Hlind will certainly go lower after Ex, anyway you will get 1.08 Narra in return...whether you can make or not depends on how much Hlind trades after Ex and how much Narra trades upon listing of the new shares
I put most of my money on this counter. Will see if the gamble is profitable soon; after ex-date. I know a senior person from HLind group is buying big also though my remisier.
I think many people will sell Narra after ex if Narra remain above RM 4. Because its fundamental not as good as HLI. I shall keep HLI even after ex, because I believe in its fundamental. I'm an investor, not trader. Hope we exchange ideas here, not here to encourage people to buy or sell. Hope we can help each other to get more updated and relevant information. Good luck and God bless everyone.
Price shooting up as expected. My preference is to hold Narra as it's projected eps is 0.23 and it's peers are currently trading at 20x PER. Furthermore they are currently embarking on their expansion project which will double their production capacity. So barring a collapse in cement price, it should have more potential.
After the divestment of the concrete and cement business to Narra, HLI will still have Yamaha, guocera tiles, fibre board and newsprint which contribute an eps of more than 0.50.
erico, the writer's assumption on the paid up is erroneous as it is 379M and not 479M and as such the computation on value that followed from that is flawed.
After the capital reduction and share consolidation exercise in August, Narra's issued and paid-up capital became 31,093,800 shares. They are issuing 348M new shares to HLI so their total paid-up became 349M. This info can be obtained from their Bursa announcement.
So HLIND ex at RM7.51. It will start trading at RM6.43 tomorrow. Very like it will gap down. Don't know can sell at what price? And all eyes will be at Narra starting tomorrow. Don't know what is it price on 29.10.2014 when its new shares start flooding the market???
Under the Capital Distribution, entitled shareholders of HLI will receive 1,080 Narra Shares for every 1,000 HLI Shares held as at 5 p.m. on 16 October 2014 (“Entitlement Date”). Still cant sell HLI in the next 2 days.
1) The above Company's securities will be traded and quoted [ "Ex - Offer" ] as from : [ 14 October 2014 ] 2) The last date of lodgement : [ 16 October 2014 ] This means to buy HLI on 14, 15 and 16 still entitle Narra share?
Mkt so weak, ready to see it drop to near 6. Narra after friday maybe 3. Those buy today will sell fast to lock in profit in uncertainty. Then slowly you will see both climb back. Why. Cements the sa
To Cowboy: Explanation by DANIELSKS DANIELSKS The ex-date indicates that the seller will get the distribution and not the buyer. The entitlement date is for the company to identify and confirm the rightful holder THAT EXIST IN THEIR RECORD on the said date and time. After the verification they will then credit the Narra shares into your CDS a/c WITHIN 8 market days from that date. In a nut shell, you can't sell your Narra shres until it's credited into your a/c but you can sell your HLI shares immediately on the ex-date. It's similar to dividend payout.
In the first place, couldn't understand why Bursa set the reference price basing on RM1.08 and not the market price of Narra (RM4+). It gives a false picture....
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Steven Yong
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Posted by Steven Yong > 2014-10-12 19:27 | Report Abuse
Wosrt just started. Will go lower once ex.