Every warrant has an exercise price which means how much it will cost to convert 1 warrant share into 1 mother share....If EAH wants to issue free warrants to its shareholders, these warrant must have an exercise price and the exercise price will be about 25% below the average of past 5 days closing market price of mother share before the shareholders meeting...
IPO price for EAH is 25 cents(I think... please correct if I am wrong on this IPO price)...EAH is a laggard stock...Price had bombed out after a few years....Chart now looks good..it is coming out of recent consolidation...It is on UPTREND..2014 will be better for EAH...my take is exercise price will be at least 25 cents and above...that means mother share will be above 30 cents by Q1 2014 before warrants are issued...
The exercise price of the Warrants B shall be determined and fixed by the Board at a later date after receipt of all relevant approvals but before the announcement of the Entitlement Date.
For illustrative purposes only, the Warrants B are assumed to be exercised at an indicative exercise price of RM0.2013 per Warrant B, which represents a premium of approximately 10.00% to the five (5)-day weighted average market price ("WAMP") of EAH Shares of up to and including 19 November 2013 of RM0.1830.
The final exercise price of the Warrants B shall be determined and fixed by the Board after taking into consideration the following:-
i. The historical price movement of EAH Shares; ii. The potential future earnings of EAH and its subsidiaries ("EAH Group" or "Group"); and iii. That the Warrants B will be issued at no cost to the Entitled Shareholders.
midtermtrader, aiya if he really dump RM100k, shares price up. I think others like u & others will dump more than RM100k in to confirm the bullish trend has been formed. Upward trend, ppl keep on buying. Downward trend, ppl keep on selling de.
all the best to u midterm messi n gud frenz here..tq for ur gud info n comments.. agreed wit u midterm messi n frenz who still believe in what u buy n know what u buy..so that easy for u to keep investing or to buy or to sell or just watching for fun..if contra must be fast action...all the best to all frenz old n young one ..u ur money ur risk
For reference, please verify yourself: EAH-wa traded at zero intrinsic value. Exercise price 0.40 + current price 0.14 = 0.54 or 157.14% premium. Time value @ 0.33 is difficult to overcome when wb issued. Suggest sell wa and switch to mother. Do not exercise.
today is t+3....profit taking ..0.17 -0.195...contra gain n loss ..n short term trader..just watch..for contra player must fast action.. ur own decision now..power play who believe should be no problem
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....
tsurukame
778 posts
Posted by tsurukame > 2013-11-26 21:09 | Report Abuse
Every warrant has an exercise price which means how much it will cost to convert 1 warrant share into 1 mother share....If EAH wants to issue free warrants to its shareholders, these warrant must have an exercise price and the exercise price will be about 25% below the average of past 5 days closing market price of mother share before the shareholders meeting...