i think looking at the movement ... best to sell KEURO now ... wait for the OR to be listed .. then see the price and later buy ... cos 1 year, not much movement also ...
Need some help here...would like to know how to subscribe the rights? My fresh remisier answer me unconfidently saying..hmmm just wait for letter?..buy bank draft..n settle yourself...seriously??
3 determining factors why I jumped in cum rights: 1. Co is divorced from CAC and complete sale of TalamT shares 2. The congestion in PLUS shows that the WCE is necessary 3. The new Shareholders have the credentials to raise the financing for the WCE 4. There is certainty in completion of the WCE and a fair project costs will be agreed 5. There is cash flow coming from the development of land from the Land bank in Kota Kemuning 6.The new opportunities from WCE is huge...
check the announcement...rights commence trading on 6.8.14; Letter of Offer despatch on 7.8.14: last date of acceptance of rights is 20.08.13; please check with Remisier when to prepare cashier order and despatch acceptance of the offer....
Benson911...there are too many variables to consider when you think of projected market cap and many investment gurus have been more wrong than right....especially when EPS is a future event...my simplistic mind took the following factors besides what were posted before...
1. Can the traffic forecast passed the worse case scenario....I believe so...especially where PLUS is now saturated. 2. Did they use the worst case scenario to negotiate IRR and toll rate....I believe they would have got the same rate as PLUS with a right to implement the lower toll in the beginning... 3. Will the construction costs be prohibitive?...I think they would have worked it out as they are friendly parties who are long term shareholders. 4. Will they list WCE eventually ? Yes absolutely..and likely to be at least RM 2billion ( a guess ) based on 5 years projected incomes... 5. Will capital gain be via organic path...yes, by way of private placements at varying PE over the construction period or just before completion of WCE...
This stock may become the next target for M&A play, can be transformed into a giant infra stock. Look at what project they have on hand and look at who is the major shareholder and you can guess the plan.
88et88...the OR is the rights to subscribed for the new shares at 1.08 per share which comes with 1 detachable warrants for every two subscribed...if you subscribe the warrant will be credited to your account and when quoted can be monetised...give you a cash value (if quoted at 30sens) of about .15 to your subscription of 1.08 per share....if you sell your rights you don't get to buy the shares at 1.08 together with the detachable warrants...
There is no correct module to calculate pricing of warrants/derivatives...The Black Scholes model have been accepted by professionals as not accurate but continue to be applied by pro to value warrants and options....
For me I would be happy if the warrant can be .30 + as it probably offers further valuable opportuned buy given the gearing and the near par conversion price vis a vis future value...
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....
sheep
3,849 posts
Posted by sheep > 2014-07-16 21:47 | Report Abuse
up 6sen...tomorrow can stlll go up?