Question 2 : What is the expected return on IPO, in general and Question 2 : What is the expected return on IPO, in general and of recent times? Expected return Re = Rf + (Rm- Rf) β = Rf + (RPm) β Re = return of equity Rf = risk free return Rm = expected future return of market β = Beta RPm= market risk premium 1 year Re = 0.0298 + ( 0.0325-0.0298) = 0.0298 + (0.0027) 0.9 = 0.03223 @ 3.223% 3 years average Re = 0.02634 + ( 0.1082 – 0.02634 ) = 0.02634 + ( 0.08186) 0.9 = 0.10 @ 10% 5 years average Re = 0.02818 + ( 0.03086 – 0.02818 ) = 0.02634 + ( 0.00268) 0.9 = 0.02875 @ 2.875%

Question 2 : What is the expected return on IPO, in general and Question 2 : What is the expected return on IPO, in general and of recent times? * Beta used is the Beta of competitor in market – Sime Darby 0.9

Question 2 : What is the expected return on IPO, in general and Question 2 : What is the expected return on IPO, in general and of recent times?

Question 2 : What is the expected return on IPO, in general and Question 2 : What is the expected return on IPO, in general and of recent times? 1 year From 1 July 2011- 1 Jun 2012 Risk free rate using 1 year treasury bill average = 2.98% Rm = CAGR = (P1/P0)^(1/y) -1 Where, P1= current price - 2012 P0= base price - 2011 Y = number of years - 1 CAGR= (1599.15/1548.81) - 1 = 3.25 %

Question 2 : What is the expected return on IPO, in general and Question 2 : What is the expected return on IPO, in general and of recent times? 3 years period From 2 July 2009 – 1 JUN 2012 Risk free rate using 3 years treasury bill average = 2.634 % Market premium Rm = CAGR = (P1/P0)^(1/y) -1 Where P1= current price - 2012 P0= base price - 2009 Y = number of years - 3 CAGR= (1599.15/1174.9)^(1/3) - 1 = 10.82 %

Question 2 : What is the expected return on IPO, in general and Question 2 : What is the expected return on IPO, in general and of recent times? 5 years period From 2 July 2007 – 1 JUN 2012 Risk free rate using 5 years treasury bill average = 2.818 % Market premium Rm = CAGR = (P1/P0)^(1/y) -1 Where P1= current price - 2012 P0= base price - 2007 Y = number of years - 5 CAGR= (1599.15/1373.71)^(1/5) - 1 = 3.085 %

Question 3 : What is the intrinsic value of the company?

Question 3 : What is the intrinsic value of the company? Intrinsic Value Current year = 2012 Next year = 2013 According to ECM Libra research date 4 June 2012 , Net DPS for Felda Global Venture will be 17.6 cent (2012) & 13.8 cent (2013) Dividend growth rate = (13.8 – 17.6)/17.6 = - 21.59%

Question 3 : What is the intrinsic value of the company? Intrinsic Value Stock value = D / k-g Dividend expected 2013 . Required rate of return - Dividend growth rate 1 year average 13.8 cent [0.03223 – (0.2159)] = 55.616 cent 3 year average 13.8 sen [0.1- (0.2159)] = 43.685 cent 5 year average [ 0.02875 – (0.2159)] =56.407 cent

Question 3 : What is the intrinsic value of the company?