hawick
- 12 Jan 2004 20:11
Bet there's no response to this one!
LDC caught my eye today. It has investments in several Chinese companies and has upped its stake to 51% in one of them, Beijing Success, a profitable company which provides software for securities trading and has strong cashflow. It has issued 14,000 software licences and that is merely the tip of the iceberg and the growth potential is vast. LDC upped its stake at a discount due to a favourable exchange rate. Recent flotations in China have been attracting enormous premiums as pent up investing interest is starting to be unleashed. A couple of Chinese internet stocks in the US have risen by over 10,000% (you did not misread that!!!!) and LDC with a controlling interest intend to float Beijing Success soon. (Even I ain't claiming they will rise 10,000% tho'............. )
LDC has a market cap of about 11 million with approx 54 million shares in issue. Beijing Success made about 1.2 million last year and has a strong balance sheet and cashflow. It seems sure to attract massive interest when floated.
On a 1-2 year basis, that makes LDC a potentially spectacular, if somewhat unusual, Buy!
grevis2
- 22 Nov 2004 12:44
- 22 of 22
LDC are on the leaderboard this morning!