Easy money, sold warrant B and wait for Warrant C. Another possibility is due to current higher mother share and need more fund to subscribe right issue...or something is going on recently...
Sobri himself has provided his irrevocable undertaking to subscribe in full for his entitlement under this proposed rights issue with free Warrants C, said RHB Investment Bank in the announcement.
Guy think carefully the things he making now all for future growth believe or not this will double up price from now....patient and just drop the money in this company.............. If want quick money either u in and out or go other counter ^^
If you buy EAH, think of the profit you can make by subscribing for the rights issue and the free warrants you get. Also EAH has been making profits for many quarters. I have no vested interest in this counter. Just thought I'd share what I know. Someone called me a novice, so this is an opinion of a novice.
PROPOSED RENOUNCEABLE RIGHTS ISSUE 1 for 1, TOGETHER WITH FREE DETACHABLE WARRANTS ("WARRANT(S) C") ON THE BASIS OF ONE (1) FREE WARRANT C FOR EVERY TWO (2) RIGHTS SHARES SUBSCRIBED FOR, ON AN ENTITLEMENT DATE TO BE DETERMINED LATER.
What goes up must come down. But now it is still early for the stock price to collapse as China is expected to be bullish after sleeping for few years, EU's economy is picking up slowly and Dow Jones still very strong. I expect the market to be bullish for another several months before it will collapse.
About 4 years ago,at a property promotion function I was approached by some chinese officials who asked me whether there was going to have a property bubble.I told them there was real demand in some cities and the properties price was moving too fast so I suggested measures must be taken before it was too late.So certain measures were already taken by slowing down buiding approvals and some areas were even frozen for a few years also less % was given for loan,also restriction was imposed on buying more properties for individuals. Usually the growth for china is about 9 to 10% for a few years but since last year the growth has reduced to 7.5% to cool down its economy.This a very healthy move bcos even at the this rate the wealth created is still very huge as China is a large economy.Take an example a rich man has rm1bln if his riches grow by 6%,he will have RM1.06bln i.e RM60mln more this year.AT the same time a man having 1 RM1mln,even his wealth is increased by 12%,his wealth increased is only RM120k. So the wealth increase is huge even it has a lesser growth rate if the nation has large GDP.Hence it is not surprising for China's eonomy to continue to grow healthily if it knows how to contain its exposure to high risk.I In my opinion World economy is not towards a downturn yet bcos the European markets have just recovered from it crises and now only turn towards uptrend.
m00077 , US market will not collapse, it will retrace within the 15% range (or you call it mild correction). Many companies in S&P 500 are showing profits within the expected range, so the Market will be stabilizing near term . China is cooling down but no hard landing, Europe (EU) is recovering from their previous worst, .....
I am still bullish near / middle term in the World market, including KLSE.
current market price around 0.2 sen per unit, cost of subscription 0.2 = total input of 0.3
after exdate and calc using 1 unit as example: will have 2 units share + 0.5 unit WC 2x0.15 + 0.075= 0.375
0.075/0.3= 25%
can i say full subscription of this rights issue will have a 25% margin after that? the price might have drop more later? let say if taking it drop after the issued for 10%.
we could have at least 15% margin on hand? hehe, am i correct? please correct if wrong. thanks
Spear,two shares=30c-8c=22c therefore one share=22/2=11c or 2shares=20+10c=30c 1share=30/2=15c,one share gives 1/2 warrant=4c therefore the cost of one share=15c-4c=11c
Whatever price it is , just hold and subscribe the right, then hold to see how the business earning growth can push the share price. I believe what fortunebull foresee was not the right issue but the earning potential of the company, as it is strongly linked to malaysia government and thier database. Warren Buffett has always believed that the time to buy stocks is when nobody else wants them, that's why he is one of the riches.
For EAH, it's just a matter of time. However, it requires some respectable amount of patience for the rights issue to be used for acquisitions.
This situation is similar to GHLSYS, where the management used the rights issues proceeds to acquire a company, and since then the stock price increased many folds.
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....
vinvin
4,478 posts
Posted by vinvin > 2014-04-17 20:38 | Report Abuse
Hi AyamTua, what do u think about this............chairman selling warrants??? Tq.