Seriously, I do NOT LIKE to give this advice but am giving as a good comrade here, if you still hold the WA please get rid of them ASAP as it will definitely sink like an angle on ex-date 17/10 and stay there until the mother can rise significantly on very good news.
Buy the mother with the proceeds and exercise the rights, this is one redemption. Another is use the same to buy and exercise the rights to get new shares and WA. Else use the proceeds to buy the new WA at the lowest price possible.
Below is my calculation of the mother or ordinary share value on ex-date based on the Assumption closing price on 16/10 of 60cts and you have 10 lots.
Original Rts New WA New and old ordinary shares Cl-Pr Ex-Pr Ex-Pr Calculated Expected Price of ordinary shares 60 cts 17.5cts 14cts 23.89 10000 41000 10000 61000
If the new mother market share price is 24cts what do you think the old WA with a conversion price of close to 30cts worth? Even in the unlikely event where the company offers to bring down the conversion to 14cts the WA is only worth 10cts +/- market premium.
I hope you understand why now I do not like to give such an advice.
Derick The data I use is obtained from the contributions in this forum. Based on 123Leo on page 4 info. I gather that the conversion price of your current WA will be 32cts. So based on the above calculation the opening market price would be about 24cts for the mother share so the WA would be in negative. Sorry to say this. Take care.
hehee .. mother share .50 , wa .18 premium only 6 % , 8 more year to go ,, u say cheap or not ? should trade at minimum 10 % premium .. buy wa much much better than buy mother share . btw conversion price is 35 cents ...
Posted by Datokim > Oct 5, 2013 11:14 PM | Report Abuse X
@8833, The question of conversion is out, only a fool will fork out 35 sen to convert !!! The best is cut loss immediately !! Keep the money or buy the OR if trade @5 sen to 7 sen Then use OR to buy right @17.5 sen You will have a fighting chance to recover, but if keep existing warrant sure bankrupt, Because slowly will down to 10-12 sen level when !
you guys should listen to my advice earlier, now you are on the road to bankrupt !!!
Existing Warrants adjusted from RM0.35 per Existing Share to RM0.32 per Share and the number of the Existing Warrants adjusted to 1,108 Existing Warrants.
hehee ... betul betul cakap i betul betul tak tau pi atau tak pi , i cuma kakijudi , drop banyak , lagi ada news sikit , buy pi lah . rasa ada rebound dan ini counter punya rebound cukup kuat ..
I am holding 5k shares @0.275 per share, for me it is a huge amount to loss. Should i buy more 10k shares in order to reduce my loss? Anyone can give me some advice? would it rebound tomorrow?
New IPO: The onshore and offshore support services provider for the O&G industry, Steel Hawk Bhd aims to list on the Ace Market!
MQ Trader 3450 views | 3 d ago
0:17
New IPO: The largest mini-market player and a leading groceries retailer in Malaysia, 99 Speed Mart Retail Holdings Bhd aims to list on the Main Market!
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....
Tripaka
2,942 posts
Posted by Tripaka > 2013-10-08 16:16 | Report Abuse
Take over Sersol place.