Strategic Options From a Leadership Change

Paramount Corp has built the KDU brand into a household name but investors haven't shared the same sentiments as their educational customers. Paramount's share price has underperformed the property sector as well as the market in general, overshadowed by dismal ROEs. The CEO change and aggressive landbanking with a planned GDV of RM9-10b may augur for better times. Of pertinence is how to tell investors that the land the colleges and schools sit on is better used than the alternative in property development. This opens up potential for a major restructuring for Paramount.