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Authoritative Independent Monthly Share Selections Using Technical & Fundamental Analysis

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MP Evans - Expanding palm oil producer

December 2007

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

  • Epic Code:
  • MPE
  • Price:
  • 386p
Amidst the hysteria surrounding the surging price of crude oil,there is a new wave of excitement regarding the unlikely emergence ofpalm oil as the next hot commodity, with the price having quadrupledsince its low point six years ago. The demand for palm oil, which isbest known for its cooking qualities, is likely to remain stronglargely because the newly rich Chinese and Indian middle classes haveshifted their habits from boiling to frying food. Not surprisingly,investors have alighted on the three remaining quoted producers ofwhich MP Evans, whose strategy is to increase its planted area from18,000 hectares to 70,000 ha, has the most attractive growth profile.The company clearly doesn’t lack ambition and managing director PeterHadsle ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

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