Can anyone please kindly explain this statement: On behalf of the Board, TA Securities wishes to announce that AMEDIA had executed a deed poll constituting the Free Warrants today and resolved to fix the exercise price of the Warrants at RM0.25 each. The exercise price per Warrant represents a premium of RM0.0378 over the theoretical ex-bonus price of RM0.2122 due to the Bonus Issue of Shares�based on the five (5)-day volume weighted average market price of AMEDIA Shares up to and including 11 December 2012 of RM0.4243.
Let's say I have 1000 shares bought at 0.400, what will I expect next? Thanks.
ok if you already bought 1000 share at 0.40 cents and if you hold this share until the bonus issue ex- date you will entitle to get another 1000 bonus share + 1000 share you bought total will be 2000 Amedia share at the same time you entitil to get 1000 free warrant (amedia-wa). example if Amedia trade on the last day before it ex-date is 0.46 cents the next day Amedia will start to trade at reference price 0.23 cent each the and free warrant price start trade at reference price 0.005 cent maybe shot up to 8-10 cents depend on that day performance. This warrant can convert to mother share with convertion price 0.25 cent within 5 year. Hope this can help you understand .
The low exercise price for warrant is very good for those who opt for bonus issue. No wonder they keep holding down the price, anyway watch carefully for it price and volume action.
For those who want to convert the warrant to share, low excercise price is good. For those who own the share, low exercise limit the upside potential ..... Overall, it is good for long term investors.
Lower exercise price is good for free warrant to trade at higher price when it go for listing. I think tomorrow onward this counter will start to climb until it ex-date by end of this month.
If price goes up, bonus issue and warrant are good. If price goes down, both will be worth less. Clearly, most of us think amedia have good future in long term although short term still rely on current demand trend.
if i will you i will hold it..... because your cost price is low..... most share if got bonus issue will go up until it ex-date.... imagine in last day before ex-date Amedia trade at 0.48 cent the next day will trade at 0.24 cents .... than you can sell your share at 0.24 cent same time you still got free warrant. This free warrant can easy worth 8-10 cent depend on that day performance....
i can see someone park to sell in 0.43,0.435,0.44,0.445,0.45. at the same time keep slowly collect at 0.425 cent with unlimited top up volume to collect. Maybe wait until announcement out....and the show start
ex-date fall on 26th mean last date trading is on 24th Dec.... This is not a good date lah... it better fall on 19-21 dec... Why i said this ? Most people will holiday start from 22-25 Dec. Than who want to goreng it ? Most people still in holiday mood...
Amedia share only got 250 Million is easy to goreng it the Big crocodile want to do it. Can See big Crocodile Block again at 0.455,0.46,0.465,0.47 cent while collecting at 0.45 cent....afternoon may close the road block after collect enought share..... i guess this share can goes up to 0.55 cent before it ex-date to make warrant more valueble to trade when listing
Depending on your investment objective. Many short term investor may already exit. If you are long term investor and think to hold for few years for >100% return, then you must have gut to hold it. Amedia is the stock rised form 20 cents to RM1.2 and then 30cent again. Strong heart is a must for amedia. Make your own choice.
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....
Jerry123
2 posts
Posted by Jerry123 > 2012-12-12 19:56 | Report Abuse
When is the ex date?