Posted by dusti > 2015-02-12 01:37 | Report Abuse

When we think technical and expect a linear relationship between mother and warrant, we see premium, but to the ordinary share buyer who wants an affordable route to E&O, a premium will be created. The premium will increase gradually, just watch as the volume in the warrant trade increases. Cheers and good luck!

Posted by Saturn > 2015-02-12 01:43 | Report Abuse

I would like to agree however base on my last writing, I gave an example of rights issue in E&O and a reason n catalyst for it to have a gearing higher than the mother. In this case, I believe the warrant n mother must settle at a decisive point. This point will reflect the similar catalyst of the right issue. The right issue had a clause of auto conversion when the price Reaches a certain target. This is a method to increase market capital inline with their expansion.
Similarly for the warrant, it will serve no purpose at this point to trade at higher gearing. While the rights example has a specific target for conversion, the warrant doesn't. The warrant will be based on how appealing the price plus conversion (exercise price) against the mother. Eg warrant price + exercise price = 0.45+2.60 = 3.05 while the mother is 2.33 making no sense for any conversion. This is because, there is no need at this point however there will be a point when it is needed .

For now they will have the MTN coming up and when most resources are exhausted, the market cap can continue to increase to justify for the coming STP2 development. The bonus was one and MTn and subsequently will be the conversion. How do you make the market cap to b attractive? At some point when needed, The price of the mother must be high n gearing higher fast and if so, the premium will drop fast n excite the conversion. BUT if the mother is moving in tandem with the warrant at high premium, the move has not been made yet simply because the other avenues are not exhausted.

Hope it makes sense!

Posted by Saturn > 2015-02-12 01:56 | Report Abuse

Note the way MER derived at the TP is sum of part. The same method use in sum of part will be use for the phases of the project to derive the TP. Hence it is not difficult to calculate the value needed against the market cap against the funds raised.

Posted by mililia > 2015-02-12 07:45 | Report Abuse

Saturn is right to mention that the conversion of the warrant will provide a source of funding to the company. But your argument is based on the premium for the warrant should be narrowed to make it attractive to convert. You are coming from the angle everyone sold their free warrants and all warrants holders are new buyers (ie not those that get free warrant). Hence, the premium should be narrowed and eventually to no premium for them to convert.

But bear in mind, that is not the case. Many warrant holders are the original warrant holders in my opinion and as long as the mother share has potential to go above RM2.60, the warrants will continue to trade on premium and higher one esp. on its high gearing. So in the junction, warrants provides better upside until the warrant is In The Money.

Thereafter, the mother share or warrant price has to be "operated" in such a way it is attractive for people to convert and provide funding to the company. Warrants at this junction should worth around RM0.65 but it takes time for the market to find the equilibrium price for the warrants.

Posted by dusti > 2015-02-12 09:10 | Report Abuse

Sorry Saturn it doesn't to me. Can't imagine the everyday share investor think the complex way you do before buying. In most cases, good advice, rumours, greed, stubbornness rule. Please sit down with a nice cup of coffee and analyse your own motivation. Cheers and good luck!

Posted by sure > 2015-02-12 18:54 | Report Abuse

analysis is crucial, but syndicate to goreng is more realistic

Posted by Saturn > 2015-02-12 21:31 | Report Abuse

Since sharing the 3 options on mother and warrant, the warrant has drop fr 0.5x since 5th Feb. While the mother has attempted 3 times to 2.3x. The target is back to 2.59 plus minus. The subsequent after that will depend on the warrant for direction.the mother will move in as close to the warrant exercise first and followed by the warrant + exercise. Reason for this is to keep it as close and the longer it stay may indicate the coming of the projects. Note that mTn is 5 years making 3 years peak and conversion may help in between to increase the market cap to also reflect the size of E&o at certain point.

Posted by Saturn > 2015-02-12 21:40 | Report Abuse

For those who do not understand, this is not for you. There is a direction and timeline to meet for this actions and it need to be fast and precise with a little leeway thrown in with the mTN. There are a few key initiatives here.
1. A kickstart for UK foray and to build it independent
2. A kickstart for STP2 before the valuation of the first phase or parcel.

Posted by Saturn > 2015-02-12 21:45 | Report Abuse

I have said before and once the STP2 starts moving, there will be a PP partner that will be engaged to buffer the phase. This will allow to ease the gearing while other exercise are develop moving forward and this may include selling their reclaim land prior to development

Posted by PakChuiCheng > 2015-02-15 18:01 | Report Abuse

Bought in somemore last week...if pass 2.37 this week got chance to 2.58

Posted by PakChuiCheng > 2015-02-16 19:14 | Report Abuse

Wow many rumors everywhere today include PJdev and I just heard this one on E&O. Eco to buy E&O ....UK foray???

Posted by PakChuiCheng > 2015-02-17 16:44 | Report Abuse

Sold ...lost on brokerage fee

Posted by PakChuiCheng > 2015-02-17 17:25 | Report Abuse

Sorry to say it looks more like symetrical triangle forming. 50/50 chance so I decided to let go

Posted by Seilok > 2015-02-22 16:23 | Report Abuse

http://www.thestar.com.my/Business/Business-News/2015/02/21/EO-upbeat-on-new-UK-properties/?style=biz

Posted by Seilok > 2015-02-23 10:05 | Report Abuse

Happy Happy E&O

Posted by mililia > 2015-02-23 15:46 | Report Abuse

Those that believe in this company should just focus on the warrant. As long as the mother share price is above RM2.25, warrants will hold. Why? Because warrants are worth RM0.65, at this price. But again, one will ask how come the warrant didn't trade at RM0.65? I have no answer other than to say it takes time for the market to find equilibrium price for the warrants.

Read my previous post to find out why, it is worth RM0.65. To be frank, I am fearful too, so I keep nimble at current price.

Posted by Seilok > 2015-02-24 20:25 | Report Abuse

Happy Happy E&O

Posted by impartiality > 2015-03-03 15:47 | Report Abuse

Happy what? awful results indeed. PAT is only half of small to mid caps like Tambun. Fair value is RM 0.80 at most based on latest results using a forward p/E of 15

Posted by cipapo > 2015-03-03 19:00 | Report Abuse

http://www.theedgemarkets.com/my/article/epf-ceases-be-substantial-shareholder-eo

EPF ceases to be substantial shareholder in E&O
KUALA LUMPUR (March 2): The Employees Provident Fund (EPF) had ceased to be a substantial shareholder in Eastern & Oriental Bhd ( Financial Dashboard) as of Feb 26, according to a Bursa Malaysia filing today.

This followed the disposal of 675,000 shares, representing 0.06% interest in E&O (fundamental: 1.5; valuation: 0.6).

According to earlier filings on Bursa, EPF emerged as a substantial shareholder in the property developer on Jan 23 this year, with a 5.09% stake or 62.25 million shares.

The provident fund started disposing shares in E&O on Jan 29, selling 1 million shares or 0.08% stake.

In February, EPF continued to dispose E&O shares, amounting to 485,000 through two transactions.

Following the latest disposal, EPF should still have 61.11 million shares in E&O, which worked out to a 4.99% interest in the company.

E&O closed 11 sen or 4.82% lower today at RM2.17, giving it a market capitalisation of RM2.788 billion.

Posted by EnOsucks > 2015-03-04 11:56 | Report Abuse

Here comes the boo

Posted by EnOsucks > 2015-03-04 11:56 | Report Abuse

Boom

Posted by impartiality > 2015-03-04 12:06 | Report Abuse

Buy E&O HB the put warrant you will make a fortune. This company is being managed by fatty Tham who squanders shareholders money by indulging in London most of the time. Share price should plunge to below Rm1.50 when this artificially inflated KLCI bursts. One issue that shareholders must not overlook is that E&O does not have a positive working relationship with the penang state government who squeezes them left right and center all the time.

Posted by Impartialoopy > 2015-03-04 12:20 | Report Abuse

Kakaka the failure came back

Posted by Impartialoopy > 2015-03-04 12:21 | Report Abuse

Eh...u didn't explain about the 3Million shr sold to E&O Still got balls to come here and talk talk ka

Posted by Impartialoopy > 2015-03-04 12:21 | Report Abuse

Sold to sime.....where your proof?? Hahahahah

Posted by Impartialoopy > 2015-03-04 12:50 | Report Abuse

My brother Impartiallity use to hv integrity in his comments but today mention his name and everybody think TKk is home. No substance what happen to Ivory huh??

Posted by impartiality > 2015-03-04 15:17 | Report Abuse

You are the biggest failure in promoting and subsequently losing big money in Ivory. I was correct all the way about Ivory. I started questioning it when the share price was at 80 sen and now it is at an almost all time low of 40 sen. How much did you lose in Ivory?

Posted by Impartialoopy > 2015-03-04 15:47 | Report Abuse

Looks like loser like my brother Impartiality trying to redeem himself in E&O.

Posted by impartiality > 2015-03-04 16:34 | Report Abuse

You have lost in Ivory as the stock has tanked. Looks like you are going to suffer the same fate in this counter as well if u continue to buy

Posted by Impartialoopy > 2015-03-04 16:37 | Report Abuse

I m saving ppl from a fake name called Impartiallity.....show me where as you mention did Sime sell 3Mill shrs to Terry. Show otherwise you r lying just like the rest of your writing

Posted by impartiality > 2015-03-04 16:58 |

Post removed.Why?

Posted by Impartialoopy > 2015-03-04 17:00 | Report Abuse

Hey pls proof I m a moron that they sold 3Million shr and I will shut up. How abt that? If you can't then ur a cunt. Hahahaha

Posted by Impartialoopy > 2015-03-04 17:02 | Report Abuse

Don't you want to shut me up or maybe you don't hv the proof becoz there is no sale of 3Million shr. only sale is the almost 10% you fool

Posted by Impartialoopy > 2015-03-04 17:04 | Report Abuse

Impartiality, if you cannot even proof and shut a moron that you called, what are you....what is lower than a moron??

Posted by Impartialoopy > 2015-03-04 17:07 | Report Abuse

Kakakaka cunt find it ?

Posted by Impartialoopy > 2015-03-04 17:08 | Report Abuse

This guy impartiallity talks nonsense everywhere

Posted by Impartialoopy > 2015-03-04 17:15 | Report Abuse

He takes a bit of story here and there and just condemn without value. Now he cannot find the 3Millionnshr and he is stuck

Posted by Impartialoopy > 2015-03-04 17:16 | Report Abuse

No need face lar...nobody cares of your lousy opinion

Posted by impartiality > 2015-03-04 17:32 | Report Abuse

http://www.theedgeproperty.com/news-a-views

Posted by Impartialoopy > 2015-03-04 17:44 | Report Abuse

Hahaha where got 3Mil shr stated sold by Sime to Terry? You just cut paste like all the rubbish you say. There is no such information. He just slap himself by posting general property info. Wasting time


impartiality
435 posts
Posted by impartiality > Mar 4, 2015 05:32 PM | Report Abuse

http://www.theedgeproperty.com/news-a-views

Posted by Impartialoopy > 2015-03-04 17:46 | Report Abuse

Where ? Where ? Don't con ppl by simply putting a link lar

Posted by Impartialoopy > 2015-03-04 18:02 | Report Abuse

See I told you he was fake....put a link and hope ppl don't go through. There is nothing there as what he said of 3 Mil shrs sold by Sime to Terry

Posted by Impartialoopy > 2015-03-04 18:19 | Report Abuse

Who is the moron now? Hahahaha

Posted by impartiality > 2015-03-04 18:34 | Report Abuse

U r the moron couldn't u do even basic reading

Posted by Icon8888 > 2015-03-04 18:39 | Report Abuse

Eh, how come u in this thread ? Ivory closed shop already ?

Posted by impartiality > 2015-03-04 18:43 |

Post removed.Why?

Posted by impartialeprosy > 2015-03-04 18:43 | Report Abuse

HAHAHAHA.....he only know how to condemn ppls counter......moron show a link but it's a general link hahahahaha. Where to stupid fool where is my 3 Mil transferred . stupid fool

Posted by impartialeprosy > 2015-03-04 18:48 | Report Abuse

OOOi Sorhai....9.9% of 100Mil is 3Mill. You r a retard

Posted by impartialeprosy > 2015-03-04 18:51 | Report Abuse

this was the comment posted by Sorhai Impartiality. And he dare to post 9.9% of 100Mil and says its equal 3Mil shr. never seen a retard somlow

Impartiallity
Stock: [E&O]: EASTERN & ORIENTAL BHD
Jan 30, 2015 12:07 PM | Report Abuse

Sime sold the 3M back to TT because they have genuine concerns about his ability to manage the company due to huge amount of time he spends in London. His misadventure into London will prove more costly than ever. The europe economy has not bottomed out and the contagion from the Greek Exit will cause more chaos than ever. UK is a matured economy with minimal GDP growth anyway. GDP has not grown above 2 percent since the Lehmann collapse anyway

Posted by impartiality > 2015-03-04 18:53 |

Post removed.Why?