Nah. At most some retail players may take the bungee if they didn't read / understand properly. As iamalex pointed out, nothing has changed on LKS. Be my guest if you are selling.

Can't help myself.

On 8th May 2014, LKS is deemed a substantial shareholder by virtue of his son's shares. Read the small print remarks at the bottom (reproduced here):

"Deemed interest by virtue of his son, Liew Tian Xiong's shareholdings of 88,780,601 ordinary shares in the Company."

On 4th June 2014, Ecoworld clarified that LKS is not deemed a substantial shareholder because his son's shares does not count as his indirect interest, since his son is a director. Again read the small print remarks at the bottom (reproduced here) - and the specific announcement made to clarify this:

"Tan Sri Dato’ Sri Liew Kee Sin is not deemed interested in the 88,780,601 ordinary shares in the Company held by his son, Liew Tian Xiong pursuant to Section 134(12)(c) of the Act as, Liew Tian Xiong is a director of the Company."

I am more interested in who bought the 25 mil shares :)

Oops, I didn't see this before I posted. Will just keep it there.
http://klse.i3investor.com/blogs/QiiiGung/53311.jsp

For holders, if you believe in the stock, just hold.
For contra players / non-believers / cut loss rule etc, just sell.

For those with privilege to short sell, remember that win-win is best policy, not win-all. Good video to watch:
http://www.youtube.com/watch?v=j8-15oZarrY

Just to add in to the fun.

The total contract value is RM292.2mil with additional RM72mil alone for 2014.

RHB's TP of RM4.08 is based on an additional order of RM190mil only. This means there is an additional revenue of RM102.2mil still unaccounted for in the TP.

Please use your own calculator.

Yeah lets see what happens today & tomorrow.

@johnny cash: Great. Thanks for sharing. Seems like RHB answered the question in the title of this article "Buying Opportunity".

Closing today is beautiful. The daily chart now shows a confirmed bullish reversal pattern although some might argue that the candle today is not a full "Morning Star" as it did not pierce through mid point of the bearish candle on Friday. Either way it was a convincing reversal pattern.

Wow, strike 1. That was fast. New project to manage Tenaga Kerja Indonesia (TKI) or Indonesian Foreign Workers.
http://www.bursamalaysia.com/market/listed-companies/company-announcements/1588205

We may see a confirmation of Morning Star on the daily chart tomorrow.

@Dakewlest, ATOZ, tonylim: Thanks.

@johnny cash: We will have to see what happens over the next two days. Still early to be too eager. Patience is key these few days.

@sosfinance: Very good question. Actually I won't put my money in just from that info. We make money from price movements. It is a matter of time frame. By my calculation DSONIC has an annualized historical volatility of 56% and win rate over 3 months has been consistently 100%. I will put a big chunk of money there but not all.

I do not know enough about IOIPG to comment but if the original intention of including it as part of KLCI index goes through, maybe won't park my money in it too long.

@tewnama: Terima kasih. Saya suka membaca komen abang tewnama kat forum DSONIC - Best. Bila I tengok transaksi hari Jumaat, pedih jugak sebab kelihatan macam ada orang besar balun stok ni. Ramai semut2 yang kena kau-kau.

@JT Yeo:
Thanks for your opinions. Appreciate it. Based on your comments, there are only 3 areas which I'd like to highlight so as not to mislead other readers of the message in my article.

(1) According to the latest 2013 annual audited accounts, the company enjoys a free cash flow of RM64mil so it is not in negative cash flow.

(2) The message in my little write up is to point out that PE ratio is NOT a good measure to determine whether a company is overvalued or not so to say that a company is overpriced at PE of 39 or undervalued at PE of 5 is not ideal. It is like saying Old Town coffee is overpriced vs kopi @ kedai mamak but people find value in it. As you mentioned, the market will price in / discount any developments with the company. Well maybe sometimes it can be manipulated which is probably a good thing that Bursa raised caution so people avoid getting trapped by unscrupulous quarters.

(3) Currently Datasonic enjoys an economic moat in its core business area and up to this point, we have not heard of any negative development to this effect. This includes the supply of perishables and maintenance of solutions. Based on existing order book, the recurring income for the next 2 years should be intact. Buy Call from RHB research published when the price was RM3.63 with a FV of RM4.08 holds water.

Well sometimes it depends on perspective. I do not see anything wrong with Directors buying in shares themselves to own the company. Most companies do have starting roots as family businesses and it is not unusual to see family members in the board. Esp when Directors bought on Friday, it should signal that they are not aware of any negative / fundamental changes within the company.

Regarding institutional investors, we will see when the latest list of shareholders is out in the Annual Report for 2013.

Decided to contribute about DSONIC-CA since info on retail trading platforms are a bit sparse. I am sure everyone is aware that the conversion ratio is 6-to-1 and NOT 1-to-1.
(Source: Bursa Malaysia - Link below)

The CA is cash settled upon expiry in 12 Jan 2015 (293 days). Without looking at the time value of the warrant, the introduction price of RM0.15 means that AMBANK priced a DSONIC share at RM4.60 (RM3.72 + (0.15 x 6)) . Taking the positive historical volatility of this share, that future price value is certainly logical and achievable (can be beaten). For retail investors like you and me, just be wary that you are paying that price now and you will only win if the share price goes above RM4.60.

You may want to draw a positive conclusion from this info which is a TP of at least RM4.60. I am not sure how this will be priced after bonus issue.

http://announcements.bursamalaysia.com/EDMS/edmsweb.nsf/all/E269DEF15AC9CEFD48257CA50016EC43/$File/Table%201%20-%20Summary%20of%20the%20Principal%20Terms%20of%20the%20DATASONIC%20CW.pdf

No wonder price went down from a high of 0.47 to 0.37 in the last 2 weeks after 15 Jan. Director disposed on 15 Jan @ 0.45. Announcement is made today (30 Jan). Anyway, Kung Hei Fatt Choi. When in doubt, keep DSONIC in mind.

@Kcchongnz: Thanks for generating a discussion mate. I know it is an analogy to the content of the article but I cant resist to respond :). Based on the conditions you described in the comment, a property investor may choose to get the undervalued property instead because broken windows, tiles and garden can be rectified for less than the potential profit of RM500k but the location of the neighbourhood cant be changed.

Currently I do not own any Hevea shares. Just came in because of all the 'commotion' regarding OTB's recommendation. I do not know Mr. OTB personally nor have we met in person but I'd like to thank Mr. OTB for his time, analysis and sharing on i3. His write-ups provided useful insights into certain stocks and definitely a ++.

Just like any other reports, news, rumours or analysis, I make my own decision on whether I want to enter a trade. Sometimes I win, sometimes I lose but most of the time, it is the time frame esp. when to exit a trade. If anyone wants to blame the analyst, might as well give all your money to a fund manager / mutual fund.

Hi everyone. Just wanted to join in the fun. Now I understood why Iris has been trending so strongly. Iris is 1 of 4 companies bidding to get the GST refund for tourists project with the winner to be announced after CNY. There should be a short-listing round of two as well. Iris seems to be the most well-capitalized company amongst the bidders. (Source: The Edge Weekly)

Please draw your own conclusions. I am only sharing what I read. Don't be too hasty.

Yeah man. Maybe we have to pay trade commissions to the fengshui master.

Fengshui Master forgot to mention that the lunar year starts at the end of this month so we have 3 more weeks of timber rally. Closing price is resting at previous high - still a long way to go before it reaches to at least its NAPS. ImHO, Buy on dips should be the right move.

Maybe can ask Lillian to disclose her good fengshui portfolio for our reference so we can follow :)

Getting high huh? Their Vietnamese operation seems to be bigger than Malaysian side. Their financials look good. Net asset per share is RM 1.46 vs current share price of RM 1.13.

There seems to be breakout from previous high of 1.12 set on 30 Dec

Anything can happen in the market so we will see next week.

For today the price bounced off the SMA20 @ RM1.43 nicely and it hasn't really broken any support yet. In fact I may attribute this week's performance to the panic rally on Monday morning and today's performance on T+4 sell off since many rushed in to buy on Monday after resumption of trading.

Just re-jumped in as well. Seems like selling pressure for T+4.

Let's see if a retest of 1822 is in the cards next week.

Agree. I am not sure whether there will be much changes to the proposal after EGM for Tranche 1 but it makes sense to remove the Floating Conversion Price in Tranche 2 onwards and stick with the Fixed Conversion method OR opt for a different method to raise funds.

@twobits: Just saw your comment. I have responded to you in the original thread.

Regarding Censof, I am still seeing accumulation and the recent downside on prices are on thin volume. If you can hold, that's maybe the right move until you see stronger participation from the big players. The market response to the RCN proposal is not great which is also an opportunity for correction.

IMHO, they should have just issued sukuk (Islamic Bonds). Lets see what happens after the EGM. A recent TP issued by Kenanga did mention that with the conclusion of TEB acquisition, the TP will be raised to RM0.88.

@twobits: If you look at the Weekly CI chart, you will notice that closing prices are well supported at the 1790 level. Candle-wise, last 4 weeks have seen bearishness with a surprising bull spike on 19 Nov due to local institutions according to the media. If the bear continues, we will see support at 1784, 1775 and 1760 levels. Otherwise if year end bullish sentiment returns, we will witness a retest of 1801, 1809 followed by 1822. IMHO, taper talk is hurting the index & local institutions are not shooting.

When a company needs money, they can either borrow from banks or raise it from the public via bonds or issuance of shares. This is just another way to raise money from private institutions / funds. This is not sudden, they proposed this on 14 May 2013. Btw, RCN is not issued yet and there is no conversion from this so far.

My guess is they need money to maintain a good cashflow for their projects in 2014. Since the amount is quite huge, if the projects work out, it usually means better company earnings. Every project have its margin. For e.g. if I buy a product at a cost of RM1 and sell for RM2 then I made a 100% return. So in other words, if the projects work out, it means good things for investors.

You can also think of RCN = Bond + Warrant.

@caven101: I am also learning myself. RCN is Redeemable Convertible Notes or convertible bonds which is a form of private debt security used by companies to raise funds. I made a quick write-up on what I understood personally from the RCN circular in the comments above. Hope that helps and if anyone noticed anything inaccurate, please offer clarifications.

Since Censof is calling for an EGM, the proxy form is for shareholders to represent other shareholders who could not attend the EGM and cast their votes on behalf or according to the intention stated in the proxy form.

Punters on contra have to settle their trades within T+4 days. One observation today from the sales & market depth is that buying support was present but transactions are mostly sell downs so there is desperation to sell within today.

From the trades today, it looks like contra exit.

Hi guys. I was reading the circular with interest. Please correct me if I am wrong on the following understanding on Censof's Redeemable Convertible Notes (RCN):

(1) RCN is NOT issued yet. It was first proposed on 14 May 2013 and conditionaly approved by Securities Commission (SC) on 25 Oct 2013. CENSOF is calling for EGM on 29 Nov to discuss this which is one of the pre-requisites requested by SC. Btw, according to news, this is the first RCN issued in Malaysia.

(2) RCN is actually a convertible bond with both a fixed & floating conversion mechanism. It is used to raise money without giving voting rights to Subscribers. Basically Censof needs money for the upcoming projects maybe for the GST / Myanmar venture. They are raising funds by issuing RCN instead of shares so CENSOF maintains control of the company since RCN has no voting rights. The beauty of RCN is that Subscribers are entitled to 2% interest p.a. and can convert it into shares if the price is right within 3 years (2016). It is like issuing a bond with rights for subscribers to convert to shares or company to redeem back the notes.

(3) The two methods for RCN's price conversion to shares are FIXED or FLOATING which the Subscribers can choose when they convert. The figures given in the circular are EXAMPLES (illustrative) only. I believe the Floating conversion price is taken by taking the average of 3 consecutive closing prices out of the 45 market days before conversion x 88%. The example given is referencing the prior 45 market days - just an example. Actual price should be taken when conversion takes place - that is why it is called FLOATING.

(4) RCN is divided into 4 tranches with Tranche 1 further broken down into 20 sub-tranches (RM1.25 mil each). Censof has the discretion not to issue Tranche 2,3,4. Tranche 2,3,4 Fixed Price have not been determined.

(5) With this arrangement, the major shareholders should be more inclined to maintain a HIGH & STEADY share price since conversion will defeat the purpose of issuing RCN in the first place unless the company is not doing well. IMHO (pls take with pinch of salt), it is in the interest of major shareholders to maintain price of at least 0.6034/88% = RM0.685 for Tranche 1. This is simply because if the shares are cheaper, each RCN of RM50k can be converted via Floating Price conversion into more shares = more control of company. In other words, as an example, RM25mil for Tranche 1 if converted can either be 10% of company (41 mil shares) or 12% of company (47 mil shares) from the current market cap of RM230.42mil.

(6) For the RCN Subscriber (AOF), it is also in their interest to allow the share price to trend up until at least after 2015. This is because their 'rights' for conversion last 3 years and they already have 12% gain in their pocket (conversion with Floating Price). Imagine if the GST play works great and the share price trend up to RM1.80 by 2015 after all the financial gains from 2014 are realized, we are talking about > 200% gain. If I am AOF and they have the money to 'lend' to CENSOF via RCN, why take profit now, ride it til end of 2015 or beyond. Anyway, in general, people buy bonds for certainty in income. I have to say they are the biggest gainers here should the company do extremely well and still gain if it doesn't.

(7) Lastly, this RCN is old news. The first announcement of CENSOF's proposed RCN is on 14 May 2013.

RCN aside, IMHO (assumptions) the price action on CENSOF last week was due to some foreign fund exits & market sentiments. +ve sentiments should have returned after last Friday. The question is whether you believe in this counter to buy on dips.

TIME's shareholders can reject the offer :)

Relax guys. When CENSOF bought over 45.03% of TEB, they are required by Securities Commission's Code of Take-Overs & Mergers to make a Mandatory General Offer (MGO) [>30%] for the remaining shares (54.97%) in TEB.

TEB is advising the shareholders to reject the offer because it is NOT FAIR if you read the independent advisory issued to shareholders. If you read further, the TEB board mentioned that it is NOT the intention of CENSOF to privatise TEB. They also noted that CENSOF acquired 45.04% of TEB to leverage on TEB's resources & infrastructure. One can only speculate that the infrastructure mentioned is Dagang.Net & ties with Customs department? This play is superb, giving a life line to a loss making company and synergizing for GST play.

Careful with TEB, Censof offered a MGO for 20sen cash (only) a share for remainder of TEB shares (~55%). I believe it is better to hold Censof.

IMHO the huge volume yesterday was due to institutional investors / funds taking a long position in this stock. Almost 50% of transacted volume yesterday hovers around 0.595-0.60. This should form the new base moving forward. Bear in my that the recent TPs may not have factored in TEB and potential projects in 2014. The meat remains in how they will work out the payment exchange.

Wow according to this Kenanga Research report, they expect the 2014E Net Profit to grow by 65.5% over 2012A or 20% over 2013E although I think their TP is very conservative. Oops, KLCI green.

Ei no prob. I have been reading all your outlooks as well.

Hope you guys don't mind if I add on. Looking at the charts, this counter is very bullish. It seems to have bounced off 0.53 support last Thursday and is hugging the Bollinger band closely. The momentum as indicated by RSI is bullish and has plenty of room to shoot up. Volume-wise, there is on-going accumulation. The volume for the 1st hour this morning alone is 45% of traded volume on Friday. We should see more action before closing today. Immediate target is 0.58 (Opening Price today), 0.62 followed by 0.645.

Fundamentally prior to GST announcement, profit was growing over the last couple of years. Their recent acquisition of TEB should better enable them to provide an all-in-one solution from training, accounting software, payment gateway / services and system integration. Existing clientele of government agencies offers plenty of opportunities.

Eitherway, due to the time constraint (17 months will come by in a jiff), they will take a big slice of the GST pie as announced in the budget whether directly or indirectly via other contractors. Actually I am not worried whether their revenue will grow, I am more concerned on whether their capacity can handle this in 2014.

Agree with CrossTrendTrader.

Agree with twobits. Actually the market is already prepared for DIBS with Bank Negara's announcement a few months back. IMHO, PM is just adding more punch to it in case of compliance issues. As quoted by many developers commenting on the Budget, most foreigners are buying properties above RM 1mil anyway.

Because those who received PM's Budget speech bought in at 4pm Friday in huge volume. They are offloading to the 2nd wave now. Just normal trading. Good luck.

Alright bro.

Garang banyak suara garang,
Sampai terasa dalam berbisa;
Orang banyak perkara orang,
Berbagai bangsa bermacam bahasa.

Kera merebut cemara remuk,
Capai kedangsa kelat dan masam;
Negara disebut negara majmuk,
Berampai bangsa beradat resam.

Kayu cendana di tepi paya,
Di belah lima kapak berhulu;
Melayu Cina Punjabi India,
Telah bersama sejak dahulu.

Hujan banjir, kemarau parah,
Air melimpah di sungai jua;
Usahlah bicara kulit & sejarah,
Pandang ke depan, Bursa bersama.

Rangkap 1-3 Source:
http://mamasentimental.blogspot.com/2013/04/pantun-orang-kita.html)

Rangkap 4 Source:
Yours Truly

Adding on to my comment yesterday regarding the big stake sell down by the Director, I wished to amend further. Just recalled that there were 'rumours' on 21 Oct, several online brokerage platforms were hacked incl. some trading accounts for e.g. TMS. This coincided with the date of the total sell-down of 66 mil shares by Mr. Chan and then total buy-back on 24 Oct - maybe as a follow up by Bursa.

To give the director the benefit of doubt, this could be the logical reason why someone would sell down his entire stake after taking the trouble to sign agreements with ZTE (finance, supplies) and ZNV (global surveillance - isn't that specific?). There could be some projects brewing in Iskandar that we have not heard of yet.

Anyway trade with care since this water is infested with ...

KLCI was volatile today - taking a rest before the next move. It almost looked like a big contrarian play on the index today. Well the budget is quite positive apart from sentiments around GST.

We will see how the abolishment of sugar subsidy impact the consumer products sector. Reduction of personal tax and half month bonus of civil servants should boost the economy by a tiny bit. The policy on RPGT & DIBS should impact the developers for a couple of weeks before earning reports kick in. GST play will be the focus. HSBB2 may benefit some counters.

Interesting counter. Noticed how he timed it within the announcement period. Sold at 0.09, re-bought everything at 0.085 so he made a 5.5% gain. Mathematically speaking, if he doesn't need money, he can buy another 3.6 million shares (5.5% * 66 mil). Apart from brokerage & stamping fees, free marketing for company & more bullets to shoot. He is probably still collecting at 0.085 depending on how the market digests this piece of news. Mr. Chan is a big shark.

With a close above 1818 today, the break out is confirmed. We are now looking at support between 1809 - 1811.