Selling Oldtown now is a bad decision. Jacob is more than happy to absorb all your stocks at below 3.18 in the market now. They have the power to suppress the Oldtown price thus making impatient investors to let go of their stock and absorb it. If the deal of Jacob is called off, it's even better because Oldtown is easily RM4 in one year time with their rapid growth in China. Suppressing the market and making it side way for the past 6 months is most probably Jacob's doing as well.
@Dailou123 why call others idiot when they just want to take profit? if you think that 3.10 is too cheap then you have chance to buy it now, you should be happy that they are selling at 3.10!
the price is already 3.10 now, wait another few month to get additional 0.08 + 0.04(dividend) is not really realistic. but high possible that oldtown will distribute 80-90% of the net cash to shareholder for the "One Last Time". My suggestion is Sell now, if you have others share that can bring you >5~10% of profile. Else, just wait for privatize saja la.
JDE Asia is buying from the market at 3.10 now. I hope that they will not have enough shares to take it private and will have to maintain the listing status. In that case, definitely the share price will go higher than 3.18. Same like Hovid, the offer has become unconditional but to take it private they have to get 90% of all the shareholders who were listed at the date of the offer, which is not easy.
JDE offer not only to the Board, it applied to all shareholder's as well and whether they manage to get 3.10 or not is another issue.
Do not think the price can go 3.10......since all the Board Members agreed to let go.
They will not interested in maintaining the listing status as they won't go for all the hassle reporting deadline,protocols, requirements and holding AGM/EGM to seeks shareholders approval.
They only interested in the branding and the markets that OLDTOWN is conquering especially China.
Without listing status, everything can be done swiftly and profits remained back in their coffers rather than sharing with the shareholders.
Even they not getting the require 90% threshold shares, they can dump their holdings below the offer to scare those reluctant to sell at the first place and grab from the open market.
Remember cash is KING and they are the KING at the moment.
Take it at 3.10 or below..............just my opinion as a biz preposition.
Instead of paying 100% for RM3.10, they just push the price down to buy at cheaper valuation...))
Small fund or big funds in OLDTOWN only interested in good returns and don't mind taking the 10% premium, further they do not fall in love with stocks. They only interested in making monies and good returns for the funds.
As for the Board Members, they have reaped multiple thousand times returns before the listing of OLDTOWN. They are in listed CHONG NGAI KNITTING COM before selling the same to another acquire pocketing hundred millions.
So this is the 2nd windfalls for the Board through OLDTOWN after successfully developing the brand after so many years of hardworks.
If i am one of them, i would cash out now and enjoys my fruits of labor.
Rm3.1 is really under value. This is malaysia no 1 FMCG which can easily double the value in 3 to 5 yrs. CHINA mkt alone can provide this company to grow by 20% yoy. Dont understand why the owner want to cash out at this price. So short slighted. Fund mgmt and minority shareholder should block this and keep the company listed
What a waste to sell to the dutch. This is not proton. For sure we dont have the comparative and competitive advantage to compete in the auto industry and we need to sell to the chinese. Coffee business with our own secret formula and hard work and having such a big uptap market in Asia, come on la, chinaman from ipoh, dont be so cheapcake n so lazy and to run away with rm700 or rm800m. Pls make ipoh, ipoh chinaman, malaysian, and this country proud of you and make Malaysia great again. Chinese will call you 汉奸。supported u all these years to drink yr coffee, and invest in yr company. If ever the deal go through, will stop drinking white town old coffee.
They can cash out, but this is not a great price. Hate to say this, they should get IB to do a beauty parade. I think the chinese buyer from hk or china can pay even better than the dutch
The return is 5-6% (assume 2-3% dividend + 4-5% capital gain), if you dont have better stock to invest, can buy and hold for years. but for me, i rather put my money somewhere else.
Global coffee maker Jacobs Douwe Egberts BV's (JDE) takeover offer for OldTown Bhd has turned unconditional after receiving valid acceptances totalling 238.32 million shares or a 51.45% stake in the company today.
In a filing with Bursa Malaysia today, CIMB Investment Bank Bhd, which represents Jacobs Douwe Egberts Holdings Asia NL BV — the indirect wholly-owned subsidiary of JDE, said the unconditional offer will be kept open for acceptances for at least 21 days from today.
On Dec 11, 2017, OldTown received a pre-conditional voluntary general offer from JDE in a deal that values OldTown at RM1.47 billion or RM3.18 a share. OldTown's shareholders — Old Town International Sdn Bhd (42.58%), OldTown's management director Lee Siew Heng (1.34%) and Mawer Investment Management Ltd (7.52%) — who collectively hold a stake of 51.45% in the group, had provided irrevocable undertakings to accept the cash offer.
JDE does not intend to maintain OldTown's listing status.
Shares in OldTown closed two sen or 0.66% higher at RM3.05 today, for a market capitalisation of RM1.41 billion. Its share price has risen 7% since its announcement, from RM2.85 on Dec 10.
This means all shares goes at RM3.18?? Anyone know if i queue to sell at 3.18 or i just need to wait for them to offer me?
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