Every stock has risk big or small. Take calculated risk. After all the bad news, I believe MAS will go to 30 sen in the near term. Practise risk management to safeguard your fund. Happy Trading.
Great minds discuss ideas; average minds discuss events; small minds discuss people. Idea: a POSSIBLE 16-Week Head & Shoulders Bottom trade setup targeting 40 cents. A major multi-month bottom is in! Stop loss below 18. Good luck, traders!
privatise at low of 21 sen. Small investrors habis. Untung for Khazanah.Will never see their money again Loss of 83% for long term investors. So many smarts in this forum. Any idea to make money from a slow die stock? To share u expert ideas ?
Izoklse, Kazanah as per d SC rules will say "we r taking Mas private at a specified price n the hinted price 21cts" n they will pay d share holders accordingly for the shares they dont own, after that 100% Mas belongs to them n will be delisted. Ppl will be throwing d shares tomm onwards. MB already mentioned fair price for Mas is 19ct based on NTA value..ppl were just speculating.It happened to Encorp price was about 1.75 but d company say 1.57 is d private price within d SC rules.
so meaning to say if you buy higher then 21cts then you have to sell your share as soon as possible so that you are not lost a lot? since the fair price is around 19cts?
Based on the news from the adge malaysia and Maybank IB, i think you are correct goldenray. possible for it to touch 0.25 or even higher consider the interest of various party on the privatization news. No wonder people keep buying the stock even after Maybank come out with new TP 0.12.
And btw, if you read detail enough on reports, analysis, news and combined with Tun Mahathir comments. It is to be PRIVATISED and SELL TO CAPABLE PARTIES.
So the price to be privatised by Khazanah now cannot be too cheap, as it will be SOLD TO POTENTIAL PARTIES in the future. The price will be a reference. 25 cents is direct price to get the DEAL done for now.
It is a big chance tomorrow will shoot up touching 25 cents. Lets see how market reacts! This is a positive and welcoming news, opening to all possible bids for potential buyers.
i want to buy more but if do that then i gonna average up which i dont want. So i will hold since there is a possibility for it to touch higher then current price.
How does privatization affect a company's shareholders?
The most recognized transition between the private and public markets is an initial public offering (IPO). Through an IPO, a private company "goes public" by issuing shares, which transfer a portion of ownership in the company to those who buy them. However, transitions from public to private also occur. In public to private market transactions, a group of investors purchases most of the outstanding shares in the public company and makes it private by delisting it. The reasons behind the privatization of a company vary, but it often occurs when the company becomes heavily undervalued in the public market.
The process of making a public company private is relatively simple and involves far fewer regulatory hurdles than the private to public transition. At the most basic level, the private group will make an offer to the company and its shareholders. The offer will stipulate the price the group is willing to pay for the company's shares. Once the majority of the voting shares have accepted the offer, shares of the company are sold to the private bidder, and the company becomes privately held.
The biggest obstacle in this process is getting the acceptance of a company's shareholders, the majority of which need to accept the offer in order for the transition to be completed. If the deal is accepted by the shareholders, the company's buyer will pay a consenting group of shareholders the purchase price for each share they own. For example, if a shareholder owns 100 shares and the buyer offers $26 per share, the shareholder will receive $2,600 and relinquish his or her shares. There is a large benefit to this type of transaction for investors, as the private group usually offers a substantial premium for the shares compared to the current market value of the firm.
An example of a public company that became private is Toys "R" Us. In 2005, a purchasing group paid $26.75 per share to the company's shareholders - more than double the stock's $12.02 closing price on the New York Stock Exchange in January 2004, the trading day before the company announced it was considering dividing the company. As this example shows, shareholders are usually well compensated for relinquishing their shares.
How Does Privatization Affect a Company's Shareholders?
The process of taking a company private is the reverse of an initial public offering, or IPO, but involves fewer regulatory hurdles. In essence, those taking a company private buy a controlling interest in the company and then have its shares delisted from the stock exchange, effectively making it privately held. In some cases some shareholders can continue to own shares of the private company, but for the most part, shareholders are handsomely rewarded for giving up their stake.
The process of privatization is usually conducted out in the open, but hostile takeovers do sometimes occur. In a hostile takeover, private buyers purchase a controlling interest of shares on the open market and then use their voting power to change the board of directors or convince remaining shareholders to agree to the sale. Numerous defenses have been written into the bylaws of most public companies that make hostile takeovers more difficult than they'd been in the past. Most privatizations therefore are done through what's called a tender offer. This is an offer from the buyer or buyers to acquire shares of the company at a premium, a higher price, to the company's then current trading value in the market. In most cases, a tender offer will immediately benefit shareholders because the stock will rise in public trading to reflect the offer. A majority of the shareholders must agree to part with their shares, however, for the sale to take effect, so this empowers shareholders with disproportionately large stakes in the company. When a controlling interest is reached, the stock can be delisted.
• Be careful everyone.. is the privatisation news really true? It was informed by "two people with direct knowledge".. who? Also "a khazanah offical said that the fund had nothin to add to its June statement". So.. which to believe?
Kazanah is holding 67%, their decision is final, the price shall be close to 19cts. Remember Kaza... would prefer to pay d lowest, n what is d lowest????????
At MAS’s current price of 21 sen per share, majority shareholder Khazanah would need to pay only RM1.05bil for the 30.6% of shares it does not already own, according to Reuters calculations.
Khazanah’s board, is expected to meet at the end of this month to discuss the plan, one of the people said, adding that an announcement would be made by the end of this year.
hehe ... khazanah lost so much money in mas counter .. do u all think hazanah will pay more to privatize ? some more now is for umno friend to earn some duit raya ...
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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....
AdCool
3,864 posts
Posted by AdCool > 2014-07-02 09:55 | Report Abuse
Just wait for Q2 results. End of story....