My gut feeling is that this March 2016 quarter is going to be disastrous hence the share price tanking.

i must thank Aji a lot as it's the most I've ever made from any counter.

In the past I've had many near misses e.g. United Plantation, Carlesberg, Dutch Lady & Digi where I sold just before they made a vertical take-off.

I won't complain if > 15 but I think that's wishful thinking. Don't be so greedy la. > 10 cukup.

I'll consider getting off the bus if the share price > RM4

May 13 AGM - wonder what the door gift and the food spread would be like hehe

Agreed Feng that there's a fair bit of leasehold property - maybe there's pros & cons. But I really am of the opinion that the directors' remuneration in comparison against dividends is egregiously unfair. Thinking about expansion plans when it comes to dividends but the thought escaped their minds when rewarding themselves.

For comparison, the ratio of Dividends to Director Rem for Sports Toto was 316m : 33m whilst Public Bank 2124m : 64m

The tactic adopted to speed up the AGM is to make the members suffer from thirst & hunger (as no refreshments were served before the AGM) which will ensure that they will avoid long & difficult debates - Truly a capable bunch !!

Some points raised at the AGM today which I feel all in this chat should be aware of :

1) Dividends shared among 4312 shareholders (Pg 119 Ann Rept) at 2 sen = RM8.9m. Remuneration shared among 8 directors = RM13.2m (Pg 68 Ann Rept) !!

2) Total cash = RM181m & Retained Earnings RM1.145b. Why cannot pay dividends? Supposedly need cash to expand overseas.

3) Highlighted that revaluation was not done. Why? The CFO gave a somewhat cock-and-bull story. I wanted to counter but the chairman was by then trying to rush through. My comments to each remark is within brackets.

- that if a revaluation is indeed carried out, the depreciation charge would increase and "make KJ less competitive" - (Yes depreciation charge will rise but not as much since most of the increase in value would come from the land for which there's no depreciation and not the structure. As to "less competitive" - I'm puzzled as to how)

- Revaluation fees are expensive, about RM300k (peanuts by KJ size)

- Once Revaluation exercise is chosen, it must be done every 5 years. There's no back-tracking to the cost model with revaluation. (ok agreed but get it done)

- CFO asked the attendees as to whether they will accept a drop in value if revaluation is done in the future. (First of all, property prices normally increase. Even if in the rare occasion the value drops,it will not affect the all-important Retained Earnings from which dividends are paid. It will only reduce the Revaluation Reserves)

From the forgoing, there's a speculation that this management may harbor intentions to asset-strip the company i.e. buy up all the loose shares for cheap, then make an offer. Once taken over sell the various precious properties.

Any comments??

Picked up some Digi at RM4.65. It's hard to say where the bottom is.

I hope I'm not catching a falling knife !!!

I'm on standby but I've exhausted some of my ammo already

I am

Subject to the business progressing as well as in the past, I suspect that the price should now trend upwards. There's no incentive by a corporate raider to stifle the price so that it can buy the co for cheap.

Looks like much ado about nothing - a mere distraction. Well I hope things will normalise with a regular dividend stream. To make up for the dearth of dividends, perhaps the shareholders should be rewarded with a nice bumper quantum. In exchange, the board and management will gain some shareholder goodwill.

But knowing Can One culture, KJ will be stingy with dividends. They want to take their money to their graves.

EPF continues swallowing gobs of Digi providing much needed assurance.

No matter how convinced you are about a stock to the extent you keep accumulating it, there will doubts in your mind if a respected institution keeps dumping it - which in reality could be due to a host of reasons other than it the stock being overvalued.

EPF has bought back 5m shares - a significant relief from the recent sell-off spate

who's willing to go in at 4.73?

2016 year-to-date EPF's stake in Digi fell from 13.98% to 12.09% but its stake in Maxis rose from 6.80% to 7.70%. hmmm... makes one wonder what's going on. Noted though some postulations by Wow123, Clarence etc

Maxis price taking a real beating but Digi seems to recover a bit

Managed to buy some at 4.77. The whole idea is to lower my average cost.

I'm not particularly crazy about this stock ever since the maternity thing. It feels more like a cooperative than a profit-maximising company. In fact the management should announce the impact on the bottom lines so that investors can make an informed decision on this hair-brained idea.

Look at the announcement titled "Others".
Note that dividend is only contingent upon approval at the AGM by shareholders.

I heard from BFM this morning that Digi plans to give effective next month 6 months paid maternity leave.

I wonder what's the impact on the bottom lines on this insane policy, knowing very well that many have intentions to breed like rabbits. Hmmm ... let's target 10 kids so that I'll have 5 years paid maternity plus annual leave and not to forget great medical care.

Maybe that's why the share price tanked a little at yesterday's closing.

It appears from the 2015 Annual Report that no revaluation of properties was done since there's no revaluation reserves created.

If you recall (look up this chat about a year ago) Retnam commented that at the AGM, it was stated by the senior management that if a revaluation was done then, the NTA per share would increase by approximately 50+ sen.

Agreed with Juni - uncertainty will keep investors on the sidelines as it's akin to placing a bet on whether it'll be heads or tails.

It also bestows tremendous powers to the decision makers who decide price-sensitive info.

The relentless selling of Digi & buying of Maxis by EPF continues unabated

He also hopes for some transparency in the bidding ... but it's an alien concept over here

You are absolutely right!

I pointed out to the person that the proposal is in fact out-of-date & the price should be revised upwards as the company in the mean time had made some good gains.

I asked why isn't EPF demanding for higher pay out. That person responded that they could wait - as a small token they declared some dividends albeit pittance.

They are playing a waiting game but it's a balancing act. If they make too much profit, declare puny dividends & keep the share price low then another bidder with deep pockets might appear for this undervalued stock.

I just had a conversation with the person involved in the Aspire deal and I'd like to share the following facts:

1. EPF will not budge from 3.30
2. EPF is funding the entire deal and they are pinning their hopes on the evil Mr Chee to take this company to greater heights
3. It requires a 75% majority
4. Can-One can vote as a party who supposedly has no interest in the deal
5. It's possible that they are hoping that the shareholders will grow weary and give up

Comments anyone?

It's stagnant. That's one of the impact of high dividend payout.

Perhaps another bidder?

Btw shareholders will have to wait until they are old & grey before they can receive the pathetic dividend on 30 Jun. KJ need not pay out of profit from operations but from returns from money market placement.

I've just started eating chunks of P&O shares - looking forward to the facts, rumours, gossips & inferences on this company.

Makes no difference - The cake was just sliced into smaller pieces. 1 cake cost $10 therefore 1 quarter of a cake is $2.50 & one tenth = $1 and so on

Angie - yes digi was worth about 30 at one time. Then they had a stock split - 1 share split into 10 to ensure more liquidity i.e. encourage more trades. Your friend told you a true story - kisah benar.

Maybe to return AK the favor of lending 2b?

EPF has been literally dumping Digi but picking up chunks of Maxis ... anyone knows why?

Called off is better than trying to rip off the minority shareholders by buying shares for a song. Then at least they can focus on the business instead of the wheeling & dealing. E.g. There won't be maneuvers like ensuring that share price does not rise too much.

If a company has got a good business model which is tried and tested and operations are profitable, then efficient market hypothesis dictates that the price will rise concomitantly. Rational investors are not going to pass up a good bargain.

Looks like we got whacked!

WTF are the authorities doing? They are trying to wear the minority shareholders down. The only way out of this ridiculous predicament is that a white knight with a better deal comes along.

I guess the next best thing to do is to raid the larder - makan cukup2 at the AGM, collect the door gift & make some noise.

Can One can accept but the See brothers & other rational minority shareholders with ability to hold will not accept. Is it enough to block the deal?

I heard in the BFM channel today about government cracking down on illegal gaming - that's a good start perhaps long overdue. I hope it just does not remain an announcement with no follow-up.

Another question - If Can-one is not regarded a party with vested interest (which although in the opinion of most if not all, it's otherwise) then can its vote tip the balance and allow Aspire to acquire KJ for a song?

A noteworthy point is that Can-one has large borrowings to pare down so they need a good dividend pay out from KJ.

23 Mar is D-day - the question in everyone's mind is whether there'll be another postponement. http://www.thesundaily.my/news/1571463

The EPS of Magnum is lower than Toto - that's why the price is low & the dividend likewise

No good news Angie except if the govt takes note that the excessive sin taxes & GST is slowly killing this goose that has been laying the golden eggs all these years by driving the punters towards illegal gaming.

The Govt has no money so thinking short term, it raises the sin taxes on tobacco. Consumers buy smuggled cigarettes - for which the dumb govt cannot collect taxes but benefits certain individuals. So BAT closed down its local factory & put 230+ people out of work. Govt also raised alcohol taxes & same story.

Are they going to raise gaming taxes despite the current exorbitant gaming taxes & GST Toto pays & drive punters to play illegal or are they going to treat the goose that lays the golden eggs with well-earned respect & at least remove the GST?

CNY effect

maybe someone is supporting it & ensuring that it will close not below 3.39

I think that those with vested interest i.e. EPF & Canone are not allowed to vote on this deal. But then they can always pull the Sime Darby stunt.

Based on the papers, the current price is the year high - some hope on the horizon

Would they not ultimately require shareholders' approval?