Corus UK must be worth £250m to £350m or at least rm1.4b.The total debts is around rm900. The difference of rm500m is more than the market value at 0.07. Everything else is free. But of course, the peabrain son doesn't know his maths.
10% PP or 293m shares @ 0.07 will only bring in RM20.5m. Interest on the > RM900 borrowings is more than that. The destruction in value of this company in the last 9 years is reflected in the current share price. The company is in dire need of a competent CEO.
Relax ..Mui established since 1960 before most of us here even exists ..the old Khoo days are numbered ...the son will likely sell off or restructured Mui once he CAN make the call ....MUI has plenty of assets bought cheaply during 1960s ...now market value worth billions ....Mui highly possible will be bought over by Institutional Funds over its assets. And retails strategic location base in kl.
The Proposed Private Placement is expected to result in an interest saving of approximately RM0.98 million per annum and hence have a positive impact on the Group’s financial position in the future. Premised on the above, the Board is of the view that the Proposed Private Placement will facilitate the Group to maintain its creditworthiness with its lenders for the continued availability of credit facilities to fund its business operations which is expected to improve the business and financial performance of the Group and thus enhance the shareholders’ value in the future. 2.2 Adequacy of the Proposed Private Placement in addressing the Company’s financial concerns The Proposed Private Placement will enable the Group to raise additional funds from third party investor(s) expeditiously for the purposes as set out in Section 3 of the Announcement. As at 30 September 2021, the Group has approximately RM141.80 million in cash and bank balances (inclusive of deposits pledged with financial institution) which will be sufficient to meet its shortterm obligations. Although the Proposed Private Placement will not substantially turn around the Group’s financial performance, it is adequate at this juncture as an interim measure to reduce the Group’s existing indebtedness and ensure business continuity is not affected by cash flow constraints. As disclosed in Section 5.8 of the Announcement, the Group has undertaken and is undertaking various measures to improve its financial performance and strengthen its financial position amid the challenging environments faced by the hospitality and tourism industry as well as the retail industry in particular. These include, amongst others, the implementation of various cost cutting measures by the Group, the Proposed Disposal, the opening of new experiential retail store by Metrojaya at LaLaport BBCC in Kuala Lumpur tentatively in the second quarter of 2022 and the Proposed A&W Acquisition. Hence, the Board is of the view that these concerted measures coupled with the efforts to pare down bank borrowings via the proceeds from the Proposed Private Placement and further fund raising exercises in the future, if necessary, will support the Group’s aim to strengthen its financial performance and financial position in the long term. This announcement is dated 7 February 2022
Capital reduction is the process of decreasing a company's shareholder equity through share cancellations and share repurchases, also known as share buybacks. The reduction of capital is done by companies for numerous reasons, including increasing shareholder value and producing a more efficient capital structure.
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....