CK>> Well done! Shareholders of both Kencana and Sapuracrest had given a "GO!" signal for the proposed merger exercise.






CK>> Based on today closing prices, those who still holding SapuraCrest should dispose their shares in hand and change to Kencana due to higher profit margin if based on merger offered prices as listed on the screenshot diagram above.

As for myself, I'm currently 100% fully invested in Kencana shares, no SapuraCrest share in hand.

Few questions are coming across my minds:
1) Will Kencana and SapuraCrest trade above their merger prices (just like Sunway and SunCity last time)? From the buy and sell queues these few days, I guess SapuraCrest will trade above RM4.60 soon and then gradually drop back to RM4.60 when the de-listing date getting nearer (just exactly like what SunCity did).

2) Should I sell it all and look for the next opportunities? Erm.... Still have 6% profit to earn now.

3) Should I sell it partially, like keep 50% in hand and wait for NewCo shares (Sapura Kencana Petroleum Bhd.) to be listing? If I do so, perhaps I have a great chance to strike for the 2nd leg profit gain upon first day listing of NewCo shares, just like normal IPO (Hopefully the history of Sunway Berhad would never repeat over here. FYI, Sunway's NewCo share price was offered at RM2.80, but its first day listed at price below RM2.50 @_@''').

Erm.... I could potentially take the following few actions:

1) Wait for Kencana's share price to trade above RM2.95 (perhaps end of Dec 2011 or early of Jan 2012).

2) Sell 50% of share at above RM2.95. Keep another 50% for auto convert to Newco share at RM2.00 per share, with some cash back money. Wait for de-list and re-list.

3) Re-invest the 50% proceeds (after sell Kencana) into LEADER and OSK.

OK, for those who still don't know about this deal, the NewCo share price was fixed at RM 2.00. Imagine the first day (around end of Feb 2012), it flies all the way to RM 2.50-RM3.00 upon IPO listing. Fooyoh~~~~ Just a day dream. Good nite!