I think the key concern many of the sellers have is why would a profitable company like SMRT buy a loss making MEGB? Is it necessary to expand this way? I think the logistic benefits that they can get out of this deal is worth it but concern will be on the cash flow of SMRT... if there is any news right after the due diligent which may benefit slightly on SMRT, I think SMRT will start to recoup the losses.... strategically its a good deal, therefore short term investors don't like it...we should buy cheap and long it 6 months..
yeah you are right. if current results already exceed 2013 FY... the upcoming 3Q results will not really matter... SMRT is an all star stock and will surge in the coming months no matter what...
Smrt had to foot out money to buy Megb and maybe have to do rights issue and investors don't want it. Megb did nursing and apparently scam. Churn out too many nurses but not to industrial standards so it seems.
That's why SMRT is doing due diligent study on the deal before confirming. What if later it announce that SMRT is aborting the deal? :) possible outcome... Stay tune... Now everyone ca place their bets... Brahmal holds a lot of the warrants for SMRT.... He's not stupid ok... I just don't know what's he up to.... Anyone with some idea, do share... Thanks
Maybe he will convert all his warrant and help into part of SMRT funding...we never know yet...He always see things ahead of many ppls... here is what he bet on another unpopular industry where still not much ppls interested in... http://m.theengineer.co.uk/1019462.article?mobilesite=enabled
Drop.drop......usa index climb high.high.malaysia index drop drop.... alll petroleum drop till seriously kam lan… ..and many stock affect too…....siao….
rohank, the balance 10% of Siva's stake should be taken up by Creador as it is part of the Joint Offerors.
Please take note that Siva is not buying ALL of the properties. He is only buying FOUR PROPERTIES, Cheras Campus,Kota Kinabalu Campus, Kuching Campus and and Pasir Gudang Campus. The remainder properties will be put up for sale and i believe no buyers have been mentioned at the moment.
I suspect Siva sold it to Brahmal at a cheap price because he gets the properties at cheap price (i.e. 1x book value) and he gets to lease it back to Masterskill. For all we know, he is probably getting funding from Brahmal or Creador for the purchase of the property!
Siva is the one laughing all the way to the bank taking the properties at about 1x book value. We don't know who will buy the remainder properties. If it is also sold at 1x book value, it would have already been reflect in the current nta of the company. Unless the properties are sold above book value, then yes, we might see additional value accrue to MEGB and ultimately SMRT
Warrants are too fluctuative and high risk for SMRT, considering we cannot see the floor for this stock. I would buy the warrants provided the company is historically stable in price. With warrants I couldn't participate in future corporate exercises as well.
Similar article as in the Star appears in The Edge Weekly this week....SMRT confident of Turning Masterskill around with Creador. Well. with Brahmal around, nothing to worry. When the dust settle, price will shoot up again.
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....
Gr Gong Ryong
345 posts
Posted by Gr Gong Ryong > 2014-11-13 15:00 | Report Abuse
smrt should rest awhile for the next upleg.