Before the RI, people sell cos don't want to fork out more money.
Now RI is over and the major shareholders couldn't get their oversubscription as original entitled shareholders applied for excess..
Be careful.. Know what the current price correspond to the price b4 the rights issue..
After the RI, assume full conversion of rcps, the equity injected by wcehb into wcesb for the construction of WCE expressway would be rm1. 08B, which is about 36 cent per share..
So wcesb should worth (193/772)*(0.8*RM3.8338)=RM7.667B
Total construction cost is RM6. 69B
80% FINANCING RM5. 352B
EQUITY VALUE WORTH =7.667 - 5.352=2.315B
Wcehb, 80% is worth RM 1.852 B
This has not added the Bandar Rimbayu.
PLUS has 19 years concession left.. WCE has 50 years.. (plus 10 years extension*)
Distance is shorter from Taiping to Bukit Raja via WCE, 248km and 83 km built by the govt is toll free.. flat terrain, ports to ports..165 km is tolled
Whereas via Plus, from Taiping to Bukit Raja is 265 km, full tolled.
monetary, so sorry to say that this is my first investment in WCE and i bought 6 mil units of PR at 2 cents and allotted 4.2mil units of additional RCPS out of my excess application.
Even you will receive your rcps cheap via excess application, don't simply sell cheap cheap.
Tan Sri Surin saw the value in 2013 and was willing to buy a block of 141.4 million shares @rm1.35 from Tan Sri Chan A C at a time when the WCE expressway concession was awarded but the project had yet to start.
Now the project is near 70% completion and toll collection likely to commence for the completed section 8,9,10 in December follow by Section 5 and Section 4 later...
Those who bought the PR @1.5cent, their cost of rcps is 25.5 cent.
However, many are original entitled shareholders. For most, their average costs probably are above the market price now even if they subscribed for excess shares, I think.
I would predict that the selling pressure would be well absorbed and the price would rebound in the late morning or afternoon. It is too cheap.
Quek is a smart and wealthy businessman who made it to among the top richest in Malaysia.
Don't you agree?
Until the game end, you don't know yet who are the winners and losers. Meanwhile, many died along the way and the winner, you know who took mwe private at cheap price?
Probably wce might go private by d offeror to PLUS hiway as he failed to buy over PLUS after so many attempts. Hence, buying WCE cud b another alternatived now
Uptrending. Thank for sharing. Now only I know pr conversion to share doesn't need to pay 4c. I m puzzled why ppl sold their right in such a big discount. I think they have no problem selling at 4c since RI is oversubscribed. I m sure many will sell for 20% instant gain on Mon. I've collected enough infor. Thanks.
Basing on the amount of money he invested n all the time n effort he spent in WCE over the years, with the current huge paper loss he is suffering in WCE, at this juncture clearly WCE is not a so wise decision to Tan Sri loh..
Of course this is excluding his salary or whatever income or side income,if any he made from the co lah
Anyway in long term (5 year or 10 years or 20 years or 30 years) if Tan Sri is still alive then WCE could be proven a smart decision to him loh
If Tan Sri support to release some great news on d mother shares then v can make $ on the PR. Eg: Govt to buy over WCE by releasing PLUS to those offerors tat had been keep approaching d govt for few rnds ody
Generally speaking those who are more successful and wealthier are smarter people. They took calculated risks and made more wiser decisions and investments than bad ones, especially if they are captains of the ships they are sailing in.
They are out to do business to make money and not charity.
They took calculated risks and surely would made mistakes since there are risks. The risks could be mitigated and minimised if they are holding the steerings.
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....
hohoho123
3,165 posts
Posted by hohoho123 > 2019-11-22 11:39 | Report Abuse
i thought will get 90 plus