people spreading the rumour of cash is fake for average down thier cost and wait to make profit when people realise after all the cash is real, profit is real, people are emotion
Lolita, u could be right. But nobody in market believe the cash now. Even Kyy would be double checking with his cousin now. If there is a way to find out, maybe someone can try pointing a gun to Dato Wu's head in next Agm!
I remember there was another red chips in KLSE that was making unbelievable tonnes of money and with very high cash per share. They goreng for 1-3 years and dispose most of the shares. In less than 2-3 years, this company was eventually under PN17 because of sudden huge losses and each quarter losses equal to turnover and cash depleted very fast. The modus operandi should be more or less the same.
Xinguan has huge cash but the cash cannot generate interest income!!! I wonder what type of cash they have.
and i would like to continue that in order to fake cash in balance sheet, there are few ways :
1) collaborate with auditors or/and bank officers 2) fake bank statement/confirmation from fake banks 3) the boss personally borrowed from underground money syndicate for 1 weeks for the amount of RM1 billions and repay back to the syndicate as soon as auditor got the value confirmation.
if you compare the risk and return of this counter and 4d, you know this counter is better bet. this is 1:4 with ~30% chance and 4d is 1:2500 with 0.001% chance. there is 70% auditors did or willing to breach their audit code for their client in exchange of benefit. so 30% chances cash is real. minimal RM60 (RM0.445@100shares+RM15 transaction cost) to try the luck you should not treat this counter as a investment but luck trying bet.
ps. fyi i bought 5155 for 4D RM5 big and RM5 small. inspire from rockycleft wish me luck
As per Page 58 of the circular to shareholders dated 14 January 2016 RHB Investment Bank Bhd has extended a credit facility amounting to HKD50 million (RM28million) to the Tai Zhen Xiang Holding Ltd for the purpose of subscribing for its entitlement undertaking.
IN response to Robertl write up "XINGQUAN the Hollow Story (second shot) " please visit http://www.xingquan-international.com/business.html and see for yourself an update of Xingquan factory taken on 7 Jan 2016.
As per Page 58 of the circular to shareholders dated 14 January 2016 RHB Investment Bank Bhd has extended a credit facility amounting to HKD50 million (RM28million) to the Tai Zhen Xiang Holding Ltd for the purpose of subscribing for its entitlement undertaking.
If the substantial shareholder is committed to subscribe for the rights and RHB Investment Bank Bhd is prepared to fund the substantial shareholders it seem logical to conclude the proposed rights issue is to assist the company to grow its business.
Also the substantial shareholder would need to pay interest to the bank. The company could have borrowed from the bank and would have to absorb the interest. It therefore seem logical that the company rather share its growth with the shareholders than with the bank.
Kindly read pages 12 and 13 of the circular to shareholders dated 14 Jan 2016 regarding working capital requirements and eg of chineses sports/casual footwear listed companies in HK stock exchange having huge cash balances.
Not comparing. Just to elaborate that even the big boys in the HKSE have huge saving account balance earning little interest income. This indicates that such types of business activity operating in China requires huge cash as annual working capital.
So are you saying these big boys listed in the HKSE are doing the same thing ie leaving cash lying idle.
why the factory photo from the website so unreal one? The website show some product photos but no further info about the products? instead, the site shows detail info that investors would want to see...hhmm... Is the company making $ from customers or investors?
Both rockycleft and daytrader188 cannot even give us logical reasons why the other Chinese companies mentioned hold so much cash. If you guys are so good then give your logical reason instead of going round the mulberry bush.
Then yr children or grandchildren or great grandchildren can celebrate and sing song together with Koon Koon's grandchildren or great grandchildren etc...how beautiful and how sweet it will be....
We are simply asking you for your logical reason why these chinese companies in this type of business need to have so much cash and you cannot even come out with an answer.
Rockycleft is just trying to avoid the issue cos he cannot even come out with a logical answer. How pitiful and he keeps on diverting which only means he don't have an answer.
Wondered why you removed your advisory post. Like Robertl you magically disappear cos you have no logical answer to why the big Chinese companies hold huge cash earning low interest . Also as mentioned we did not ask for advice and you acknowledged that you did give advice in your last post. Ha x infinity. You talk only but no action.
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murali
5,723 posts
Posted by murali > 2016-01-14 20:09 | Report Abuse
In case u can live that long to see the cash then your grandchildren may collect on your behalf...