stop thinking. especially with go-nowhere stocks like this. listen to, or watch what the market is saying -> look at the stock price. you don't have to be a genius or phd holder to read a price chart.
My view on Mas, still avoid. The uncertainty still there, those subscribed the right issue will be looking forward to dump it during its listing date, imagine their cost price from 26 sen to 33 sen only. Do ur calculation ....
again. its all a matter of perspective. bullish on you 60min osk188 charting package, but not so bullish on a 10 year monthly chart.
Rights issue??? Hmmm...that reminds me of 2009. When the stock was trading @ RM3.03
Last updated: December 23, 2009 5:49 pm Malaysian Airline unveils rights issue By Kevin Brown in Singapore
Malaysian Airline System has unveiled plans to raise M$2.67bn (US$777m) through a rights issue and to buy up to 25 new wide-bodied Airbus aircraft, a move that sent its shares dipping almost 2 per cent.
MAS is the third south-east Asian airline to announce capital-raising plans in the past few weeks, following similar moves by Malaysia’s Air Asia and Singapore’s Tiger Airways.
“This is the best time to order aircraft,” Azmil Zahruddin, MAS chief executive, said. “When you order in a downturn, you get better deals and the aircraft is received when the economic cycle picks up.”
On Tuesday MAS shares closed 1.93 per cent lower at M$3.05 in Kuala Lumpur compared with a rise of 0.05 per cent in the KLSE Composite index, which had fallen on the previous four trading days. The shares closed on Wednesday at M$3.03.
Analysts said MAS had chosen a good time to raise capital for the aircraft, which it needs to compete on routes where it is flying older planes than other carriers.
But the investment banking arm of Maybank, the Malaysian bank, downgraded MAS to “hold” from “buy”, arguing in a note to clients that the rights offer would dilute future earnings. Abdul Jalil Rasheed, fund manager at Aberdeen Investments in Kuala Lumpur, which does not have shares in the airline, said the company would need to ensure it operated the new aircraft effectively.
MAS said it would issue 1,671m new shares on a one-for-one basis priced at M$1.60 each. The rights issue is backed by Khazanah, the Malaysian state investment agency, which owns 17.33 per cent of MAS’s equity, and its subsidiary, Penerbangan Malaysia, which has a 52 per cent stake.
MAS said Khazanah and PMB had undertaken to take up their full entitlement.
Khazanah will subscribe for additional shares, raising the combined subscription by the two state agencies to 71 per cent.
The airline said it had signed a firm order with Airbus for 15 A330-300 aircraft, with options for a further 10 at a total cost of $5bn at list prices.
MAS already has six A380 aircraft and 35 Boeing 737-800 planes on order. Mr Azmil said the carrier would have one of the youngest and most fuel-efficient fleets in Asia by the time all the aircraft were delivered in 2016.
Tiger Airways is planning an initial public offering on the Singapore exchange next month. People close to the deal say the group is expected to seek to raise up to S$250m (US$177m) for between 25 per cent and 30 per cent of the company.
Kuala Lumpur-listed Air Asia, south-east Asia’s largest low-cost airline, is considering a secondary listing in Thailand, then a listing in Jakarta.
--->Still want to average down? Maybe stock will be given away for free in 2 years time.
but to be frank, MAS will probably survive @ its current share price. it is too-big-to-fail. a political nightmare. Najib can't afford to have one of Malaysia's largest corporate bankruptcies on his watch.
MAS actually unable to survice with the charity of MAS-OR. I think they will come back and make another CASH CALL. Remember, the current CASH CALL is not the first one.
Why so worry? It is a normal case when company doing restructure,the importance thing is the brand name of the company worth it's price. For fund raising possibly can issue SUSUK or bond to support the financing.
I still remembered how the stock behaved in 2010 , what i try to say is once have to be extra careful before the listing of its right issue, if ur going to buy for long term , wait until the listing date.
over 1,000 counters to look at, why bothers about their internal affair? Once you get entangled, you keep subscribing because if you dont, you lose out, so in the first place, dont play eyes with this guy.. actually there is no garantee for GLC, if you want to support, maybe burn a hole in your pocket... everyone has a choice..right.. split shares... except bonus issues
don't apologize. you have nothing to apologize for. you have my sympathies. no doubt you have paid a heavy price. i know people still holding knm, hoping for a turnaround.
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....
angel123
38 posts
Posted by angel123 > 2013-05-16 19:03 | Report Abuse
Initially it may drop a little after new shares listed but wil have some support.