Alert!> Disposal of all Crosstec shares at S$3.4m loss
- Econ announced that it has sold all of its Crosstec shares on 12 Jan; Sale expected to result in estimated loss on investment of c. S$3.4m, which amounts to c.125% of our FY22F net profit estimates
- Investment was funded by working capital surplus (no IPO proceeds); Estimated loss is not expected to have any material impact on the working capital, cash flow and operations
- Econ will be reviewing its investment strategy to focus on its core business and maximising returns for shareholders
Maintain HOLD with a TP of S$0.28, pending full year results release and review on investment strategy