3.1 Potential advantages of the Proposed Renewal of Share Buy-Back are:- (a) The Company may able to stabilise the supply and demand, as well as the price of the Shares, thereby support the fundamental value of Pantech Shares. (b) The purchased Shares could be retained as treasury shares or resold on BMSB at a higher price with the intention of realising potential capital gain for the Company without affecting the total issued and paid-up share capital of the Company. In the event that the treasury shares are distributed as share dividends, it will serve to reward the shareholders of the Company. (c) The Proposed Renewal of Share Buy-Back would effectively reduce the number of Shares carrying voting and participation rights and such, the EPS of the Company would be increased. If the Shares so purchased are subsequently cancelled, the Company expects to strengthen the EPS of the Company and benefit the shareholders of the Company. Shareholders may enjoy an increase in the value of their investment in the Company arising from the consequent increase in EPS; and
3.2 Potential disadvantages of the Proposed Renewal of Share Buy-Back are:- (a) It will reduce the financial resources of the Pantech Group, and hereby may result in the Company foregoing future investment opportunities that may emerge in the future or deprive the Company of interest income that can be derived from funds utilised for the Proposed Renewal of Share Buy-Back; and 2(b) The Proposed Renewal of Share Buy-Back if implemented may result in a lower amount of cash reserves available for distribution in the form of cash dividends to shareholders.
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....
BBB79
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Posted by BBB79 > 2013-08-05 14:08 | Report Abuse
today all go to iris and daya...