depends on what strategy..but for those who stuck for long, you are likely to stuck in even longer and unsure if you have a chance to recover.Right issue is OK, if is it not 8 for 5, but 2 for 5 or 3 for 5. The EPS diluted to none if you do not subscribe the RI. Furthermore, buying own mayland company and let teh major shareholders to earn when changing hand is even worse. But for those not in, you can wait the good time to buy
Eric Fong don't worry about the dividend,next year this super undervalue counter still afford to give you 5 % dividend,because by then the share price may be stand at RM0.20,the company propose the RI is to collect money from share holder to replace the cash on balance sheet which was eaten by termites.
I have L&G LA shares. Anyone can tell me when there is rights issue, will I be entitled to the rights? If i am not entitled, then after ex-rights of mother share, L&G LA will trade lower right? Please enlighten.Thanks
Unless one convert the L&G LA into shares before the rights issue, will NOT entitle to rights. If you further refer to the full details of the Multiple Proposals to Bursa on 15.11.16 under Clause 4.5, pursuant to the Trust Deed, the proposed rights issue will give rise to adjustment (lowering and hence cheaper to convert) to the conversion price of your ICULS as according to the Deed's formula. Whether the price will drop will depend on the then share price after the rights issue as relative to the new lower conversion price. Indirectly, it can be good thing to ICULS holder as he need not to take out more money outlay to pay for the rights issue and at the same time enjoying a lower/cheaper conversion price !!!
with the rights issue as it is, no chance for much price recovery unless the rights issue is to be amended, maybe sweetened by free warrant. Better still to completely cancel the rights issue !!!
All big cash (key factor why people like this counter) in company will be gone soon and with such a massive right issue, worst property market and no stable operation income, hence no dividend expected from it, there is nothing positive about this counter anymore. Only major owners benefitted from it. Better i cut loss now even at 50%, exit the counter. Perhaps buy it if it is 20 sen.
Looking at the cash in hand & dividend records, nampak pun sakit mata, if this is not bad management, I don't know how to describe this kind of management.
Very lousy management, got a lot of cash. Some more want money from share holder. I am suspect is it LG got so much cash? Maybe management speculate only or play number only.
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xcu843
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Posted by xcu843 > 2016-11-24 11:19 | Report Abuse
Actually compared with last quarter, profit almost same. This drop due to right issue. Not happy on this right issue.