Gn021, you are right, delisting on 4 May is is dependent on the result of the appeal. Expected to be deferred as the appeal managed to be made at the last minute. So in the mean time expect the goreng of Perwaja stocks tomorrow and the days of the week. Surely, major shareholders and cronies hold the bulk of the shares, as retail and minority shareholders are by definition in the minority. So, it's in the best interest of the owners to revive Perwaja. As I've said before Perwaja is too precious to fail. Yes, it has been failing for so many years. And no doubt it's a pet project of the previous administration. Najib Razak could let it continue to fail but remember that he practises the politics of engagement and thus at times very accommodating in order to be better than the enemy and win the heart and soul of the rakyat. Perwaja steel is one of the few heavy industries in the east coast, especially Terengganu. It has the chance to contribute to the development of the East Coast - with ECER and ECRL multibillion ringgit projects. The pie for the steel industry in Malaysia is big enough for a few steel players to coexist, including Perwaja. Especially now with the tight regulations by the Chinese government to control the steel industry and the steps taken by the Malaysian government to limit cheap Chinese steel imports. Reviving Perwaja is a good election play for Najib and BN. So this is the golden chance for cronies and white knights to come to the rescue and perform a turnaround. Hence, Perwaja shares will change from useless toilet paper to useful tissue paper, or even precious gold sheets. Stampede for Perwaja shares tomorrow?
So now the rumour that a last minute announcement by the management of Perwaja to avoid delisting has turned out to be true. Submission of appeal by today 28 April ensures that the shares of Perwaja - mother, LA and WA - will continue beyond 5 May 2017. Surely insiders have known of this and formed buying queues this whole week. Such extensions have happened before (e.g. last March) and even without operation and major business for 4 years Perwaja has remain listed. Perwaja has a highly valuable asset in the strategic industry of steel so its rather large electricity and LNG debts with TNB and Petronas, could be easily absorbed by a willing buyer or creditor. That could happen if all negotiating parties agree to the terms and conditions. So maybe a white knight is ready to rescue Perwaja. Maybe a Tony Fernandes of Perwaja is already on the cards - willing to buy it for cheap and absorb the debts. Perwaja is too precious to fail. Even the sale price of its Kemaman plant as besi buruk to a besi buruk trader will raise up more capital than its present market capitalisation. So, expect a u-turn in prices next week. Is it a coincidence that one of i3's respected and infuential heavyweight just appeared at the last minute with u-turn comments of Perwaja shares being useless toilet paper to useful toilet paper?
PERWAJA will certainly rebound this week, staring from today. Now there is good queue for mother at 2 sen and for LA and WA at 0.5 sen. This shows that as reported insiders are planning a comeback during this one week period and the prices will follow the previous trajectoris of KFM, MQTECH, LIONX and WINTONI. Last minute announcement will be made.
There is talk that Perwaja will make a last minute appeal and the delisting will be averted. For now there will just let the price tumble for some to collect low and later reap windfall. Now there is queue buy with high volumes at very low price for PERWAJA, PERWAJA-LA and PERWAJA-WA. Can someone identify these queue buyers. Because they are going to do the Wintoni and KFM acts - shooting up the price when we least expected. A steel company will not fail in this bullish time of high demand. Lets see after 4 pm if this panic selling is gonna stop and the market trend reverses.