simple,china man make shell lost over RM 1 bil, see the retails wanna sell or not. push it down till RM 1.80 and sure the retails need to accept the deal at RM 1.92
DCF is always very subjective. Plus it's a mandatory takeover, offerors in MTO doesn't want your shares so they ask independent adviser to advise reject
just see the ASS-set...ASSign a reasonable cash it can generate assuming the Crude price stabilizes....ASSume a realistic margin on top of their production cost la....if you want u can even ASSume 2% margin... also take into consideration the Interest over ASSset currently..
then you CFA can figure out ma...what should be the Market Cap over Invested Capital...
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
JN88
11,670 posts
Posted by JN88 > 2017-01-19 14:14 | Report Abuse
China man WOR.... You want fight v them?