Another Chinese news another worry

What is with China based Chinese companies when Chinese New Year is near? This time around rumour is Patimas is to be invested around 10% presumably by Tencent Holdings.

Let me reproduce the Balance Sheet again...

This kind of Balance Sheet needs rebalancing through injection of new funds. Why buy from the market or off the market - whichever happens? Let me say again - Patimas needs new injection from new shares issuance. There are no hidden assets which are undervalued. The only attractive part if the company is - the data centre presuming that it is working well.

EY had provided disclaimer on its accounts last year...you can read more through its Annual Report.

Then another rumour, apparently Nur Jazlan, the son of an ex-Information Minister (keyword Information Minister) is taking over Patimas. Good news for shareholders? At what price? Patimas - A negative NTA company is now already trading at RM100 million valuation. Perhaps a premium of 50% to sweeten the taste of the list of punters who are already punting on the stock big time. That comes to RM150 million valuation?

Well, these are all the question marks - firstly why a company that needs injection is being bought from the market (if its true) and why Nur Jazlan is only interested after the share price had run from below RM0.02 to now RM0.13? Suddenly Patimas becoming so attractive?

PATIMAS: C'mon you guys can be better than this

I just do not understand, if anyone just want to trade, do it on a better company.

Just would like to highlight some of the things as I guess my blog probably would be informative enough on the fundamentals of investing. Balance sheet, cashflow, liquidity are the keywords.

Latest available Balance Sheet

If you think that it has enough cash of RM25 million, just look below. It is pledged.

Part of the cashflow statement

Its announcement to Bursa yesterday.

Notice the word MoU.

I suggest readers to read my article - The confession of a stockist. It is not related but perhaps some can get an idea on some things. Or could it be there are things I do not know that many know. Today Patimas is trading at value of RM100 million!