Tigerbeer, thanks. I do believe if they can secure the Lembah Beringgin with GDV in the plan of 100Billion, they may be a bid for take over. This is especially when a lot of premium players hold premium landbank, won't be able to develop in this climate whilst L&G holding land outside the premium area however have potential as it is near the. Perak Iskandar. However if economic climate improve, those with premium Landbank will prevail but if not, they will have to sell their premium land or buy companies with these multi year revenue generator. Just my opinion.
A lot of good contribution since I last locked on. Have been extremely busy milking some financial cow over the last two weeks making an edge for my company. Yeah I know what you are thinking, after milking cow for two weeks I should have a lot of milk ya? Not really. Over here it is an adversarial approach where more time is spent challenging point for point of each initiative much like playing mental basketball . In mental basketball, you only need to focus and imagine the ball entering the hoop without leaving your chair and without losing focus in a heated debate. However when you do step out into the physical game you are expected to get it right each and every time you attempt the hoop because you are suppose to have thought of it all. In short, you don't get a second chance from failure as many want the same opportunity.
I like it very much where some of you here are putting on a good point in supporting your counter. Remember I asked the MD to do more announcement and marketing on his company? Well that was to lead his followers in the right direction. In today's market, it is all abt real hard facts that help you derive a decision. Some use TA some FA some politic, some insider information while some use their experience and others are just followers. Which ever method you use, there is a certain merits if your fact are presented right.
Whichever method you use, just base it on one thing, a good factual storyline until thus far to measure the consistency of a company. Example of this in L&G would be a company reborn after 2008 in the hands of a good manager. The good manager lead the company and meticulously strategize and deliver steady financial growth. Once that happened, the manager ensured that he optimised his employee in delivering the stringent KPI in meeting project delivery. In doing that, the manager soon got more output from the input. Input can normally be anything from raw material to ideas and strategies while output is the execution, the enforcement and the efficiency in carrying out the task in hand. Once the manager was comfortable meeting that output, the financial growth started to double and then triple with reduced cost. This reached a saturation point where maximum growth met the optimal output whereby anything more would mean increased input. One way of doing this was to increase funds for raw material. Raw material here can mean anything from bricks to cement to Landbank etc. which can be converted to output sales. In other word expansion is in the order and more funds is needed.
For those in business or are business owners in a corporate, can akin "market capital " to "paid up capital" in the way that shows the size of your company. In "paid up capital" the company reflects it's commitment in the market place and in doing business. A low paid up capital also does not get the same commitment from upstream suppliers in terms of credit and supply as you are susceptible to the amt you commit. Similarly bank loans are also limited if you want to expand with low paid up as that reflect unequal growth against your commitment. Hence in a similar way market cap also shows the same commitment. With bigger market cap, means you are ready to commit to bigger undertakings which means expansion. The difference in expansion should come after growth has saturated.
So if we are clear of the above, we are clear that L&G is on an expansion trail. This goes along in tandem with their intent to get 500 Million market cap , bonus issue , or other rewards as with any growth, the stakeholders buy in is important. The stakeholders buy in will determined monies invested stay invested while price appreciate. You cannot have it any other way which may see dilution without the share price picking up. In this situation, the value of the counter has been stunted due to poor delivery of financial and market perception. For those otherwise, a bonus or any other rewards are really a springboard for more upside especially when commitment from market cap and the delivery and growth is proven.
Before I go into this, I would like you to ask yourself this if you buy a house, would you like the house price to be low when you buy and the escalate after you have transacted or the other way? Of course it will be the former, right? And you would hope the price you bought would escalate FAST yeah.... Yes I thought so you would say that. Now think of bonus issue as the same thing. Bonus Dilution and the price goes down but you hope the price will bounced back to the earlier price or higher quickly because then you would have the same price or higher but with more shares and that means more money .....
The next part of the story is about timing. If your choice was to buy first and then hope the price escalate quickly, then you are like most ppl who want quick profit over the least investment time. Nothing wrong with that except timing. How do you time something like that? Easy, L&G announce Bonus first or Lembeh Beringgin 100b GDV? If you got that answer, my story has just ended......
Dear All, once again I would like to remind you NOT to buy L&G because of what I wrote. All I want you to do is read and feel for it. If you feel good and if you feel positive that's all I want you to do. What I have written is not new except putting in different perspective. Feel for what it is.
Also note, the share price challenge the 60cents last week and landing at 59.5cents highest. Think of it this way,when we were young we always try to jump and touch a ceiling. When we do touch the ceiling, we want to try and knock off the air well board. When we manage to knock it of, we will try to climb to the air well to see what is up ther....ever done that?.....it's curiosity for this week and next before we take a short breather and start attacking before the results in August end......watch this space....good luck....pls feel......tq
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barbarian
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Posted by barbarian > 2014-07-29 14:32 | Report Abuse
Tigerbeer, thanks. I do believe if they can secure the Lembah Beringgin with GDV in the plan of 100Billion, they may be a bid for take over. This is especially when a lot of premium players hold premium landbank, won't be able to develop in this climate whilst L&G holding land outside the premium area however have potential as it is near the. Perak Iskandar. However if economic climate improve, those with premium Landbank will prevail but if not, they will have to sell their premium land or buy companies with these multi year revenue generator. Just my opinion.