Posted by Windy1974 > 2020-05-23 11:12 | Report Abuse

First, i have to highlight that this is not a SELL CALL.
AYOYO. You are right in saying that if money for future producing asset is good. BUT, as a JAKS shareholder, assuming i spent 1mil to buy JAKS at RM1, having 1mil shares, i was expecting to earn RM300k after PP generate income. Now, you are right, i am still gonna get RM300k if i subscribe to RI. But, it will cost me MORE to get RM300k. Now, let's get the fact right and outcome right. That's not questioning DK66 research

Posted by firehawk > 2020-05-23 11:12 | Report Abuse

if this a a PP, price won't be 40sen, there are rules for PP.

and if this a a PP, the ratio won't be 1:2.

if this is a PP, the amount raised may not meet the amount needed.

Posted by achlee61 > 2020-05-23 11:12 | Report Abuse

One more question, 7. are you confident and trust the management of the company?

Posted by Mark41 > 2020-05-23 11:13 | Report Abuse

Hi DK66,

Good day to you. I am holding certain JAKS share amount and have been following your articles and comments in i3. I appreciate your hard work and kindness to share your knowledge with us here.

Can you please add me into your private discussion room?

Thank you.

Posted by kalteh > 2020-05-23 11:19 | Report Abuse

Philips is absolutely astute with his comments. Warrant are never truly free per se. Investors should not view it as free money as it would just cause further share dilution in the future.

In fact, warrant should not given at all in my opinion as it complicates thing unnecessarily without any real benefits

Posted by Sslee > 2020-05-23 11:19 | Report Abuse

I think the question is if Jaks need USD 30 million then why need to do RI at 40 cents?
If do RI at RM 1.00. 1 RI plus 1 free warrant for every 5 shares held. Then the future EPS will not be diluted by so many RI share.

Posted by Ayoyo > 2020-05-23 11:22 | Report Abuse

Windy, if I understand DK66 workings, he mention of construction profit and the thought was for this to be used to subscribe for the shares instead... It means, that the construction profit is still there in the books... Why RI then? I don't know.. I could only speculate that his real intention is to get more shares on the cheap....

Posted by prebiet88 > 2020-05-23 11:23 | Report Abuse

Hi DK66, newbie here, can add me to your private discussion room pls?

Posted by Jeffreyteck > 2020-05-23 11:31 | Report Abuse

Asking for $$$ instead of giving. LT TP 3.00 by 2050.

Posted by firehawk > 2020-05-23 11:32 | Report Abuse

PP price not lower than 10% of average market prices and no warrant to dilute earning ......

Frankly, I hope this a a PP ... giving his friends and partners not more than 10% discount, can rise great confidence! Worth It! (If the price drops severely, this group will suffer too)

But he propose RI .... maybe not easy to find people to take up the PP?

Posted by Windy1974 > 2020-05-23 11:39 | Report Abuse

That's what I thought also. I can't speculate why ALP does it so I can only state FACTS. The fact is, with RI, I need to spend more money to get same amount I previously expected. Having said, I still expect JAKS TP to be higher than current price, but lower TP.
Musang, you refer bonus issue to RI is incorrect, bonus issue you don't need to spend extra. Actually bonus issue just make you feel SONG, it doesn't increase your earning from the company


Ayoyo Windy, if I understand DK66 workings, he mention of construction profit and the thought was for this to be used to subscribe for the shares instead... It means, that the construction profit is still there in the books... Why RI then? I don't know.. I could only speculate that his real intention is to get more shares on the cheap....
23/05/2020 11:22 AM

Posted by Lantern42 > 2020-05-23 11:39 | Report Abuse

Hi Dk66,

Can you add me to your group? Thank you!

Posted by JJchan > 2020-05-23 11:45 | Report Abuse

RI is a instrument to raise cash. Up to investors, Buy or Not , If nobody buy, Jaks loss underwriting expenses. Now Underwriter is taking a Huge position (80mil). Banker never, never takes huge
position unless he can Sell it (very clear cut-----standard SOP )

Posted by MrPotato88 > 2020-05-23 11:56 | Report Abuse

Hi DK66, I've been following your work on Jaks since last year. Appreciate if you can add me to your group. TQ

Posted by silverwind > 2020-05-23 12:06 | Report Abuse

May be due to the covid-19, the construction works of power plant is delayed to end of year for COD, so they need extra money to cover the overhead, rental of machinery etc that was already budgeted before that, just my thinking.

Posted by shortinvestor77 > 2020-05-23 12:13 | Report Abuse

True.

Posted by shortinvestor77 > 2020-05-23 12:14 | Report Abuse

Belt and Road Projects are abandoned now by the world.

Posted by 2721 > 2020-05-23 12:15 | Report Abuse

simple survey, any1 will take extra money to buy RI at this difficult time

Posted by Sslee > 2020-05-23 12:24 | Report Abuse

Dear all,
If you look into Dayang case from proposal on 17 May to RI price fixing date on 7 November 2019.

So you have about 5 1/2 months to either push up or push down the JAKS share price to fix the RI price fixing (not more than 50% discount calculated based on the 5-day VWAMP of JAKS shares market price prior to price fixing date)

Unless otherwise stated, all capitalised terms set out herein shall have the same meanings as those set out in Dayang’s announcements dated 17 May 2019, 16 July 2019, 28 August 2019, 12 September 2019, 13 September 2019 and 1 October 2019 in relation to the Rights Issue of Shares ("Announcements").

On behalf of the Board, Kenanga IB wishes to announce the following:-
i. that the Board had, on even date, resolved to fix the issue price of the Rights Shares at RM0.92 per Rights Share.
The issue price of RM0.92 per Rights Share represents a discount of RM0.91 or approximately 49.73% to the TERP of Dayang Shares of RM1.83, calculated based on the 5-day VWAMP of Dayang Shares up to and including 6 November 2019, being the last trading day immediately preceding the price-fixing date of RM1.92 per Dayang Share; and

ii. that Dayang had on 7 November 2019 entered into an underwriting agreement with Kenanga IB ("Underwriter"), whereby the Underwriter will underwrite 46,702,945 Rights Shares, representing approximately 48.41% of the total Rights Shares available for subscription pursuant to the Rights Issue of Shares.
This announcement is dated 7 November 2019.

Posted by JJchan > 2020-05-23 12:29 | Report Abuse

Jaks submitted to Bursa on why 160mil is needed. If Ang used the money instead of subscribing
to 30mil JPP shares, he is in trouble with MACC

Posted by Sslee > 2020-05-23 12:39 | Report Abuse

Haha,
You should hold ALP accountable during AGM . Why all this while telling all the shareholders that profit from Jaks parts of power plant contruction job is enough to pay for 30% JHPP.
Where did the USD30 disappear to?

Posted by qqq33333333 > 2020-05-23 12:45 | Report Abuse

Posted by Philip ( buy what you understand) > May 23, 2020 6:50 AM | Report Abuse

Think about this rationally
===========


company got choice meh? Andy got choice meh?

both no choice...this is the best under the circumstances.

warrant as sweetener is popular in Malaysia....but so far, all companies with lots of warrants all die after a few years............as for Andy, andy also wants more free warrants as he is not Genting son....andy shares all on margin with banks.

Posted by qqq33333333 > 2020-05-23 12:48 | Report Abuse

Sslee > May 23, 2020 12:39 PM | Report Abuse

Haha,
You should hold ALP accountable during AGM . Why all this while telling all the shareholders that profit from Jaks parts of power plant contruction job is enough to pay for 30% JHPP.
Where did the USD30 disappear to?
============

u are wrong.......Andy has always told everyone that there is a shortfall > $ 100m.......at least he told me....it is people like icon/ dk who assumed EPCC profit margin higher than planned margin so no need additional capital.....................

Posted by qqq33333333 > 2020-05-23 12:50 | Report Abuse

u are wrong.......Andy has always told everyone that there is a shortfall > $ 100m.......at least he told me....it is people like icon/ dk who assumed EPCC profit margin higher than planned margin so no need additional capital.....................

refer to PBB original report and my original report.

Posted by qqq33333333 > 2020-05-23 12:56 | Report Abuse

Posted by Sslee > May 23, 2020 11:19 AM | Report Abuse

I think the question is if Jaks need USD 30 million then why need to do RI at 40 cents?
If do RI at RM 1.00. 1 RI plus 1 free warrant for every 5 shares held. Then the future EPS will not be diluted by so many RI share.
======

the question of dilution does not arise as it is a rights to all shareholders....................................

Posted by qqq33333333 > 2020-05-23 13:22 | Report Abuse

Don't say conman......he not rich, he also need capital to subscribe.............

Posted by JJchan > 2020-05-23 13:33 | Report Abuse

another conman is in----already in "Full Horse Stand"-----The Underwriter
I heard he in the group that Goreng Sapnry to 1billion shares (one Day) to fully distribute Shahril
unsubscribe 1.8billion shares from 30--45cents (now 9cents---hahahaha)

Posted by Rookieboombpipi > 2020-05-23 14:01 | Report Abuse

Even genting malaysia better than this jaks

Posted by gemfinder > 2020-05-23 14:02 | Report Abuse

Jaksai jaksai

Posted by Aramco > 2020-05-23 14:04 | Report Abuse

Philip ( buy what you understand) As for using icon to compare rights issue? Icon used to be worth 10 cents before, and rm1 a few years back.

Get your facts straight and stop misleading investors.

Icon had a 50 for 1 consolidation plan because the individual share price was too low it has to be rescued. So it didn't go up, just consolidated.

Right after consolidation it has another rights issue, further diluting the share price again.

And you are looking at the points you are interested in only. Come on... Grow up.

https://www.theedgemarkets.com/article/icon-offshore-slumps-further-af...

Everyone knows rights issue and warrants are bad for the shareholders.

HOW ARE YOU THINKING WARRANTS ARE FREE? ONCE IT IS CONVERTED YOU ARE DILUTED YET AGAIN.


>>>>>>>>>>

Posted by johnmasino > May 22, 2020 10:25 PM | Report Abuse

ICON offshore stock actually surged/rose to a high of 0.95 cents the day after it announced rights issue plan..LOL..

23 Jan 2020:- Icon Offshore announced a rights issue with the the issue price of RM0.105 per Rights Share
24 Jan 2020:- Icon Offshore's stock surged/rose to a high of RM0.95..LOL

johnmasino the so call expert is a new born baby that b4 learn to crawl but want to fly hahahaha
newbie and too naive
Nah! learn from the well inform and experience guy (old timer)Phlip lah

Posted by qqq33333333 > 2020-05-23 14:05 | Report Abuse

previous pp and RI is to complete the EPCC...this RI is to take up the allotments.............

Posted by qqq33333333 > 2020-05-23 14:07 | Report Abuse

future pp/RI needed for working capital..............lol.......

Posted by Aramco > 2020-05-23 14:08 | Report Abuse

gemfinder Jaksai jaksai

Becarefull nanti kena hantam by johnmasino jaks

Posted by chiepin1 > 2020-05-23 14:33 | Report Abuse

DK66, please add me in the group. I am your supporter

Posted by ATT31786 > 2020-05-23 14:43 | Report Abuse

Sslee, is should be at least 50%

Posted by ATT31786 > 2020-05-23 14:47 | Report Abuse

b) the final issue price of the Rights Shares shall be deemed sufficiently attractive to encourage the subscription of the Rights Shares by the Entitled Shareholders and/ or their renouncee(s), if any. In any event, the Board shall take into consideration the prevailing market conditions and market prices of JRB Shares subject to a discount of at least 50% to the TERP of JRB Shares based on the 5-day VWAMP of JRB Shares immediately preceding the price-fixing date.

Posted by johnmasino > 2020-05-23 14:49 | Report Abuse

Philip:-

MFCB undertook a rights issue exercise back in 2016 on a 7-for-10 basis with 3 free warrants for every 7 rights issue subscribed. The rights issue price was RM1.59, today MFCB is trading atRM5.89. Were the directors stupid to sell MFCB shares at RM1.59 when they knew their shares would be worth much more than RM1.59?

JAKS 2-for-4-get-1 free warrant for is actually more appealing to MFCB's rights issue exercise price of 7-for-10-get-3 because it is less dilutive and you get more free warrants.

"HOW ARE YOU THINKING WARRANTS ARE FREE? ONCE IT IS CONVERTED YOU ARE DILUTED YET AGAIN. " - You can't trade warrants like you would shares in the stock market?? Company warrants cannot be sold?????? LOL...do you even know that warrants can be traded like you would shares???? If the warrant listing price is say RM0.25 and you sell all you FREE warrants (say 15000 free warrants if you have 60000 shares), wouldn't that translate to RM3750 FREE money already?? LOL...grow up and stop misleading investors into thinking warrants are a bad thing!

You say that warrants are never a good thing but you are a hyprocite! Why do I say that? You own and have bought SERBA-DK shares and warrants. Does that mean that just because SERBA-DK has warrants means that SERBA-DK is a bad invesment due to the dilutive nature of the warrants?? If you bought SERBA-DK warrants, you can't sell the warrant back in the open market???? LOL...

People buy into a company because they see huge profit potential from their investmet.

Stop being a hypocrite and accuse me of misleading investors when you are the one who is trying to mislead investors by providing one-sided information and not disclosing another for the benefit of all.

As for Icon, I merely pointed out FACTS that Icon's share soared right after the right issue exercise was announced. That is a fact!

Posted by johnmasino > 2020-05-23 14:52 | Report Abuse

Aramco:- I NEVER CLAIMED TO BE AN EXPERT YOU STUPID DONKEY. YOU'RE THE BOZO WHO CAN'T ARGUE WELL AND CAN"T EVEN STRING TOGETHER A SIMPLE SENTENCE..

Posted by johnmasino > 2020-05-23 14:55 | Report Abuse

Icon offshore's rights issue exercise was VERY DILUTIVE, 100-for-1. it was for every 1 Icon share you own, you have to subscribe to 100 rights share to get a 1 measly warrant free. Yet it's stock price soared after the announcement..LOL

Posted by Philip ( buy what you understand) > 2020-05-23 15:02 | Report Abuse

Obviously for new shareholders I am not complaining as I get to buy cheap shares.

But for those who are holding 60,000 shares where they paid rm1 for it, they are the ones left holding the bag.

Your viewpoint is of cute short term trader. All

As a long term investor I think like a business owner. I think in terms of earnings to me as a shareholder of the company. Converted warrants and rights issue dilute my share of earnings, what is so hard to understand? Why are you even arguing this point?

The reason you buy stocks is to have a share in the earnings of a company. You are thinking of it as pieces of paper to be bought and sold and traded.

All you want is quick short term money. Let me bring you back to real world.

That warrant of 15 cents? It comes from somewhere you know, it's not free.

If you don't believe me, hold your 60,000 shares and check out the value after this heavy dilution, if you say the Jaks warrants is 15 cents? I'm pretty sure after this warrants and rights issue is awarded, your 60,000 shares that you bought for rm1, will be worth a lot less than rm1.

FYI I never said Jaks was a bad investment. I did say that the long term shareholders of Jaks will lose a lot of value.

>>>>>>>>>>

You say that warrants are never a good thing but you are a hyprocite! Why do I say that? You own and have bought SERBA-DK shares and warrants. Does that mean that just because SERBA-DK has warrants means that SERBA-DK is a bad invesment due to the dilutive nature of the warrants?? If you bought SERBA-DK warrants, you can't sell the warrant back in the open market???? LOL...

Posted by Philip ( buy what you understand) > 2020-05-23 15:12 | Report Abuse

Aseng, RI price of 40 cents per share means exactly that the share price is 40 cents. What are you talking about? I totally don't understand your logic.

The intrinsic value of that share by management as a sold price is 40 cents. That is what management is asking for, and that is what you will pay. The intrinsic value of the business however depends on how long you are willing to wait for earnings.

How much it is worth depends on how much earnings JAKS shareholders are receiving for each held share.

Another PP or rights issue could dilute even further. Look to earnings to define value, not share price.

>>>>>>>>>


The RI priced at 40sen doesn't mean the share is worth 40sen.

Posted by qqq33333333 > 2020-05-23 15:15 | Report Abuse

ted by Philip ( buy what you understand) > May 23, 2020 3:02 PM | Report Abuse

m pretty sure after this warrants and rights issue is awarded, your 60,000 shares that you bought for rm1, will be worth a lot less than rm1.
==============

there is this thing called ex all price , assuming u take up those entitlements.........


but it does force a lot of shareholders to make decisions.......

Posted by johnmasino > 2020-05-23 15:19 | Report Abuse

Philip:-

So now you're backing down a bit after I called you out on your misleading information. Let me reply you:-

"That warrant of 15 cents? It comes from somewhere you know, it's not free." - The FACT and BOTTOM line is it is FREE to shareholders of JAKS who subscribed to the rights issue as detailed in their proposal. As long as I'm not paying for them, I don't care. If people give you freebies, why shouldn't you take them? Is taking freebies wrong? Is it loss-making?

Let me put this rights issue exercise in another way. If someone needs money to fund a venture that he knows is hugely profitable but needs more capital to do so, he will turn to his friends for help. If he gave you RM1000 free as an up-front/sweetener in return for lending him money (say RM30000) to fund his business that you also see as hugely profitable, why shouldn't you? He gives your RM1000 as an incentive to lend him RM30000 to fund a business that will return profits on your RM30000 in the future.

As long as you subscribe to the rights issue, the dilutive nature of the rights shares will have no impact on your current shareholding.

Let me ask you another question Philip. Bonus issues are dilutive in nature especially if it's 1-for-1 basis. But are bonus issues bad for investors?? If you say no, you have refuted your own claims already because warrants are also dilutive in nature. So why are warrants bad and bonus issues good when both are dilutive? When bonus issues are announced, company stocks usually soar.

When a company gives free warrants where warrants have a value and can be bought and sold like shares in the open market, it is bad???? LOL..

Free warrants are BAD???? LOL

Posted by Aramco > 2020-05-23 15:22 |

Post removed.Why?

Posted by johnmasino > 2020-05-23 15:26 | Report Abuse

Philip:-
"Obviously for new shareholders I am not complaining as I get to buy cheap shares." - To be eligible to buy the rights issue, you HAVE to hold some JAKS share first! You can't subscribe to the rights issue if you don't currently hold JAKS shares or you hold an insufficient amount.

Posted by Mr.Investor > 2020-05-23 15:39 | Report Abuse

its possible the owner is increasing up the total number of shares from 600mil to 1.2bil to enable jaks to be more tradable n more liquid

e.g ekovest is 1.4bil this is the norm

perhaps he is preparing to share the jaks profit in anticipation of the power plant commencment for 4th quarter 2020 with his china partners buying up the RI later. all make money and make more money. lol

an interesting thought

Posted by Ayoyo > 2020-05-23 15:45 | Report Abuse

, that 40 sen per RI share value was a hypothetical valuation assuming the stock price stays the same and the TERP is 80 sen.... With the exercise only to be completed in 3 or 4Q, and with the plant completing and firing up then , you may not be able to get the RI at 40 sen if the price continues its uptrend reflecting the stage of completion... If he decides with the RI then (he could call it off too), the price of the RI will still be at 50% discount to the TERP...

That's why I said, don't complicate matters, post dilution, does the eps of jaks meet the business case? If yes, go ahead with RI or even get more excess shares... If no, just sell it off and forget about it

Posted by microhard > 2020-05-23 15:47 | Report Abuse

So, limit down to 40c , so how is our hard-earn money.........sleepless night ...

Posted by BlessedInvestor > 2020-05-23 15:48 | Report Abuse

Those already bought Jaks because of power plant better subscribe the right n get free warrant. Not all RI are bad. Look at Dayang and Perdana RI, all investors who subscribed for RI made good monies. By the time Jaks mgt get all approval by forth quarter of 2020, unit one already COD, price may increase than drop. When this unexpected RI announced, jaks shares will experience short term volatility. Just don't panic sell to sharks...

Posted by JJchan > 2020-05-23 15:53 | Report Abuse

where got sharks in Jaks-----Mr Ang is the only Tiger Shark and the "no name" Underwriter