- Share price 55c- 100mill cash (Using some to buyback)- Market...

- Share price 55c
- 100mill cash (Using some to buyback)
- Market cap approx 180 mill
- NTA = $1.97 (according to their website, might be diff because of the dubai writedowns)
- Debt = 0
- Dividends for year = zero. This stings a little but I am sure most people would prefer a share buyback than divs, I know I would. Share buyback shows and proves confidence in the company. Im sure dividends will be back next year.
- 32 mill shares share buyback obviously
- Most importantly, low geared

News:

Nick Nichols, business editor

May 22nd, 2009

SUNLAND Group, buoyed by what it sees as a thawing in the property market, is set to kick off a swag of new residential projects in Australia this year.

And in a broadside at the 'hype' surrounding the collapse of the Dubai property market, Sunland managing director Sahba Abedian yesterday reaffirmed the company's faith in the Middle East, which is now benefiting from its own domestic stimulus measures.

"Market conditions in Australia overall are somewhat improved, particularly over the past few months," he said.

"I'm confident that this will continue.

"I think no doubt the (Australian) Government's stimulus package has had some impact in terms of sales activity.

"We've had very strong sales in our high-rise portfolio as well as our housing portfolio in NSW, Queensland and Victoria."

But Mr Abedian remained cautious, saying market conditions still were 'difficult' and would remain so for 'at least 18 months'.

Despite this, Sunland said it would be launching six new projects this year.

They include three Gold Coast offerings -- at Royal Pines, Sanctuary Cove and Merrimac -- as well as residential estates in NSW and Victoria.

The Peregian Springs estate on the Sunshine Coast will be launched at the end of this year and Sunland will kick off its Pacific Pines 'town homes' project early next year.

"We have a very busy six months ahead of us."

Mr Abedian said the 'positioning' of Sunland's portfolio at the lower end of the market was helping take advantage of a surge in activity.

Meanwhile, Mr Abedian said the 'speculation and sensationalism' surrounding the Dubai market was overdone.

"When you look at it in a global context, Dubai is still the financial services precinct for the Middle East," said Mr Abedian who this week returned from Dubai where Sunland is building the D1 tower and its second Palazzo Versace.

"It is a transit hub and it still attracts a lot of tourists."

Mr Abedian said Dubai hotels were delivering higher occupancy levels than their Australian counterparts.

The Dubai market also was benefiting from its own government stimulus package which was focused on infrastructure projects.

Sunland this year wrote down more than $200 million in the value of its Dubai assets, with most of that related to an abandoned high-rise project, The Atrium.

Mr Abedian said the company was comfortable with progress on its current Dubai developments, although he conceded there were some problems with defaults on instalment payments at the D1 and Palazzo Versace.

"But that's being contained and managed accordingly."

Sunland is expecting to report an after-tax loss of $135 million this year as a result of its asset writedowns.

Also, the company yesterday announced it had dipped its toe into the buyback market, snaring 154,000 shares for about $77,000.

The lowly geared company earlier this year announced its intention to buy back up to 10 per cent of its capital.

Sunland's shares rose 2c to 52c yesterday.

http://www.goldcoast.com.au/article/2009/05/22/81021_gold-coast-business.html

Lastly, the market has fully factored in the writedowns of DUBAI project into the share price.