Just read the Condensed Consolidated Statement Of Comprehensive Income For The First Quarter Ended 31st March 2017, the company needs to pay debt within 12 mths RM1,505,004,000, where they only have RM331,950,000 (NCA) + RM454,082,000 (CA) in Deposits, Cash & Bank, very stressful for paying debt within 12 mths (2017). That's why, the company issues "right issue" to generate "cash". BTW, the finance cost is high too (RM38,742,000) , the revenue only RM74,278,000. Can see that the company is having Tight finance position. Since I invested at price RM4.20 ++, I will take up the "right issue" and invest more, to "dollar cost averaging".
Stock: [VELESTO]: VELESTO ENERGY BERHAD
2017-05-24 15:41 | Report Abuse
Just read the Condensed Consolidated Statement Of Comprehensive Income For The First Quarter Ended 31st March 2017, the company needs to pay debt within 12 mths RM1,505,004,000, where they only have RM331,950,000 (NCA) + RM454,082,000 (CA) in Deposits, Cash & Bank, very stressful for paying debt within 12 mths (2017). That's why, the company issues "right issue" to generate "cash".
BTW, the finance cost is high too (RM38,742,000) , the revenue only RM74,278,000.
Can see that the company is having Tight finance position.
Since I invested at price RM4.20 ++, I will take up the "right issue" and invest more, to "dollar cost averaging".