Response: The Company has today received a verbal indication of approval from the Korea
Exchange on the proposed listing of Korean depository receipts on the KOSDAQ Market of
the Korea Exchange. However, Shareholders should note that a formal written approval from
the Korea Exchange has not yet been granted. Accordingly, Shareholders and other investors
are reminded to exercise caution when dealing in the Shares. The Company will announce
any material updates when appropriate.
If you have access to the data onthe individual trades of Sunmart this morning,you can see very fierce buying with several buy-ups involving more than 1 million shares at one go.
This is a strong indication that the stock is very well supported and there may be some people taking profit but Sunmart could well close today much higher than the 24 cents it closed at yesterday.
Singapore, 28 December, 2010 – Sunmart Holdings Limited (“Sunmart” or the
“Company”), one of the largest design and production facility for plastic spray
pumps in the PRC, has today announced that the Company will commence
the book-building process for the sale of its depository receipts that will be
listed on the KRX KOSDAQ Market of the Korea Exchange (the “KRX
KOSDAQ Market”) on January 5, 2011.
The road show, jointly organised by the Company’s appointed Investor
Relations (“IR”) firm, Value C & I Consulting Co., and its underwriter for the
depository receipts, Daewoo Securities, will involve selected Korean funds
and private investors.
The exercise is expected to begin with a tour of the
Company’s manufacturing facility located in Jiangyin City, PRC, from 5 and 9 January 2011. Thereafter, there will be a conference and roadshow held in
Seoul, Korea for potential investors from 10 to 14 January 2011.
The Management believes that the roadshow will be a good platform to
present the Company’s key strengths to potential investors. It will also be an
important milestone for the Company’s plans to issue and list the depository
receipts on the KRX KOSDAQ Market
Subsequent to the book building and pricing exercise conducted by the Company and the
underwriter to the proposed Dual Listing, Daewoo Securities Co., Ltd (the “Underwriter”), on
14 January 2011 and 17 January 2011, the Company has failed to reach an agreement on
the subscription price of the Depository Receipt with the Underwriter. As such, the Company
has decided to postpone the proposed Dual Listing until after the financial statements of the
Company for the financial year ended 31 December 2010 has been adopted at the annual
general meeting of the Company. The Company intends to submit a fresh listing application
to the KRX in April 2011.
Life is always surprising! Look at Sunmart holding steady at 23 cents even though it went thru a tough time telling the underwriter it won't sell so cheaply. Now waiting for resubmission of dual listing plan in April, yet the stock has not died, as many people & me have expected. Still, its business is not sexy in my eyes & not an investment I would undertake at current price level. That is not to say the stock won't be able to climb - it could rise and rise, because .... life is always surprising!
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