Pradeep, in all my plays, I've never subscribed to any rights issue cos the issuance of additional shares will dilute the earnings going forward, BUT they will play the shares up to justify the bonus element that comes with the cheaper rights and the free warrants that come as a sweetener. i'm still holding on to the warrants which I got at 7 - 8 sen.
We cant be wrong in our investment and if you look at the balance sheet and the earning it is good and if you are a investor you will definitely choose to invest on fundamental stock,and moreover the rights issue price is at 0.35..Now what is wrong! Can anybody guess??. I myself do not have the answer just be patient and dont play contra.
this share is play by big shark... they determine the share price... they throw..price drop... they buy.. price up...small investor only play by them only...if price cant up next mon... big shark sure will throw again n price will drop heavily...
Not yet game over.... In fact the second round is just to begin... That explains why they throw down the price to collect back the shares for the next uptrend.
The last uptrend was from 20 sen to 42 sen.... gain of 22 sen.
The bottom for now is 33 sen..... The next target shall be around 55 sen ( ie 33 + 22 )
The warrant shall be about 22 sen ( 11 + 11 )
Therefore, no worries... sure win.... unless they want the right to fail....
those who missed out my detail explainations on barakah-La and missed the ship never mind i got this for you. since i am free this few day, let me share with you on xdl again.
i think there might be a big gold here same as Sumatec !!! May be the master mind behind also CMY !!! klse has approve the right,bonus,warrant in the ratio 12:4R+3B+3W for small retailer if not able to buy 12 lots,then your mininum to buy must be 600 units !!! but i suggest you try buy 3 lots (right is 35 sen)
below is what will get if buy ; 600 unit get 200 right+150 bonus+150 free warrant or 200-OR 3000 unit get 1000 right+750 bonus+750 free warrant or 750-OR 12000 unit get 4000 right+3000 bonus+3000 free warrant or 4000-OR (if no money to buy right then sell off the OR)
below is some scenario of possible pre-x and x-price pre x 33 sen x price is 28 sen pre x 35 sen x price is 29.5 sen pre x 28 sen x price is 25 sen pre x 44 sen x price is 35 sen (right issue price)
so you think how to attract/convince small investors to buy the right !!! therefore it will be same as sumatec, the ex-price hav to jump up to more than right issue price of 35 sen !!!(sumatec x price is 24 sen but jump to 30sen ) my theory is if buy below 44 sen all will make money !!! dont forget free warrant will be worth 12 to 15 sen also !! follow the closing date carefully could be very soon !!!!
I would give it a conservative TP of 60 - 65 sen and the warrants >22 sen leading up to the ex-date for the rights issue with free warrants & bonus. Brace yourselves that they could announce the Walmart deal that justifies the capital expansion for the second manufacturing hub in china.
ccl88, howdy. It's quite a coincidence that my initials are also ccl. Nah, do not know when. But they would still have to call for an EGM to pass the resolution and my guess is this could happen within these 2 months. BTW, 3Q results will be out approximately 20th Oct. Things are looking up.
Sandra, i have a greats sense that it will up very soon.. i'm queuing to buy some warrants and mother shares at the current price.....seem like not easy to done...
agree with you PerfectWin......... perhaps could even reach 30cents due to the fact the new 2013 warrants to be issued is worth 35cents..... therefore the current warrant 2012 in the KLSE price should at least be on the same par valued at least 30cents.... please correct me if i am wrong........
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....
Sandra Choong
80 posts
Posted by Sandra Choong > 2013-11-07 14:37 | Report Abuse
Pradeep, in all my plays, I've never subscribed to any rights issue cos the issuance of additional shares will dilute the earnings going forward, BUT they will play the shares up to justify the bonus element that comes with the cheaper rights and the free warrants that come as a sweetener. i'm still holding on to the warrants which I got at 7 - 8 sen.