Thoughts on APWR

As an astute investor of APWR, I began noticing in myself that I am developing a love-hate relationship with this company.

For one, this company is one of my strongest conviction holding till date. I see plenty of opportunities in this growth company that is being involved in the upstart of the wind energy development globally. I am very bullish about the future prospect of this company and I believe that it will be a $30 stock by the end of 2010.

However, if there is one aspect of the company that I will love to see some immediate changes, that will be its "TRANSPARENCY". As a shareholder who maintains a close tab on the company, I have to admit that there are times when the company drives me crazy with regard to her conduct of transparency, or a lack of to say. Being open and transparent is of paramount importance because you need to keep the shareholders in the loop of whats happening. Let me run through what are some of the areas that I think APWR need a serious relook.

1. The website is outdated and does not present much information to feed the information hungry investors.

2. I have heard of so many contracts being won and that the firm is in progress of building many turbines for delivery. Could we see some of the pictures of your factory or video of the manufacturing process.

3. Investor relations is sorely lacking because my email to the company has gone unanswered till this date. Is there even a corporate communications department in APWR?

4. The company will do well if they could furnish the shareholders with their batteplan on how they intend to execute the huge orders coming in as well as the financing portion of their projects. These are critical information that investors will need to know to conduct meaningful analysis and execute their judgement. Until the day I get this information, I still see APWR as a black box and I certainly do not want it to fall into the category of dubious and empty-shelled Chinese Company that is all but a big fraudulous organization.

In this age of information technology, where timely information is critical for investors, APWR cannot afford to be so lackluster in its investor relations. Its time to pull up your socks, APWR. Dont make your shareholders upset. You got to do better than this.

Portfolio Summary and Company Updates for Jan 2010

This is a tad late as I was overseas for a training exercise. But nevertheless, here are the updates on my portfolio summary as well as company news for the month of Jan 2010.

Portfolio took a hit when APWR made an announcement on its private placement. Shares tanked by close to 30% from a high of $20. I will comment more on this anti-shareholder move by APWR in a later post. The rest of the companies are holding up well. Jan has been a volatile month with US making announcment that it wants to curb lending and the Central Bank of China has taken steps to increase the reserve requirements for all national banks in a bid to curb excessive lending. These news did not go down well with investors and they triggered a long overdue correction across the globe as shares suffered the worst period for the month of Jan.

This is a stark reminder to all investors that the period of easy money is over. It is time to pay attention to your selection of stocks to ensure that you ride out the year comfortably and safely.

The rest of my companies update are reflected below.

Adampak

Nil

Boustead

5 Jan - Secures $68 million for its energy related engineering division. This impact will only be visible by end of FY 2011.

Midas

18 Jan - Won a RMB 353 Million High Speed train contract to supply 80 train set equivalent to 1120 trains. Delivery of the train cars is expected to take place between 2010 to 2014 and this delivery will be expected to deliver positive financial impact for year ending between 2010 and 2014.

5 Jan - Secure two contracts totalling RMB 60.6 million for metro projects.

(1) RMB 38.7 mil for Singapore Downtown Line Project. Delivery will take place between 2010 to 2015 and is expected to have positive impact on financial results ending 2010 to 2015

(2) RMB 21.9 mil for Shenzhen Line 4 Project. Delivery to be done between 2010 and 2011 and will have impact for financial year ending 2010 and 2011.

A-Power Generation

21 Jan - A Power Energy Generation announce closing of private placement. The company issued 5,777,932 common shares at a price of $14.37 per share. In addition, the company has issued warrants to purchase an aggregate of 2,888,966 shares. These warrants are exercisable at 16.90 per share and will only be in effect 6 months from the date of notice.

5 Jan - Signs license agreement W2E Technologies GmBH to manufacture, operate and sell T8x 2.0 MW wind turbines. Under this agreement, APWR has the exclusive right to manufacture, operate and sell them in China and US market.