ASEAN Insight Provider, CrossASEAN Research

Angus Mackintosh

ASEAN Insight Provider

CrossASEAN Research

At CrossASEAN Research we strive to produce unbiased and differentiated on the ground insights on companies across South East Asia. Our Research is produced for the most part after face to face meetings and conversations with company management to dig deep into the long term vision and strategy of the companies we cover. We seek to deliver investable and actionable themes on sectors and markets across SE Asia, often in collaboration with other Insight Providers across the region, pooling the vast experience of the analysts within the Smartkarma Ecosystem. We also offer bespoke work and tailor made trips for our clients. 

Insights across South East Asia

Cross Asset Strategy

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This week's offering of Insights across <a href="mailto:ASEAN@Smartkarma" target="_blank">ASEAN@Smartkarma</a> is filled with another eclectic mix of differentiated, substantive and actionable insights from across South East Asia and includes macro, top-down and thematic pieces, as well as actionable equity bottom-up pieces. Please find a brief summary below, with a fuller write up in the detailed section.
The highlights of this week are comments on the Thai elections with differing perspectives from CrossASEAN Economist <a href="https://www.smartkarma.com/profiles/612" target="_blank" data-smartkarma-citation="accounts:612">Prasenjit K. Basu</a>, Thailand based <a href="https://www.smartkarma.com/profiles/766" target="_blank" data-smartkarma-citation="accounts:766">Athaporn Arayasantiparb, CFA</a>, and <a href="https://www.smartkarma.com/profiles/1628" target="_blank" data-smartkarma-citation="accounts:1628">Dr Jim Walker</a>. <a href="https://www.smartkarma.com/profiles/1628" target="_blank" data-smartkarma-citation="accounts:1628">Dr Jim Walker</a> also gives us his views on the key beneficiaries and the ongoing US-China trade dispute and singles out Indonesia and Vietnam. On this theme, <a href="https://www.smartkarma.com/profiles/2060" target="_blank" data-smartkarma-citation="accounts:2060">Kevin O’Rourke</a> highlights a potentially significant announcement of a US$400m investment in Kendal, Central Java by a Chinese Textile company of its intention to relocate a shirt manufacturing facility there from China. <a href="https://www.smartkarma.com/entities/7755" target="_blank" data-smartkarma-citation="entities:7755:1">Kawasan Industri Jababeka (KIJA IJ)</a> and <a href="https://www.smartkarma.com/entities/1087" target="_blank" data-smartkarma-citation="entities:1087:1">Sembcorp Industries (SCI SP)</a> have a JV industrial estate there, which stands potentially to benefit should this move should it transpire. More importantly, it could signal the start of a more promising future for Indonesia's manufacturing sector. 
</div><h2>Macro Insights</h2>In <a href="https://www.smartkarma.com/insights/prayuth-accomplishes-a-clear-cut-victory-assuring-stability-if-not-rapid-growth" target="_blank" data-smartkarma-citation="insights:28801">Prayuth Accomplishes a Clear-Cut Victory, Assuring Stability (If Not Rapid Growth)</a>, CrossASEAN Insight Provider <a href="https://www.smartkarma.com/profiles/612" target="_blank" data-smartkarma-citation="accounts:612">Prasenjit K. Basu</a> comments on the result of the recent election in Thailand. In <a href="https://www.smartkarma.com/insights/thai-election-2019-defeat-in-parliament-victory-in-senate" target="_blank" data-smartkarma-citation="insights:28794">Thai Election 2019: Defeat in Parliament, Victory in Senate</a>, Thai Guru <a href="https://www.smartkarma.com/profiles/766" target="_blank" data-smartkarma-citation="accounts:766">Athaporn Arayasantiparb, CFA</a> comments on the results on the Thai elections and the consequences for decision making in that country. In a follow-up Insight on the recent election in Thailand, <a href="https://www.smartkarma.com/insights/political-pit-stop-april-an-election-gridlock" target="_blank" data-smartkarma-citation="insights:28902">Political Pit Stop (April): An Election Gridlock</a>, <a href="https://www.smartkarma.com/profiles/766" target="_blank" data-smartkarma-citation="accounts:766">Athaporn Arayasantiparb, CFA</a> deals with some unfinished business post the election.In <a href="https://www.smartkarma.com/insights/elections-coups-and-constitutions-thailand-s-reckoning" target="_blank" data-smartkarma-citation="insights:28807">Elections, Coups and Constitutions: Thailand’s Reckoning</a>, <a href="https://www.smartkarma.com/profiles/1628" target="_blank" data-smartkarma-citation="accounts:1628">Dr. Jim Walker</a> looks at Thailand's political history with the recent election in mind and concludes that Thai politics looks set to become fractious and interesting once again. In his insight, <a href="https://www.smartkarma.com/insights/18pt-lead-mitigates-prabowo-related-risk-islamic-parties-declining-prc-textile-plan-4th-debate" target="_blank" data-smartkarma-citation="insights:28901">18pt Lead Mitigates Prabowo-Related Risk / Islamic Parties Declining / PRC Textile Plan / 4th Debate</a>, <a href="https://www.smartkarma.com/profiles/2060" target="_blank" data-smartkarma-citation="accounts:2060">Kevin O’Rourke</a> looks and the most important political and economic developments over the past week and provides his value-added comment. In <a href="https://www.smartkarma.com/insights/vietnam-picks-up-the-china-baton" target="_blank" data-smartkarma-citation="insights:28714">Vietnam Picks up the China Baton</a>, <a href="https://www.smartkarma.com/profiles/1628" target="_blank" data-smartkarma-citation="accounts:1628">Dr. Jim Walker</a> lays out his thoughts on which countries are set to benefit the most from the ongoing trade dispute between the US and China. Indonesia and Vietnam would seem to be the most obvious beneficiaries.  <h2>Equity Bottom-Up Insights</h2>In his most recent on-the-ground insight, <a href="https://www.smartkarma.com/insights/shaky-situations-at-demco-and-pranda" target="_blank" data-smartkarma-citation="insights:28703">Shaky Situations at DEMCO and Pranda</a>, <a href="https://www.smartkarma.com/profiles/766" target="_blank" data-smartkarma-citation="accounts:766">Athaporn Arayasantiparb, CFA</a> lays out his thoughts post visits to two companies with very different trajectories, namely renewable power specialist <a href="https://www.smartkarma.com/entities/17043" target="_blank" data-smartkarma-citation="entities:17043:1">Demco Pcl (DEMCO TB)</a>, which is struggling, despite doing really well in the past and jeweller <a href="https://www.smartkarma.com/entities/20831" target="_blank" data-smartkarma-citation="entities:20831:1">Pranda Jewelry Pub (PRANDA TB)</a>, once struggling but now on a recovery path. In <a href="https://www.smartkarma.com/insights/golden-agri-bull-pivots-to-get-involved" target="_blank" data-smartkarma-citation="insights:28829">Golden Agri Bull Pivots to Get Involved</a>, technical specialist <a href="https://www.smartkarma.com/profiles/381" target="_blank" data-smartkarma-citation="accounts:381">Thomas Schroeder</a> works his magic on this leading Singapore listed plantation company.For a fundamental view on the above situations please refer to last week's insight, <a href="https://www.smartkarma.com/insights/golden-agri-el-nino-back-on-the-front-burner-bullish-catalyst-for-gar" target="_blank" data-smartkarma-citation="insights:28712">Golden Agri: El Nino Back on the Front Burner; Bullish Catalyst for GAR</a>, from commodities specialist <a href="https://www.smartkarma.com/profiles/2362" target="_blank" data-smartkarma-citation="accounts:2362">Charles Spencer</a> who zeros on the potential positive impact from an impending El Nino event on <a href="https://www.smartkarma.com/entities/1142" target="_blank" data-smartkarma-citation="entities:1142:1">Golden Agri Resources (GGR SP)</a>. <h2>Sector and Thematic Insights</h2>In <a href="https://www.smartkarma.com/insights/small-cap-diary-rajthanee-hospital-caz" target="_blank" data-smartkarma-citation="insights:28720">Small Cap Diary: Rajthanee Hospital, CAZ</a>, <a href="https://www.smartkarma.com/profiles/766" target="_blank" data-smartkarma-citation="accounts:766">Athaporn Arayasantiparb, CFA</a> lays out his thoughts post visits to these two small-cap companies from totally different industries <a href="https://www.smartkarma.com/entities/23729" target="_blank" data-smartkarma-citation="entities:23729:1">Rajthanee Hospital (RJH TB)</a> and <a href="https://www.smartkarma.com/entities/28010" target="_blank" data-smartkarma-citation="entities:28010:1">CAZ Thailand PCL (CAZ TB)</a>.


This week's offering of Insights across ASEAN@Smartkarma is filled with another eclectic mix of differentiated, substantive and actionable insights from across South East Asia and includes macro, top-down and thematic pieces, as well as actionable equity bottom-up pieces. Please find a brief summary below, with a fuller write up in the detailed section.
The highlights of this week are comments on the Thai elections with differing perspectives from CrossASEAN Economist Prasenjit K. Basu, Thailand based Athaporn Arayasantiparb, CFA, and Dr Jim Walker. Dr Jim Walker also gives us his views on the key beneficiaries and the ongoing US-China trade dispute and singles out Indonesia and Vietnam. On this theme, Kevin O’Rourke highlights a potentially significant announcement of a US$400m investment in Kendal, Central Java by a Chinese Textile company of its intention to relocate a shirt manufacturing facility there from China. Kawasan Industri Jababeka (KIJA IJ) and Sembcorp Industries (SCI SP) have a JV industrial estate there, which stands potentially to benefit should this move should it transpire. More importantly, it could signal the start of a more promising future for Indonesia's manufacturing sector. 
Macro InsightsIn Prayuth Accomplishes a Clear-Cut Victory, Assuring Stability (If Not Rapid Growth), CrossASEAN Insight Provider Prasenjit K. Basu comments on the result of the recent election in Thailand. In Thai Election 2019: Defeat in Parliament, Victory in Senate, Thai Guru Athaporn Arayasantiparb, CFA comments on the results on the Thai elections and the consequences for decision making in that country. In a follow-up Insight on the recent election in Thailand, Political Pit Stop (April): An Election Gridlock, Athaporn Arayasantiparb, CFA deals with some unfinished business post the election.In Elections, Coups and Constitutions: Thailand’s Reckoning, Dr. Jim Walker looks at Thailand's political history with the recent election in mind and concludes that Thai politics looks set to become fractious and interesting once again. In his insight, 18pt Lead Mitigates Prabowo-Related Risk / Islamic Parties Declining / PRC Textile Plan / 4th Debate, Kevin O’Rourke looks and the most important political and economic developments over the past week and provides his value-added comment. In Vietnam Picks up the China Baton, Dr. Jim Walker lays out his thoughts on which countries are set to benefit the most from the ongoing trade dispute between the US and China. Indonesia and Vietnam would seem to be the most obvious beneficiaries.  Equity Bottom-Up InsightsIn his most recent on-the-ground insight, Shaky Situations at DEMCO and Pranda, Athaporn Arayasantiparb, CFA lays out his thoughts post visits to two companies with very different trajectories, namely renewable power specialist Demco Pcl (DEMCO TB), which is struggling, despite doing really well in the past and jeweller Pranda Jewelry Pub (PRANDA TB), once struggling but now on a recovery path. In Golden Agri Bull Pivots to Get Involved, technical specialist Thomas Schroeder works his magic on this leading Singapore listed plantation company.For a fundamental view on the above situations please refer to last week's insight, Golden Agri: El Nino Back on the Front Burner; Bullish Catalyst for GAR, from commodities specialist Charles Spencer who zeros on the potential positive impact from an impending El Nino event on Golden Agri Resources (GGR SP). Sector and Thematic InsightsIn Small Cap Diary: Rajthanee Hospital, CAZ, Athaporn Arayasantiparb, CFA lays out his thoughts post visits to these two small-cap companies from totally different industries Rajthanee Hospital (RJH TB) and CAZ Thailand PCL (CAZ TB). 

The Week that Was in ASEAN@Smartkarma - Elections, Trade War Beneficiaries, and Indonesian Textiles

Asean-focused. Ex-Head of Thai Research

Athaporn Arayasantiparb, CFA

Asean (Thailand) Focused Independent Research

M Corp Review

M Corp is led by Athaporn Arayasantiparb who served as Head of Research for UOB and ANZ in Thailand and was an award-winning telecoms analyst at UBS in 2010 (AsiaMoney Thailand category) and Regional Strategist for DMG in Singapore. Prior to that, he also served as Kasikornbank credit analyst and scholar. He has a total work experience of 17 years, of which 14 were in research and 4 in research management roles. He started his career as an engineer for PTT and currently manages family investments. He holds an MBA from Stern (NYU) and CFA Charter since 2006. Apart from IPO Radar, which focuses on future listings, MCorp Review also provides six on-going thematic series ranked by frequency in descending order, namely: 1) Silicon Stories (technology) 2) Sathorn Series (financial services) 3) Thai-Coons (billionaire origin stories) 4) Reality Check (data-driven, investigative) 5) Thai Media Spotlight; and 6) Thai Macro Watch (global market drivers).

Equity Bottom-Up

We visited two small-cap companies from totally different industries today. These are the key highlights.<ul>
<li>
Rajthanee Hospital, a small hospital chain based in Ayuthya, achieved 15.7% revenue growth CAGR since 2016 on the back of its proximity to industrial estates.</li>
<li>
CAZ has seen its backlog double to Bt2.5bn largely due to its good relations with major clients (PTT) and partners (Samsung and other Korean chaebol), which dole out projects in the oil &amp; gas sector to it.</li>
<li>Internally, CAZ follows a sophisticated cost control method sporting bar codes and GPS to track materials and dedicated cost-control staff.</li>
</ul>

We visited two small-cap companies from totally different industries today. These are the key highlights.

Rajthanee Hospital, a small hospital chain based in Ayuthya, achieved 15.7% revenue growth CAGR since 2016 on the back of its proximity to industrial estates.

CAZ has seen its backlog double to Bt2.5bn largely due to its good relations with major clients (PTT) and partners (Samsung and other Korean chaebol), which dole out projects in the oil &amp; gas sector to it.
Internally, CAZ follows a sophisticated cost control method sporting bar codes and GPS to track materials and dedicated cost-control staff.


Small Cap Diary: Rajthanee Hospital, CAZ

Thailand

CAZ Thailand Public Company Limited provides engineering and construction services. The Company offers procurement, steel structure fabrication and erection, project management, and other related services. CAZ Thailand serves customers in Thailand.

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CAZ Thailand PCL (CAZ TB)

The Week that Was in ASEAN@Smartkarma - Elections, Trade War Beneficiaries, and Indonesian Textiles

This week's offering of Insights across ASEAN@Smartkarma is filled with another eclectic mix of differentiated, substantive and actionable...

Angus Mackintosh

Small Cap Diary: Rajthanee Hospital, CAZ

We visited two small-cap companies from totally different industries today. These are the key highlights. Rajthanee Hospital, a small hospital...

Athaporn Arayasantiparb, CFA

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52-week Range

Market Cap (USDm)

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