The conversion price for WC too high,now the mother is totally at offer price.The conversion price is 3.85 if + current WC price 0.76 = 4.61.So,what do you think about the current mother price now? Just dispose all your WC & sail with the mother.
Based on the history, the dividend might announce in mid December or end of December.. Kulim need to break 3.62 and fly to 3.70-3.80. I hope it would come earlier next week!
Instrument Type Warrants Description Warrants issued pursuant to the Free Warrants Issue Listing Date 03/03/2011 Issue Date 28/02/2011 Issue/ Ask Price Not Applicable Issue Size Indicator Unit Issue Size in Unit 156,174,319 Maturity Date 27/02/2016 Revised Maturity Date Exercise/ Conversion Period 5.00Year(s) Revised Exercise/ Conversion Period Exercise/Strike/Conversion Price MYR 3.8500 Revised Exercise/Strike/Conversion Price MYR 3.1300 Exercise/ Conversion Ratio 1 Warrant: 1 ordinary share of RM0.25 each Revised Exercise/ Conversion Ratio Mode of satisfaction of Exercise/ Conversion price Cash Settlement Type/ Convertible into Physical (Shares)
it is true that Kulim-WC strike price have been revised to MYR 3.13. With current pricing of WC = RM 0.775, it only command premium of 6.7%, theoretical gearing = 4.72
If you willing to take higher risks for higher return (or losses) in Kulim, then get the warrant. Or else buy the mother shares which will give you some dividends. As calculated by nightshade above, the premium and gearing offered by the warrant is actually quite attractive.
Today slightly sold down for profit taking but well-supported, the pattern same as 7/11/2013 and finger crossed it will move higher tomorrow ... Kulim Go! Go! GO!
Last week also buy in drbhcom-ct at 2 cent already let go at 3 cent. Take quick money also. This week I buy in rsawit-ci at 2.5 cent hope can make quick money also at 4 cent.
It is not a good bet.. This company performs quite well and it is a long term stock to invest in! I hope they are giving some dividends at the end of this year.
OPS, why do you want to sell? the results are coming out soon, and it should be good for palm oil industries as well as O&G businesses they were venturing into. It might go for RM4.00 and further more!
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....
Hustle
3,615 posts
Posted by Hustle > 2013-11-08 08:32 | Report Abuse
The conversion price for WC too high,now the mother is totally at offer price.The conversion price is 3.85 if + current WC price 0.76 = 4.61.So,what do you think about the current mother price now? Just dispose all your WC & sail with the mother.