Senior Credit Analyst, Lucror Analytics

Leonard Law, CFA

Senior Credit Analyst

High Yield Experts

Lucror Analytics

Lucror Analytics is a leading credit and ESG research specialist and a provider of technology solutions for differentiated fixed income strategies. Our roots are in bottom-up fundamental credit analysis with a specialization in high yield corporate credits from Europe, Asia and Latin America. We are one of few research specialists integrating ESG considerations with fundamental credit research through a dedicated ESG platform. Our ESG assessment covers five key criteria: Disclosure, E,S, & G Pillars, Controversies, ESG Impact on Credit and ESG Momentum.

Recognizing the importance and value-add of Factor Investing in fixed income, Lucror developed the Smart Quant Navigator (SQN), an intuitive platform that helps clients devise and implement factor-based strategies ranging from pure quant to active fundamental, with integrated ESG.

Our company has been at the forefront of developments in the fixed income markets, identifying opportunities and consistently delivering new products and value-adding solutions to clients. Lucror has close relationships with the largest and most reputable asset managers, family offices, hedge funds, investment and wealth managers globally.

Credit

In this month’s “In-Focus” section, we discuss Corporate Governance in Chinese Companies. Specifically, we highlight: [1] the nascent development of the Chinese corporate governance regime; [2] the lack of strong external examination/review; [3] different types of Chinese public companies; and [4] Lucror’s approach to assessing corporate governance. The Asia Monthly focuses on providing updates on recent events, information on new issues and spread movements, as well as summarising our top picks, and discussing specific areas of interest in the "In-Focus” section. The Asia Monthly is intended to broaden investors' understanding of the Asian USD high-yield market.

   In this month’s “In-Focus” section, we discuss Corporate Governance in Chinese Companies. Specifically, we highlight: [1] the nascent development of the Chinese corporate governance regime; [2] the lack of strong external examination/review; [3] different types of Chinese public companies; and [4] Lucror’s approach to assessing corporate governance.    The Asia Monthly focuses on providing updates on recent events, information on new issues and spread movements, as well as summarising our top picks, and discussing specific areas of interest in the "In-Focus” section. The Asia Monthly is intended to broaden investors' understanding of the Asian USD high-yield market. 

Asia HY Monthly - Corporate Governance In Chinese Companies - Lucror Analytics

Lucror Analytics Morning Views comprise our fundamental credit analysis, opinions and trade recommendations on high yield issuers in the region, based on key company-specific developments in the past 24 hours. Our Morning Views include a section with a brief market commentary, key market indicators and a macroeconomic and corporate event calendar.

Lucror Analytics Morning Views comprise our fundamental credit analysis, opinions and trade recommendations on high yield issuers in the region, based on key company-specific developments in the past 24 hours. Our Morning Views include a section with a brief market commentary, key market indicators and a macroeconomic and corporate event calendar. 

Lucror Analytics - Morning Views Asia - 29 Oct 2018

Sritex's H1/18 results are acceptable, but not as strong as the headline figures suggest. Revenue growth was again mainly driven by the consolidation of two acquisitions (partly funded by debt). Gross margins were under pressure for Spinning and Weaving, but were unchanged for Finishing and Garment. Working capital improved slightly. Headline profit included a gain from goodwill. The financial risk profile strengthened despite the higher debt, with slightly better credit metrics. Liquidity is sound, and the debt maturity profile is good. Our fundamental Credit Bias is "Stable", considering the continued improvement in business operations and absence of adverse related-party transactions. We maintain our "Hold" recommendation on the SRIRJK Notes, which are fairly valued compared to Indonesian HY peers.

   Sritex's H1/18 results are acceptable, but not as strong as the headline figures suggest. Revenue growth was again mainly driven by the consolidation of two acquisitions (partly funded by debt). Gross margins were under pressure for Spinning and Weaving, but were unchanged for Finishing and Garment. Working capital improved slightly. Headline profit included a gain from goodwill. The financial risk profile strengthened despite the higher debt, with slightly better credit metrics. Liquidity is sound, and the debt maturity profile is good.    Our fundamental Credit Bias is "Stable", considering the continued improvement in business operations and absence of adverse related-party transactions. We maintain our "Hold" recommendation on the SRIRJK Notes, which are fairly valued compared to Indonesian HY peers. 

Sritex - Earnings Flash - 9M FY 2018 Results - Lucror Analytics

Asian Insight Provider - Actionable ideas, CrossASEAN Research

Henry Soediarko

Asian Insight Provider - Actionable ideas

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

Equity Bottom-Up

<a href="https://www.smartkarma.com/entities/20178" target="_blank" data-smartkarma-citation="entities:20178:1">Sri Rejeki Isman Tbk Pt (SRIL IJ)</a> has executed the conditional sale and purchase agreement dated 12th December 2017 with amendment on the 6th February 2018 with regards to the acquisition of PT Primayudha (PM) and PT Bitratex (BI). On the February 7th, 2018, the first trance of share transfer of 82% in each PM and BI has been completed for an amount of USD 69,699,016.42. The second tranche of share transfer in BI and PM at USD 15.3 million will be executed in two instalments; the first one of…

Sri Rejeki Isman Tbk Pt (SRIL IJ) has executed the conditional sale and purchase agreement dated 12th December 2017 with amendment on the 6th February 2018 with regards to the acquisition of PT Primayudha (PM) and PT Bitratex (BI). On the February 7th, 2018, the first trance of share transfer of 82% in each PM and BI has been completed for an amount of USD 69,699,016.42. The second tranche of share transfer in BI and PM at USD 15.3 million will be executed in two instalments; the first one of…

Sritex: The 1st Tranche of Acquisition Payment Is Done

Right before Christmas 2017, <a href="https://www.smartkarma.com/entities/20178" target="_blank" data-smartkarma-citation="entities:20178:1">Sri Rejeki Isman Tbk Pt (SRIL IJ)</a> announced that they are purchasing Primayudha and Bitratex, both are manufacturers of yarn based in Indonesia with a heavy focus on exports. A conversation with the management last Friday confirmed that the deal is still in the midst of due diligence hence no sale and purchase agreement has been signed and no price has been agreed. <h2>A brief background on the deal</h2>Both target companies are yarn producer with operation in East and…

Right before Christmas 2017, Sri Rejeki Isman Tbk Pt (SRIL IJ) announced that they are purchasing Primayudha and Bitratex, both are manufacturers of yarn based in Indonesia with a heavy focus on exports. A conversation with the management last Friday confirmed that the deal is still in the midst of due diligence hence no sale and purchase agreement has been signed and no price has been agreed. A brief background on the dealBoth target companies are yarn producer with operation in East and…

A Talk with Sritex on New Acquisition and More

Indonesia

PT Sri Rejeki Isman Tbk, also known as Sritex, is an Indonesia-based company primarily engaged in the integrated textile and garment industry. It manufactures yarn, greige, fabrics, and apparel through its spinning, weaving, dyeing/printing, and garment manufacturing processes. The company was founded in 1966 as a traditional trading company and established its first printing factory in 1968. Its headquarters are located in Sukoharjo, Central Java, Indonesia.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Sri Rejeki Isman (SRIL IJ)

Asia HY Monthly - Corporate Governance In Chinese Companies - Lucror Analytics

In this month’s “In-Focus” section, we discuss Corporate Governance in Chinese Companies. Specifically, we highlight: [1] the nascent development...

Lucror Analytics

Lucror Analytics - Morning Views Asia - 29 Oct 2018

Lucror Analytics Morning Views comprise our fundamental credit analysis, opinions and trade recommendations on high yield issuers in the region,...

Lucror Analytics

Sritex - Earnings Flash - 9M FY 2018 Results - Lucror Analytics

Sritex's H1/18 results are acceptable, but not as strong as the headline figures suggest. Revenue growth was again mainly driven by the...

Lucror Analytics

Sritex: The 1st Tranche of Acquisition Payment Is Done

Sri Rejeki Isman Tbk Pt (SRIL IJ) has executed the conditional sale and purchase agreement dated 12th December 2017 with amendment on the 6th...

Henry Soediarko

A Talk with Sritex on New Acquisition and More

Right before Christmas 2017, Sri Rejeki Isman Tbk Pt (SRIL IJ) announced that they are purchasing Primayudha and Bitratex, both are manufacturers...

Henry Soediarko

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)