Dear PlsHelpMe, your analysis is good enough. It is parallel with Mr mala173318 to a certain extent. According to Mr mala173318, the counter definitely won't rebind at all. He predicts the price will drop to RM0.002 very soon before CNY. For the time being, the counter becomes one of the most active trading counters. I think those don't listen to Mr mala173318 will pay the price very soon. As the latest advice from him, buy at your own risk.
Why I look here look there Orion very similar to 1 stock king I in 2014:
1. No of share: both also about 600m 2. Start to goreng from 0.105 3. Both start after announcement of government link project. Both fintech. "I" doing GST collection software for government. 4. Cumulative 4 q earning after start goreng was 30m for "I". Cimb estimated Orion can come to highest 29m for 2019. 5. Both also start from weak results. "I" only 421k. Orion 1m. 6. The same analyst, Cimb analyst covered both
One famous anei behind the rise of "I". I believe he is also behind Orion...Guess who...
TillyLovers.. im not sifu or whatsoever.. wat i say is based on wat i saw only.. maybe someday will goreng again.. who knows... but for now.. if dyna can't do a thing then wait 10 yrs loooo...
I am very confident and technically it is oversold. Dyna will goring again. Remember the price conversion at 0.120, so stakeholders will surely push it up. Those enter now can still make easy 20% in coming days
fl888 you sure? Today I didn't listen to some sifu advice that should not enter.. now I see that some one seems wanna keep the price at 0.1.. but why? Transaction fee also need to pay ya.
1/11/2018 Tatt Giap Group Bhd has bagged four contracts worth a combined RM67.0 mln from Dynaciate Engineering Sdn Bhd to undertake various sub-contracting works. The awards are for works which range from civil and main mechanical, to piping fabrication and installation works. (The Edge Daily)
4/12/2018 Tatt Giap: Bags RM11m worth of related party jobs. Tatt Giap Group has bagged two contracts worth a combined RM10.6m from Dynaciate Fabricators SB to undertake steel fabrication and piping pre-fabrication works. Tatt Giap said its wholly-owned subsidiary Superinox Pipe Industry SB has received two letters of awards (LOAs) from Dynaciate to undertake the sub-contracting works. (The Edge)
Who is converting the IPCS at a loss and providing the 12cts per share and buying and selling at 10cts of the company knows something big is going to happen.....
Looks like the New Boss wants to convert all the IPCS and WA into mother shares so no need to borrow from anybody...and a massive controlling stake in Dynaciate..
Yes, if you bought at 0.10 as new boss, the margin to gain is more than 50%, if you caught the falling knight which more than 0.15, from my point of view is... need a bit longer time to recover.
I would see the conversion of ICPS as a neutral event at the moment.
Existing shareholders are actually getting diluted in terms of shareholding percentage but given the conversion price is at 12 sens per share (either via adding 6 sens per ICPS or by surrendering 2 ICPS for every 1 ordinary share received. The latter being the most probable case), there will not be any downward price adjustment to existing shareholders. That being said there is actually no cash payment being made for the conversions (most if not all are based on the surrendering of 2 ICPS per 1 ordinary share). The ICPS actually don’t carry any dividend payment.
Why would the ICPS holders convert now? The most probable reason is due to an arbitrage trading opportunity that appeared even at the first day of trading of the ICPS on 3rd Jan 19. The ICPS traded at between 6 sens to 8 sens per share while the mother shares traded at between 29 sen to 36 sens on the same day. Theoretically, original ICPS holders will be in the money when the mother is trading above 12 sens. They will not make money on trading the ICPS (Tatgiap PA) unless it is above 6 sens. For the first trading day, the original ICPS holders would most probably want to convert the ICPS to mother and then sell the mother later. If price were to remain constant at the closing price of 36 sens, they would have pocketed 12 sens per ICPS via conversion rather than selling the ICPS directly which only can make profit of 2 sen max. However, to convert ICPS it will normally take 1 – 3 weeks depending on your broker and the company secretary efficiency. The first block of new shares from ICPS conversion were issued on 14thJan when price traded between 14 to 18 sens. Most traders would have taken the opportunity to sell their shares for immediate profit. This trade is relevant as long as the share price is above 12 sens (which ended on 16 Jan).
Beyond that date any original ICPS holders would be losing money if they decide to convert and sell the mother shares later (given that it would be below their original investment of 12 sens). However, there is still some arbitrage trading opportunities for those that are willing to take the 1-3 weeks conversion duration risk (during this time, they could not do any trading). Since 16 Jan, the mother shares has been trading at below the 12 sens with the lowest being 9 sens. On average, the trading range is between 9.5 sens and 10 sens. The ICPS on the other hand has been trading at between 4.5 sen and 5 sens. A trader can make a gross profit of 5.6% if he buys the ICPS at 4.5sens, convert it to mother shares (2 ICPS for 1 mother shares at cost of 9 sens) and sells the mother directly upon conversion at 9.5 sens. If the trader managed to sell it at 10 sens, he would have maker a profit of 10.2%. But again, there is a risk during the conversion period of 1-3 weeks when the trader could not do anything. If the mother price fell at below 9 sens, he would end up in a loss-making trade. More than 200 mil new shares were issued from conversion of the ICPS since 3rd January.
But again, this is all arbitrage/ speculative play. In terms of fundamental, Tatt Giap is still not a very appealing investment option. The company is still considered as a loss-making company with liquidity issues. A big portion of the recent fund-raising exercise, which managed to raise around RM41mil, was supposed to be used for a property development project which has a GDV of RM139mil with potential gross profit of RM35mil. That has since been put on hold with the land now being leased to MGudang for RM4.2mil per year for a lease period of 2 years. The funds are now being proposed to be diverted to fund a subcontracting works which was awarded by Dynaciate group (the major shareholder). Not sure if the subcontracts will end up with delivering profit to the company’s bottom line. Investors need to be prepared for the company to still record losses for the foreseeable future (at least the 4Q18 and 1Q19 results until the subcontract work starts. Not sure when).
If you are looking to diversify your portfolio outside of Tatt Giap (due to its weak earnings outlook and liquidity issues), I would recommend you to look at MBMR. (https://klse.i3investor.com/servlets/stk/pt/5983.jsp)
MBMR is a direct proxy to Perodua via its 22.6% interest in the company. Valuation is cheap at only 6.9x PE (based on target FY18 profit of RM145mil. 9m profit is already RM106mil). PB is low at only 0.7x BV. 4Q18 results is expected to be higher than 3Q18 and last year's 4Q17.
FY19 growth will be driven by the still high demand of the new Myvi and the newly launched SUV Aruz and also the newly revamp Alza in 2H19. I am projecting a profit to shareholder of RM170 mil for FY19 which at the current price values MBMR at only 5.9x PE.
Tatt Giap is at NTA value and upward surge is expected .......stupid to throw it for MBMR lah and how much can I make if I change my 1688 lots of Tatt Giap to MBMR, ......I keep my Tatt Giap to easily make 10% more... hoping ....
never listen to others as you are always on your own, judge yourself and be confident once bought in.... a month ago when i bought in Presbhd(0.35), RgtBhd(0.185), Ucrest(0.265) and Tecfast(0.32), ppl said i am crazy as Presbhd can go further down to 0.25 since cancelled of project of SKIN, how about today, of course I sold all at 0.41, RgtBhd I sold at 0.200, Ucrest I sold at 0.275 and Tecfast still holding as my TP0.40 is otw. Afterthat I moved in Tatgiap(0.10), PUC(0.95) and YongTai(0.345)... See what's going to happen.... I always enter when other throw and sell when other chase. Tatgiap my personal TP is 0.12 will be enough....Good luck guys.
The current trend is penny stock, of course i have Genm, Gkent, Maybank ... too. That will take arest as they all raised in Dec/Jan.... Let all penny doing good job for us.
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Posted by PlsHelpMe > 2019-02-13 09:27 | Report Abuse
not gona BO 0.10..everytime finish then suddenly appear another 60k lot.. seems doing buy n sell within same party to fake vol spike..