However, how significant the future profitability contribution towards Globetronics bottomline yet to be seen as this is a new venture and business operation is expected to commence in April 2024.
According to the Edge - new shareholder will emerge end of the year. APB resources bhd, which Press Metal co-founder Dato Koon Poh Tat is a substantial shareholder, will be buying the stake from Globetronic's founder.
KUALA LUMPUR (Dec 18): APB Resources Bhd is acquiring 70 million shares in Globetronics Technology Bhd, representing a 10.41% stake in the Penang-based semiconductor manufacturer, for RM140 million cash. The consideration of RM140 million or RM2 per share is a 16% premium to Globetronics' share price of RM1.73 at the time of writing.
New seller proposed to buy at RM2 per share but GTronic's share price turned south and nose dived after early morning gain. Probably most investors did not seem to like the proposed acquisition because there is no business synergistic value.
Need to observe tomorrow's price movement as today's transcated volume is very high as compared to past few weeks. Seem that either buying interest was there or investors were busy averaging their holding cost.
It was reported the new shareholder is sending a representative to the board of Gtronic. However, the basic truth is there is no synergistic value between 2 companies as they are in different industries at all. I believe this is why the share price of both companies tanked these 2 days.
The question is how far the share price of Gtronic is moving downward since its later business performance is not encouraging as well for the past few quarters. Unless there is a good prospect that the company is launching new products or boosting revenue of existing products, its share price is not going anywhere.
the "current owner" has been acting like a professional manager for Gtronics since early 2000 after letting go his controlling stake by selling to institutional funds such as EPF (holding 14% now). From annual report, his sons are finance professionals and not engineers. I guess he's retiring.
APB Berhad Independent Director APPOINTMENT - TAN TEIK HSIUNG on 15-Jun-2023. He has 21 years of experience in semiconductor, director of Infineon Kulim.
Over the past few decades, the Malaysian semiconductor scene has largely been dominated by the labour-intensive outsourced semiconductor assembly and test (OSAT) companies.
Companies like Inari Amertron Bhd, Malaysian Pacific Industries Bhd (MPI), Unisem (M) Bhd, Globetronics Technology Bhd and KESM Industries Bhd were established to provide outsourced services such as assembly, packaging and testing to multinational corporations (MNCs) that include Advanced Micro Devices, Analog Devices, Agilent Technologies (formerly Hewlett Packard), Broadcom, Lumileds, Jabil, Renesas, Western Digital, Intel, Dell, Osram, Infineon and Micron. These foreign companies set up operations in Malaysia, most of them in Penang, with some starting as early as the 1970s.
@Tanleechoo. You are right. I saw that the Company keeps issuing ESOS to rewward its employee. But at the same time, the Company's performance such as revenue and profitability keeps dropping. Should they receive ESOS under such circumstances? Questionable.
How many employees spend time tracking n trading the stock rather than focus on the work to create value for the co ?? Ppl wan fast money today.. so far how many % of co in KLSE issue Esos quite regularly to employees?
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....
fortunefire
1,364 posts
Posted by fortunefire > 2023-12-15 17:10 | Report Abuse
just successfully sold 20% of my gtronic shares at 1.81 woohooo! thank u gtronic :)