1) KNM Shareholding 10,000 at RM0.68 = RM6,800 (before right issue ex-date) 2) KNM Shareholding 10,000 at adjusted price RM0.65 = RM6,500 (adjusted price on right issue ex-date 25/3/2015 is (0.68+0.5/5*1)/1.2= 0.65 3) KNM-OR (right issue offer which can sell on market during 27/3/2015 if not mistaken) shareholding is 10,000/5 *1 = 2,000 KNM-OR unit. Right Issue price is closing price 0.68 - 0.50 = 0.18
So, If current price is 0.63, your shareholding 10,000 units x RM0.63 = RM6,300. If KNM-OR current price is 0.18, 2,000 unit x 0.18 = RM360 and you sold at RM0.18 then after sold KNM-OR, your shareholding will be 10,000 units (not changed) and your losses will be RM6,800 - RM6,300 - RM360 = RM140
Or if dont want to sell KNM-OR, let say apply right issue shares 2,000 unit before closing date. Need to pay 2,000 x RM0.50 = RM1,000.
After that, shareholding will be 12,000 units, then your cost will be RM6,800 + RM1,000 = RM7,800 Let's say market price now is RM0.63, then 12,000 x RM0.63 = RM7,560 then your losses will be RM7800 - RM7560 = RM 240. But you entitle for free warrant 1,000 units, let say warrant price is 0.05, then your losses will be RM 240 - (1,000 x RM0.05) = RM 190
But let's say KNM shares on x/x/2015 is RM0.80 Your 12,000 shareholding is 12,000 x RM0.80 = RM9,600 Warrant you earn profit let's say 1,000 x 0.20 = RM 200 then you might have profit. RM 9,600 - RM 7,800 = Profit RM 1800 + RM 200 = total RM 2000
Just for illustration purpose, or can purchase KNM-OR to have capital gain on sales of KNM shares 2,000 units and free 1,000 warrant sales.
Long keep wait the current price up.. Must got profit la..
There is probably some misconception about target price . wheN an analyst gives a TP it is for a time frame of ONE YEAR, not usually anytime soon. Maybe a good idea to shift to another counter like Redtone or Signature International or MYEG or Tenaga where you don't have to WORRY
General Lee lost support from public after so many year of underperform . Just he himself alone thinking he was doing the right thing but share price show no confident on him
I have always like KNM counter.. dynamic & progressive..
BUT.. however due to the volatility of crude oil recently, be watchful enough to cut losses unless you purchase at low prices / have extra bullets to wait for long term..
for new traders just enter, be watchful again.. even at 0.625 it does not guarantee this price is attractive..
Crude oil prices since last week has yet to recover.. KNM drop from all time high 0.78 till 0.625 today in less than 7 days!
Index going up and this counter bleeding daily doesn't it tell you something? And yet people are so ever hopeful that this counter will stop bleed and start to run again.. Yes go ahead and keep hoping..
Entitlement date is on 27/3. If you don't want to subscribe, you can sell your KNM-OR from 30/3 to 3/4. The application form will be sent to you on 31/3.
Thanks for the info. the rights issue will be "KNM-OR"? I tot we just buy from the online trading acc or via broker? So need to complete the application form and send back to KNM? How about the payment? Sorry bro, i have not done this before.
" Posted by wslywei > Mar 25, 2015 12:54 PM | Report Abuse
Entitlement date is on 27/3. If you don't want to subscribe, you can sell your KNM-OR from 30/3 to 3/4. The application form will be sent to you on 31/3. "
normally b4 ex u r auto entitle to the RI (tat was yesterday). I'm not sure if buy from today still entitle or not. After ex, normally price will come down for a while till warrant comes out. unlike Abric is abnormal.
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....
酷睿齐聿
104 posts
Posted by 酷睿齐聿 > 2015-03-21 19:02 | Report Abuse
renewable energy.....90cts ahead