Cannot ask for more beautiful chart other then this!

1 March 2011 8:30AM

The game is getting more interesting now!

Scene 1

John Gokongwei, Jr. and Wee Cho Yaw snapping up UIC share from open market.

Scene 2

UIC snapping up Singapore Land share from open market

Scene 3

UOL snapping up UIC share from open market

Scene 4

UOL carry out daily share buy-back from open market

Stay tune!

I have to redraw the flag because neither breakout or breakdown during the Chinese New Year time.

I have no idea when the breakout will happen now because the market sentiment is affected by the cooling measure.

However, if we just look at the chart, I don't see how cooling effect has affected the price. This is a blessing that UIC is one of the best property stock withstand the effect of cooling measure and China effect.

Today is 28 January 2011.

UIC decided to consolidating at around $2.76 and $2.80 now. The picture is very quiet now because the general market seems to move to no way.

The good news is the price action of UIC still bullish (and getting more bullish!) and there is sign that the breaking out is coming soon.

This morning UIC has hit $2.80 again. If UIC clear $2.84, then be ready to add on the position. The next leg will probably push it beyond $3.00 easily.

Today is 22 January 2011.

After seeing UIC cling on around $2.80 for the last few days despite the heavy sell down in the overall market, now I believe that the gap at $2.71 and $2.72 is not going to get cover back.

Instead, I believe that the price is consolidating at current level and looking up to break $2.84 resistance next week.

The target price for this new leg is going to be substantial.

The absent of the annoucement involving the change of director interest for the last 2~3 weeks is a worrying sign for me to consider.

It worth to note that the price has ran up continously for the last 3 weeks almost non stop. It created a gap up and partially covered on knee jerk action to property cooling measures.

If the price movement is purely supported retailer, then the chance is high that the prices chart is forming a top now.

Furthermore, if both sides stop buying at $2.40, then it will pull the price back to a level closer to it from the current $2.80.

We are competing with W and G in the game of patience.

UIC own 56% or 72% of Singapore Land?

Well, I believe 72% is the right figure but Thomson Reuters data shown via Phillips Securities display as 56%.

Anyone can further confirm it?

As UOL bought additional 133.6 million UIC shares from United Overseas Bank at S$2.40 a share as published on 22 December 2010, UOL has made $53 million paper profit since UIC closed at $2.80 on 14 January 2011.

Not a bad deal for less then a month of desktop corporate game.

For UOB shareholders, thank you for your kindness. It is a season of sharing!

UIC has never closed lower then the previous day for 14th consecutive days.

Today, 14 January 2011, UIC closed 1 cent lower at $2.80. Therefore, the chain broken?

My answer is: NO!

Let't take a look at the closing information:

The price closed at $2.80 but the buyer willing to buy at $2.81! The reason why the price closed 1 cent lower is because no willing seller to sell.

Therefore, your view?   lol

Yesterday, 12 January 2011, UIC has a significant gap up of 3 cents from $2.71 to $2.74.

If we look at the history of UIC, the event of gap up is very very rare (if you can find one).

We may find similar bullish price movement in UOL and SP Land. It worth to note that SP Land has a much smaller gap of 1 cent from $7.65 to $7.66.

The gap up of UIC is not event driven, but rather help by low liquidity and persistent buying up.

I am suspecting that the buying force since the last chunk of bulk $2.40 transaction is purely originated from retail investors. The lack of announcement from the major shareholder seems confirming this hypothesis.

The gradient of the price climbing up is getting too steep and the buying force has to catch up to support it. I start to believe that the gap covering to $2.71 is imminent.

Today, 10 January 2010 is a bloody day for STI with the index dropped more then 30 pts. The plunge not just confined to Jardine Group of companies, but rather broadbase. Nontheless, some are spared. One of them is UIC.

Being an illiquied stock, the chance for it to survive the first wave of general market sell-off is high. However, as an investor in UIC, I think the price action today is remarkable because it hit the new high when the market under intense selling.

If you look at the 3 trades at the late afternoon which path the way for the post-crisis record high at $2.65, obviously someone is not shaken by the general market sell-off. Instead, somebody is executing an pre-planned agenda.

We may need to wait for weeks before we knowing who has bought at this price from the announcement, if they are major shareholder.

This year we have have M&A activities like Maybank buying Kim Eng. I believe someone will take action before the properties price at Marina Bay shot up pending the full development of the facilities and attraction there.

The dust finally settled at $2.61, up 2 cents.

It worth to note that UIC has never closed lower then previous day since 27 December 2010. Today is 6 January 2011.

Another positive point is the trading range start to widen after breaking through the all important twizzer top at $2.50.

If that is not enough, the closing price in last two days is the highest price of the day.

However, there is not much things to celebrate now because the action is mostly due to the continue accumulation by retailers like you and me.

We are in for the marathon!

Comments are welcome.

Appeared on The Edge this week as one of the redevelopment project which slated to be completed by year 2015.

The current trend of the new high end and sophisticated building is the extensive use of glass and glass.

The design of the building is obviously out dated. Hope there will be a face lift.

The Trizon - by UIC/SingLand
The only residential project no fully sold yet

This is an old article from The Edge in beginning of 2009. However, I think this is an excellent article to illustrate some rules to play the game of taking over in Singapore.

At least now we know for sure that if UOL or JG Summit are to offer new deal in coming 6 months, it will never lower then $2.40 now.

Written by Goola Warden

Saturday, 17 January 2009 16:01

WHAT IS billionaire banker and property magnate Wee Cho Yaw’s strategy for United Industrial Corp (UIC)? The octogenarian chairman of United Overseas Bank is clearly unfazed by the bearish outlook for the local property sector. Last Wednesday, he seized the bear market by the paws and used UOL Group to make a bid for the shares in UIC that he does not own. If UOL and friendly parties succeed in getting more than 50% acceptances for UIC, it would catapult the duo to among the top-three listed Singapore developers.

Yet, how determined is Wee? The $1.20 per share offer for UIC is seen as a bit of a “lowball” effort by the market. Lim & Tan states in a report issued last week: “Although there is usually no urgency to do anything with an existing position in a takeover situation, we would not chase UIC in anticipation of a counter-bid, just because [John] Gokongwei would need to offer $2.85 if he were to counter, that being the highest he paid in the last six months.” This is stipulated by the takeover code.

Gokongwei is the largest shareholder in UIC with a 35.1% stake. His latest purchase of 800,000 shares was on Jan 15, just after UOL’s offer. Prior to that, he had bought 600,000 shares on Jan 9. And he could technically keep on buying 1% (1.3 million shares) every six months. There’s nothing to stop him.

Interestingly, Gokongwei need not make a general offer at $2.85. He could just wait until the present general offer lapses. The offeror has the right to extend the offer but the offer document already states that UOL won’t raise the price unless there is a competing offer. After UOL’s offer lapses in about a month, Gokongwei could make his own general offer.

After UOL’s offer lapses in about a month, Gokongwei could make his own general offer. By then, his highest purchase price would be less than $2.85. Indeed, if the Filipino tycoon makes his offer in say, March, he could theoretically propose a lower price of $1.30 or $1.40, depending on the highest price he paid in the prior six months. The lower the price, the lower he is able to target his offer. His last general offer in 2005 was at $1.09. And, if the $1 cost for his initial stake in 1999 is taken into account, Gokongwei’s average cost for his 35.1% portion could be at around $1.16 — lower than the offer price of $1.20.

But there is a big unknown: Will Morgan Stanley accept the $1.20 offer from the Wee stable? The US investment bank still holds some 165 million shares or 12% of UIC. In December, the bank sold some shares, and in January this year, it bought them back. Most market watchers reckon it is a potential seller if the price is right as the US financial sector is shoring up their balance sheets amid the financial crisis.

http://www.theedgesingapore.com/component/content/1700.html?task=view

If we take a quick look at the previous price being offer on table, I think both party is very stingy conservative in pricing.

In year 2005, JG Summit, which is the investment vehicle of Filipino-Chinese tycoon John Gokongwei, offered to buy the rest of UIC for S$1.09 per share after its interest in the company exceeded the 30 percent threshold.

In year 2009, UOL Group announced a mandatory conditional cash offer of S$1.20 per share for United Industrial Corporation Limited.

Today, UIC is selling at $2.50 at peak now.

The price of UIC is on long term up trend since financial crisis in 2009. The current price at $2.50 is at all time high since the crisis.

The price has stalled at $2.50 and forming 4th times tested twizzer top include today. I think a lot of energy is require to break this round number.

2357 GMT (Dow Jones) Thinly-traded United Industrial Corp (U06.SG) may gain as
major shareholder UOL Group's (U14.SG) move to increase its stake could raise
investors' confidence in the Singapore office landlord. UOL is buying a 9.7%
stake in UIC from United Overseas Bank (U11.SG) for S$320.5 million or
S$2.40/share, boosting its interest to 42.0% from 32.3% to become the largest
shareholder in UIC, which also owns 3 5-star Singapore hotels. The move will give
UOL greater exposure to Singapore's growing office and hospitality markets, where
both companies have a substantial presence. In a sign of confidence in UIC's
prospects, another major shareholder, John Gokongwei, earlier this week raised
his stake to 35.984% from 35.974% by buying shares from the open market at S$2.40
each. The stock closed 0.4% higher at S$2.41 yesterday. Immediate resistance is
at the 52-week high of S$2.46. (frankie.ho@dowjones.com)

DJ UOL Group To Increase Stake In United Industrial Corp To 42% From 32.3%
23 Dec 2010 07:15

SINGAPORE (Dow Jones)--Singapore property company UOL Group Ltd. (UOLGY, U14.SG) is increasing its stake in United Industrial Corp. (U06.SG) to 42% from the current 32.3% for a total consideration of S$320.5 million.

UOL has agreed to acquire 133.6 million UIC shares from United Overseas Bank (UOVEY, U11.SG) at S$2.40 a share, UOL said in a filing late Wednesday.

The acquisition will be funded by bank borrowings and internal resources.

With the stake increase, UOL will become the single largest shareholder in UIC, which is one of Singapore's largest office landlords in the central business district and has some interest in three five-star hotels in Singapore.