There was this chap (yipgu something .... can't remember fully) who said that whenever this stock is going down, those who want it down will make a lot of noise but keep quiet when it's going up. But likewise, I want to say that those who are bull in this stock will just keep quiet & don't dare to make a noise when its price is going down; just pot calling the kettle black. Keep an open mind whether price is up or down. Price down is not really a bad thing; you can think as potential to buy it cheaper like some smart investors here who is cheering away. All the best!

Having an opinion is better than no opinion from people who are empty and no substance. Just blah blah blah away.

On 4 Mar I commented at that time the price was price for perfection. I also mentioned that at Rm2.8, the PE is still high and that was before the recent news about the slowdown. With the recent updates, the current price is also considered high at above 18 times PE for FY2016. My current revised price is now Rm2.32 and that is provided the business doesn't slow down too much for the Apr-Jun quarter!

I think the slowdown will continue in the Apr-Jun quarter, unfortunately.

Another "misleading news"? from Nikkei Asian Review April 16, 2016
TOKYO -- Apple will continue its reduced production of iPhones in the April-June period in light of sluggish sales, according to parts suppliers notified of the plan.
Slow sales of the flagship iPhone 6s and iPhone 6s Plus, which debuted last autumn, have forced Apple to adjust inventories. It lowered production for the January-March quarter by about 30% from the year-earlier period. With sales still sluggish, the U.S. company has told parts suppliers in Japan and elsewhere that it will maintain the reduced output level in the current quarter.
Apple apparently does not plan to produce a large enough volume of the small iPhone SE released last month to offset the slump of its flagship series. However, should Apple decide to release its next flagship model earlier than the usual September launch, parts production for that smartphone could take off around late May.
A prolonged production cut would hurt Japanese parts suppliers such as liquid crystal display panel manufacturers Japan Display and Sharp, memory chip supplier Toshiba and Sony, which provides image sensors for cameras. With their plants already operating at reduced rates, they may be forced to downgrade their earnings forecasts for the April-June quarter.
The current production cut could last longer than the one Apple implemented in 2013. Some 1.5 billion smartphones are shipped globally in a year, but the market's growth is slowing.

Impact on 2016 April-June Quarter?

Actually at 2.8 Inari's PE is still high at over 14 times (diluted). This is provided that the next quarter's earnings don't drop too much. Otherwise the price will go lower.

So my guess on how this transaction came about .... note it's only a guess and yes I can be wrong but no harm having a bit of imagination right? Inari approached PCL on ATK (to help work on it?). PCL okayed but to show sincerity, Inari need to invest in PCL first and also conditional upon the latter is happy with ATK. If not, PCL can still walk away ..... Take this with a pinch of salt :)

It's not a definite deal, only MOU but Inari already purchased 9.7% stake at a not so high premium. If PCL is good growth, major shareholder will ask for a high premium right? With this stake, PCL cannot be considered as an associate nor consolidated; just an investment. And on the MOU, please read, PCL can still walk away and leave Inari with just the 9.7% holding. So question, who has the upperhand in this transaction, Inari or PCL?

Quite a strange arrangement. Inari buying from a "certain" PCL major shareholder. Maybe can find out from Taiwan SE who this is. Then form a JV whereby ATK, Inari's subsidiary, if after satisfactory due diligence conducted by PCL, will be injected into the JV. Huh? You pay for a stake in another company but due dilligence is on your subsidiary. If PCL is happy, then proceed, if not, do adjustment on the ATK stakes in the JV. Huh? Reads more like Inari getting PCL to help fix ATK. Am I reading correctly?

i almost drop off from my chair laughing .......

Nope, I sold all my warrants B at RM2.18; ex-bonus ;)

High price could see Dato Thong selling again.

Yup. Will go in when it hits RM2.8. Otherwise good luck to all.

Just to reiterate, the grant is not free money. Need to pay dividend to CPS, RM2mil for first 3 years follow by RM1.6mil for remaining 7 years. Some more can be converted to ordinary shares at a don't know what price; which means further dilution. Sounds like a grant but a low interest debt. Why not issue the CPS to shareholders?

(i) RM20 million matching grant shall be in exchange of CPS to be issued by Inari to MIDA or its nominee and the CPS is convertible into ordinary shares of Inari at any time within a period of 3 years at a conversion price to be determined. The CPS shall bear dividend at 2.0% per annum from the date of issuance until the date of conversion of the CPS; and

(ii) RM80 million matching grant shall be disbursed by MIDA to IISB within a period of 3 years and IISB shall pay dividend/interest at the rate of 2% per annum for a period of 10 years.

Net effect spread over 10 years; some more need to pay 2% dividend. I'm amaze at how people interpret things at their own advantage.

The current price is price for perfection. If you were to take the fully diluted share count, including warrant A + warrant B + employee share option + CPS, total share count is closer to 1.1 billion. Many analysts either lazy or trying to hide this fact so as to paint a better EPS. The forward PE is still too high for action. Major shareholder sold early this year, institutions taking a wait and see attitude. Retail investor should act with caution.

Results should improve this quarter. It has been selling its holding in Inari and should realise the paper gain into actual profit.

According to HL bank report - RF’s revenue contribution fell below 50% in 2QFY16 due to stock adjustment coupled with the expectation of slower growth in smartphone market, especially in China. While it remained high in Jan, Feb and Mar RF wafer loadings are expected to decline 20% mom. As such, P13B extension has been halted temporarily.

You put in a lot of hard work and your articles are worthy of the "million" views :)

If you were to buy Insas now, after deducting Inari's valuation, the rest of the other businesses you get for FREE.

All Inari's investors should take a look at this presentation http://files.shareholder.com/downloads/BRCM/238823750x0x832258/71D7FACB-FD16-40E4-8614-86834F71B92F/AVAGO_BROADCOM_INVESTOR_PRESO_FINAL.pdf released yesterday. On slide 5, Inari relationship with Avago fits into the "Wired" and "Wireless Comm" bar and the potential is really HUGE. Broadcom's motto is also apt; "Your Imagination, Our Innovation".

Interestingly Avago's CEO comment was consistent with Maybank's recent report that wafer plant constraint will be lifted in 2H16; which seems to be already happening and earlier than expected. Likely rushing for the new launches.

Read the Avago's result transcript just released (Broadcom's people was also there). Avago mentioned that they have ramped up their FBAR production "significantly" for their fiscal 3rd quarter (which is actually starting now), for two OEM smartphone makers. The obvious guess is Apple and Samsung. This should possibly for new models expected to launch in Sep - Oct. Expect Inari to go into overdrive for this quarter; maybe already started.

If you were to take a look at the whole JQ project (go to the site), most people would agree that the whole concept is quite good & well planned. If fact, I think the whole GDV could potentially be more than RM1.8bil.

Give SBC Corp's small marketcap/small size and the potential of JQ, no matter how you slice it, the project is going to contribute a lot to this company.At the current price it is still VERY undervalued.

If Insas were to distribute its associates' shares to shareholders, the price would jump by >50%

The last time when Inari was at RM3, Insas was trading at about RM1.2+ and holding fewer shares and warrants in the former. Since having the rights issue, price is >30% down despite better value now. Insas warrants hardly dilutive yet but will soon be when the mother share hits RM1 again.

Please include me. Thanks!

Berjaya corp 40k
Inari 10k
Insas 30k
SBC Corp 20k
Tecnic 3k

KC, I always enjoy your write ups as they are supported by facts & not sentiments.

Underappreciated stock with good protected moat and undervalued assets.

Excellent!

Unlike many companies whereby we can't really try the products before buying the shares, this one you CAN. I did try the rolls before but .....

wow so much emotion already and finger pointing ... yes call me dumb for all i care ..... i'm thankful to those who sold the shares so cheap to me last year ..... hahaha

Frankly this upcoming RPS rights and free warrants don't make sense to me. Firstly, Insas 31 Mar qtr balance sheet listed RM271.8 mil Deposits with licensed banks and financial institutions, and Cash and bank balances of RM50.28mil; so total up RM322mil. Already the share price is very undervalued; why is the warrants exercise price so low at RM1. I calculated the NTA should be easily more than RM2 per share. Put it this way, if you own something at RM2/share, would you give people the option to buy at RM1/share? Next, most of the proceeds (RM60mil) will be capital injection into M&A Securities; 20 Mil to repaying bank borrowings, 30 mil to subscribe to associate rights (presumably Inari), RM22.267mil as working capital and RM5mil for car rental business. Question: compelling business reasons? You decide.

too fast and furious

1.47-1.48 for a RM1billion mkt cap

Why don't Insas do a shares buyback; instead of spending RM28,875,000 on 10% of SYF Resources Bhd, since its own shares are so undervalued.

Have not commented for quite some time already but still a strong supporter :) Anyway, Insas should/would continue to hold Inari; why? Bcos among its various "diversified" revenue (property, retail, eateries, car rental, stockbroking & ......!!!), Inari's earnings are still more sustainable and growing. Just ask yourself where was Insas share price before Inari; got it? The show is not over yet. If I want to exit, I wait till either Inari has a crazy valuation (20+ times PE) or earnings plateau. Are we there yet?

One should anchor the price to the value of the business rather than another price level; what's the point of thinking about 90sen, RM1 or RM1.5 when you don't even have a faint idea about the value of the biz .......

the calculation of 54.38% holding in the company is wrong

just curious ... wondering has anyone received the name of the company yet?

Check the facts first .... Insas has been offloading Inari warrants ...... why don't then just convert?

well done to ALL Insas shareholders!

I would avoid this counter for now until the placement is over ... the recent circular stated that placement will be at a 10% discount to VWAP price and e.g. at RM1.73, placement place will be at RM1.56.

what i would like to see first is for Insas to reach RM1 Billion market cap or the price equivalent of RM1.47. Btw, its very undervalued/understated balance sheet is already RM1.48 Bil as of 31 Dec 13

suggest that you post the company name & use the crowd wisdom to look at the strengths & weaknesses of your choice

given today's price actions and volume accumulation, something is brewing; retail won't have so much firing power; should be institutions & likely positive ......

Even at this current price, it is still trading at a huge discount to its intrinsic value; still more than 50%!

i remember not long ago when Insas first hit 98sen, Inari was only at RM1.5 level but now the latter is already RM2.64 but Insas still stuck; very sad case!

one would have thought that the company has enough funds; why the private placement and also at a discount; dilutes EPS and NAV ....