Well it’s been a fantastic 6 months for Haike Chemical. Mentioned and tipped by the blog for Privateers to research and watch-list when they were 29pish. Revenues have more than doubled since H1 2010 and the company are now in profit. Several months ago the Board of Haike conducted a magnificent PR campaign in the city of London glad handing the great and the good. All those who were romanced by the company must now be sporting huge grins. Haike have also been reducing costs across the board which in turn helps profit margins to increase. Recently the company announced that they now own over 90% of the shares in another key subsidiary. Haike acquired a further 9,455,600 shares in Dongying Hi-Tech Spring Chemical Industry Co., Ltd on 22 July 2011. The acquisition was made via its 88.85%-owned subsidiary Shandong Hi-Tech Chemical Group Ltd. This acquisition, which was made at a 10% discount to Hi-Tech Spring’s net assets at end of June 2011, takes Haike’s ultimate shareholding in Hi-Tech Spring from 53.83% to 91.52%. By increasing its stake in Hi-Tech Spring, Haike will further increase profit for the company. Good news. Today Haike released more good news; A major sales agreement with a leading Chinese retailer of refined products. “Under the agreement, this retailer will buy a total of 180,000 tons and 300,000 tons of gasoline and diesel respectively from the Company in a twelve-month period from July 2011 to June 2012. This is a significant contract and equates to one third of the Company’s output in the last year. The selling prices are higher than those sold to current wholesale clients which should therefore enhance the Company’s profitability.”
It’s a funny old world isn’t it? I remember writing on Haike just before they broke out. I think they hit over 65p then began to drift back on short supply re’ news.The Blog took some stick for reiterating their confidence in the company when they were on the slide. They are now up over 209% since we first highlighted them. The moral is? Some of the loons who have plagued the comments section regarding Matra’s limited oil supply are the same ones who posted guff on Haike. Investing is all about getting the fundamental reasons correct vis-a-vis the research. Where are they now that Haike has transformed into a multi-bagger? Silence. These loons only EVER crawl out when the news is poor. They never add anything to the debate other than BILE! Haike Chemical are currently trading at 94p. This Blog called them at 29p! Put that in your pipe and smoke it!
- Haike Chemical . Update (brokermandaniel.com)