ha ha ha. finally he buy..means time to sell?

best article to date on hengyuan. keep using this same mindset and strategy, u will be a multi millionaire soon. no need to think, just margin maximum, sell everything and just buy this RM2.00 eps stock duhh

KYY, Icon and OTB say buy then close eyes buy la..just go all in, sell your house and all your clothes just buy ok? 300% upside..dont believe? disagree? means you missed the boat lor..sour grapes lor..dont know how to analyse lor

paperplane2016 talk so much but only 4.66% return..what a joke

TabulaRasa, if you read the announcement carefully, the reason they sold the stake is to generate cash for the listing expenses in HK. Think of it this way, if the listing works out, GEM can sell its stake on HKSE and make some money. In other words, they stand to gain upside if they are able to help Penta list at a higher valuation in the deal.

In the meantime, Penta does not need to use its existing cash to fund the exercise. Instead, they can use the funds from the sale. In addition, they get to partner GEM who has the experience and connections to help them list in HK. If the deal does not work out, they can exercise their call option to buy back the stake at the same price. I think that is agreed in the deal, hence the existence of the call option.

It is a win-win situation.

5 things:

1) Estimated listing fee is RM15m, if that is 5% of listed amount (on the high side), the listing proceeds could be RM300m.

2) If raise RM300m via 30% sale of shares or issuance of new shares, company value could be RM1b.

3) If the valuation is not right, they can abort the deal, and shareholders have nothing to lose. Just a change in ownership structure of the operating companies. That is why they have a call option to repurchase shares from GEM in the case the listing exercise falls through.

4) Just think about it, if the valuation on HKSE is below the valuation on Bursa, there will be no point listing there.

5) If you are anticipating share split, bonus issue or dividends, just sell your shares now. The management is looking at long-term growth to become a big player. Not looking for short term gains in dividends or share price appreciation (followed by dumping).

Icon has lost his touch. Just a warning.

Really, Pavillion? Like how you said GHL will not benefit from Alipay?

Pavilion and moneySIFU, care to update us on your long post regarding how GHL will not benefit from Alipay?

Time will teach you that I am right