There was a total volume traded at approx 4.6 mil lots (excluding yesterday's trading volume) during the surge since 5th January, 2018 with very little profit taking till yesterday.
As of yesterday, only 1.7 mil lots were traded and VIZ is trading at a crawl of 180k lots as of this morning. I reckon VIZ price will still goes south, estimated at RM 0.165 at minimum as majority investors are still reluctant to deal at a lower price. Only time will wear them out. I foresee VIZ will have very little activities for the rest of the week.
Nick, the additional listing is to announced the launch of ESOS (share issuance scheme) which will dilutes the VIZ's EPS. That will makes VIZ's share less favorable and thus pushing down the price.
VIZ is basically a good company with healthy p&l report and is trading at only 1.58x its book value. It has promising future and I am waiting for the price to comes down too! :)
Vizione acquire WSSB via 976.2 million share issuance at 0.11 and also propose undertake private share placement up to 1.7b new shares assuming at 0.11. Total is abt 2.7billion new shares.
With existing shares 900million+ shares floating.. after complete will have abt 3.7 billion shares dilute the share price.
New shareholder WSSB and from private placement shares value at RM0.11 which is much more cheaper than current market price.
With so many new issuance shares and under private share placement and new big shareholders mostly at 0.11+...
Total new new shares is abt 3:1 existing shares.. means the share price already diluted 3X lower but big players push up higher to unload at profit. With new ESOS listing etcs.. so many new shares floating waiting to unload at high price for new investors.
luckily not right issue. Private placement would not have much changes on stock la.. last time private placement also not much changes on price. Unless you are contra player then u should worry now..
The private placement with the new 406.71 million shares, will be offered at an indicative price of 16.5 sen per share. That means, the current trading price will be hardly affected. Still, there will always be those who are not aware of the situation, will start selling by tomorrow.
"With a publicly traded company, the percentage of equity ownership that existing shareholders have prior to the private placement is diluted by the secondary issuance of additional stock, since this increases the total number of shares outstanding. The extent of the dilution is proportionate to the size of the private placement offering. For example, if there were 1 million shares of a company's stock outstanding prior to a private placement offering of 100,000 shares, then the private placement would result in existing shareholders having 10% less of an equity interest in the company. However, if the company offered an additional 1 million shares through the private placement, that would reduce the ownership percentage of existing shareholders by 50%.
The dilution of shares commonly leads to a corresponding decline in share price, at least in the near term. The effect of a private placement offering on share price is similar to the effect of a company doing a stock split. The long-term effect on share price is much less certain and depends on how effectively the company employs the additional capital raised from the private placement."
Viz has a total of 3,538 mil shares trading at RM 0.175 as of yesterday and the newly proposed units has a total of 407 mil shares issued at RM 0.165.
If you take [(3,538 x 0.175) + (407 x 0.165)]/(3,538+407), you will have RM 0.174. The price difference is insignificant. Nevertheless, there will be unsuspecting investors who will sell their share as of tomorrow thinking otherwise.
Nobulshit: The new share issuance and new private share placement end of last year at 0.11 with total no. of new shares at 2.7billion.
The share price went up because big players buying n pushing it up prior to financial qtr result release out.. coz they already know upfront the fin. result and alot of retailers will buy high make it easier to unload with fat profit.
the latest quarter of 6 to 7 mil jz part of the guaranted profit from WSSB. there net profit of rm80mil in 2 years with Rm3.6b of orderbook Assuming each year have 40mil, still have 34mil not yet counted for this year
Abt 4 billion total shares.. where most of it were new shares abt 2.7 billion issued and placed at 0.11 for the big shareholders.. they holding free paper shares convert money by selling high to normal retailer at 0.17-0.20 recently.
Of coz the bigplayers will try hold the price so wont drop too much till their entry cost.. but they have big margin to play with unlike new retailer thats enter at high price.
Yahoo coldinvestor buy 52 week new high stock again , as I say coldinvestor no need 3year will become homeless soon。solutn buy 0.31 sapura 0.91 , coldinvestor core skill buy high sell low la, coldinvestor in stock market you talk loud ? You dunno died how to read is it? , pui la you
ESOS open at 0.117 current price is 1.700,,,,with coming CNY, current economic situation ,GST issue and GE14 nearby....I felt current price will drop lower and steady back after GE14 or CNY...definitely all staff will get the ESOS...and with current salary surely they will sell it...this is my opinion only laa...
1. Details of corporate proposal Whether the corporate proposal involves the issuance of new type and new class of securities? N Types of corporate proposal : ESOS Details of corporate proposal : Share Issuance Scheme No. of shares issued under this corporate proposal : 220,000 Issue price per share ($$) : 0.1170 Par Value ($$) (if applicable) : 0.000 Latest issued share capital after the above corporate proposal In the following Units : 3,538,715,665 Issued Share Capital ($$) : Malaysian Ringgit (MYR) 402,454,942.650 Listing Date : 18/01/2018 Remarks: You are advised to read the entire contents of the announcement or attachment. To read the entire contents of the announcement or attachment, please access the Bursa website at http://www.bursamalaysia.com
Possibly drop in short term due to uncontrollable market mechanism and selling but will definitely go up in long term as long as the company is continually doing well. This is a good company though. I like it.
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....
Nobulshit
76 posts
Posted by Nobulshit > 2018-01-17 10:35 | Report Abuse
There was a total volume traded at approx 4.6 mil lots (excluding yesterday's trading volume) during the surge since 5th January, 2018 with very little profit taking till yesterday.
As of yesterday, only 1.7 mil lots were traded and VIZ is trading at a crawl of 180k lots as of this morning. I reckon VIZ price will still goes south, estimated at RM 0.165 at minimum as majority investors are still reluctant to deal at a lower price. Only time will wear them out. I foresee VIZ will have very little activities for the rest of the week.