestandard.com.hk/news_detail.asp?pp_cat=1&art_id=113036&sid=33005198&con_type=1


Perhaps the AIM market viewed the company correctly and gave it a low rating.......

P's post refers to Moody's ratings, and the relevant bit is extracted herewith .....

Forty-four Hong Kong-listed mainland firms have been given "red flags" by Moody's Investors Service on concerns about their accounting standards and governance risks ...... West China Cement (2233) shares closed 14 percent lower at HK$2.43 after being given 12 flags, the most among the screened firms. It fell as much as 26 percent during the day.

as you will note, it was HK$ 3.20 in january ...... and so many of you question my sanity when i post that i do not trust chinese companies ..... correct to question my sanity, but not in this particular!!

For those that follow it in Honkers.

http://hk.gtja.com/UploadFiles/gtja_Report/2011/08/0223320110810Ray.pdf


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