Malaysia Steel Works (KL) Bhd (Masteel) is a Malaysia-based manufacturing company. The Company is engaged in manufacturing of steel bars, mild steel bars and prime steel billets. Its subsidiaries are Steel Dynamics (M) Sdn. Bhd. and Bio Molecular Industries, which is engaged in manufacturing, research and development of radioisotopes and radiopharmaceuticals products. As of December 31, 2011, the Company held 45.34% interest in Bio Molecular Industries Sdn. Bhd. On August 6, 2010, the Company completed the disposal of its Molecular Industries Sdn. Bhd. (BMI). On January 6, 2011, the Company acquired Metropolitan Commuter Network Sdn. Bhd. In July 2011, the Company sold its subsidiary Steel Dynamics (M) Sdn Bhd.
So if convert means 39.5 cents plus 67 cents = Rm1.065
Compare to Mother now selling at RM1.01 there is an extra cost
1.065 - 1.01 = 5.5 cents.
Yes! No Investor will convert at this moment. Director is doing All Share Holders A Favour.
To Do So Means Director Is Actually Buying Masteel at RM1.065 instead of RM1.01..
At RM1.065 Director Sees MASTEEL Has A Good Future Potential To Rise Even Higher!
There Is A Difference Between Mother & Wt
Only Mother is entitled to dividend.
Reason to buy warrant is an opportunity for arbitrage. If Mother & Wt both go up One Cent.
Wt will gain much more by percentage.
Example RM1.01 (Mother) One Cent increase equals 0.9%
39.5 cents (Warrant) One Cent increase equals 2.5% gain.
So buying Warrant will amplify gain if you think the price is bullish. However in bear market warrant can also exacerbate losses.
So we must be very sure before buying warrant to check on its immediate current and future prospects. And the main reason to be bullish is due to Billions of rm in MRT Construction which will increase demand for long steel.
And MASTEEL Is The Master for Long Steel products for MRT Pillars.
Steven Yongno, not because he is doing you all favor. It's because he knew something is brewing, special div maybe.
IconDirector Conversion Wt to Mother and sold in the open market and the company resale Treasury shares in the market too.....i guess new shareholder will appear...
In Bursa Filing for 22nd July Transaction It Shows Director Disposed 2 million shares in the market. But a closer check of total volume traded on 22th July, 2014 (same day when Director sold 2 million shares) total volume traded for the day was only 481,100 shares only.
That Means That There Is A Third Party Buying into the 2 million shares.
Something is happening here which is yet to be seen.