November 9, 2010

F&N - AmResearch reaffirms Buy on F&N

Stock Name: F&N
Company Name: FRASER & NEAVE HOLDINGS BHD
Research House: AMMB

KUALA LUMPUR: AmResearch reaffirms its BUY rating on Fraser & Neave Holdings Bhd (F&N) with an unchanged fair value of RM15.20 a share.

F&N had on Monday, Nov 8 declared a special interim net dividend of RM1.10/share, effectively distributing the entire net gain of RM324.7 million from the divestment of Malaya Glass Products Sdn Bhd back in May 2010.

The group also declared a final net dividend of 38 sen a share, bringing total net dividends to RM1.64 a share for FY10.

'Our 12-month fair value of RM15.20/share offers a potential total return of 15%, based on the current theoretical ex-price of RM13.50 a share,' said AmResearch in its research note on Tuesday.


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