Then this OSK is really undervalued, by completing the takeover of PJD. The operations would be streamlined for better efficiency. The boss is not interested to goreng his shares, but putting more efforts to manage the business.
Looking at the way PJD minority shareholders have been robbed, the same will be repeated with OSK.
PJD has many more valued assets apart from properties and lands, including the crown jewel of Melbourne project - the cable factories which now contribute the most, manufacturing of building materials, construction, and of course the hotels & hospitality business.
OSK is definitely undervalued. We want to buy more under-valued OSK. But the question is whether there is a win-win long-term sharing or that OSK will be taken private, just like PJD, when value emerges.
My take is that the PJD scenario will replay in OSK. 03/09/2016 18:05
OskH is going to be a property company---unless OLH wants a family Co and takes Oskh private-----private Co cannot borrow as much as a Limited Co....that is the reason why OLH repeated many times in AGM about OskH being a 1st Tier Co.
This exercise reflects OSK's desire to take PJD private and to merge (completely) PJD's compatible business units with other similar OSK's unit, properties being the major sector of course. Some PJD's non-core business units may be sold off, I guess.
However, to have totally free hands to restructure and merge PJD business units within OSK, OSK needs a 100% ownership of PJD. If even 2% minority in PJd, their interest in unlisted PJD must still be accounted for.
To exercise compulsory acquisition, OSK must first be able to acquire 90% of the OUTSTANDING shares not own by them at the time of launching the take-over, i.e. 90% of 10% (the remaining). Judging from the low daily transaction, OSK is not likely to achieve the goal of exercising compulsory acquisition.
PJd will be delisted as announced. But it is likely for OSK to revise the unfair and unreasonable offer to buy out those who hold up. For a small sum, it is best for OSK to buy out the rest.
Nobody can simply transfer assets to OSK eventhough the company is unlisted. The sales of assets to a related company have to be substantiated by valuation reports and considerations (selling price) has to be paid to the seller apart from approval by the board of directors.
OLH is an experienced and tough deal maker. However, he only do things allowed within the framework of the laws.
@JJ Chan. In fact, both companies already have comment directors even before the general offer. Even though the directors are the same, the two companies are separate entities and the assets and liabilities still treated separately. That is true even after the delisting.
When Olh own 35% of Pjd, he cannot move pjd asset at will.....But Oshk own 90++% of PJD which means PJD assets belong to OskH......for accounting purpose it is better to have a clean deal so OLH will buy out minority shareholders (maybe 2 extension at same price but if you get politician involved maybe minority shareholders will get a better deal ) then delist.....Delisting solved All OLH problem with minority shareholders holding out for better pay.....After delisting PJD will be made a shell company with all assets move to OskH.... I have seen this many, many times in 80's and 90's so don't ask me whether it can be done or not......minority shareholders is always the loser.
Delisting only means no buying and selling in open stock market.
PJD assets cannot be just moved to OSKH leaving "Kosong" for minority. No way, not even in a private limited company where minority share holders have their right according to Company Act. Delisting only implies not subject to SC and Bursa's rules and regulation.
For those in business using Sdn Bhd, they know very well that the dominant shareholder cannot just take assets of the company as his own. Fundamental law and provisions of the Company Act must be comply with.
Litigation by minority shareholders will cause OSKH dearly in underperforming.
It is best for a few millions to buyout the hardcore.
Laws of Malaysia –Act 777 – Companies Act 2016. (A 577-pg document available in the internet)
Section 223 of Company Act deals with “Approval of company required for disposal by directors of company’s undertaking or property” – by way of RESOLUTION (at AGM).
(1) Notwithstanding anything in the constitution, the directors shall not enter or carry into effect any arrangement or transaction for – (a) the acquisition of an undertaking or property of a substantial value; or (b) the disposal of a substantial portion of the company’s undertaking or property unless – (i) the entering into the arrangement or transaction is made subject to the approval of the company by way of resolution: or ………………..
Directors of company have duties and responsibilities, failing which they may be fined or even jailed.
I also think that a sensible director will not go against the law by transferring out assets. They will transfer with the proper procedures and to abide by the relevant laws n acts.
A wrong procedure or acts that are against the act may risk law suit from the shareholders n this will be very damaging.
Not only 86K doesn't know where to look for Bursa info, i found your command of English is so poor from your our posting in Pjd ( your understanding on the % that allows compulsory acquisition reflects your level of Education )....Nothing more i can say about your understanding of accounting
Do u think OSK need to have PJDEV to be delisted to recognise PJDEV profits? In fact, OSK already included PJDEV profits since few quarters ago when OSK acquired the shares from pjdev and owning about 89% shares in PJDEV. The remaining 11% is just consider as minority shareholder part of profit.
Having doubt on my education? Sorry la... I was once a CFA charterholder.
RVI123 I heard some old timer says that in the event the compulsory acquisition can not be achieved, the offerer may contact some shareholders directly to buy over their shares at a agreed price in order to meet the 90% threshold. 27/09/2016 00:41 860000 to be frank... it is obvious that the announcement mentioned OSK bought more than 90% PJDEV shares.. I am not sure why you still say not yet 90% 28/09/2016 07:55 Un Tong 90% of outstanding shares not owned by them, not 90% of total shares 28/09/2016 14:44 860000 how to delist if owning 10% shares only? 28/09/2016 16:20
Congratulation for your prestigious title......Yesterday my office boy said he is working part time for me But he is actually working Full time as the managing director for "nasi lemak anak Dara"
I bot osk, I did not buy pjd. Last time I bot pjd at 85 sen sold at 95 sen..... never expected up to 1.50..... but 1.50 bot by osk at this moment is cheap as those lands and properties prices increased more than double for the past few years/
Okay understand....One of the biggest factor, china-apek companies never revalue their properties are bcoz if the mismatch between asset and stock price is huge----literally you invite Umno Datuk and TanSri to raid your company.......One good example is Public Bank---- why Teh Hong Piow took a bitter pill (increase debt) and jacked up price to protect against Cimb raider (so is Hong Leong Bank and most of mega construction Companies) Actually Delisting will Not protect you from Raider bcoz they can work on removing your license and capital requirement
What a shit company...shit olh.......I think this shit company will not reach to 1.70 in this few year.....today up 1 Sen. Tml Down 2 Sen ...losing time and money...
haha.... ah pek company. patience.... i think they will announce to buy more profitable companies.... eventually pjd and oskprop profit will be reflected in osk Q report...
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Posted by taktaumacammana > 2016-09-02 12:10 | Report Abuse
Then this OSK is really undervalued, by completing the takeover of PJD. The operations would be streamlined for better efficiency. The boss is not interested to goreng his shares, but putting more efforts to manage the business.