Good evening SSLee, I think your comment is misleading. The reasons are: 1) JAKS 's private placement of 10% of the total number of issued shares has been confirmed, thus I think it is safe to forget that any right issue is needed to fund new projects of the company. Moreover, from next quarter onwards more cash is coming in to the company's bank account with its LSS4 revenue collection started in August 2023.
2) Signing of MOUs are usual practice by companies before definitive agreements (if any) are signed.
3) You were only seeing JAKS QTR2 revenue of RM 3,312,000 only but I think you have omitted the share of profit in Joint Venture of RM32,312,000 that appears in the same financial report, and the same quarter.
4) The latest sudden surge in share price is not a surprise due to the company's numerous good news lately. For a company with new streams of income from upcoming 3rd QTR onwards and its apparent right track to recovery I think is unfair to say it is a rotating/syndicate play for its stock movement/trading these few days. ********** Sslee
2,390 posts
Posted by Sslee > 10 hours ago | Report Abuse
Jaks facing cashflow problems will not be able to undertake anymore new job/project unless RI coming.
What ALP doing is signed many more MOU so that he can justified his fat cat CEO salarly + benefit and more LTIP free share grant.
Jaks q2 revenue RM 3,312,000 No even enough to pay finance cost of RM 6,177,000
I have no doubt that Jaks will do more and more PP for the next few years and that is hugely dilutive for retail investors. Jaks IR said no more PP but AGM approved another 10% PP. Jaks has never kept its words. CPO had said no fund raising at low prices. They have no choice but to raise more funds through PP or RI to cover cash shortages. Bank refinancing is getting harder if not impossible for them. My personal opinion is to take advantage of this rally to cut position and buy back later when desirable. Jaks' boss has taken up the remaining PP at 0.18 and has to divest at higher price so as to conserve cash to take up more pp. Doing nothing is not the right solution here. Jaks' liquidity problem is real. It won't just go away because of share price rally.
The recent round of private placement raised only RM23.868M ( 129,017,000 x .185 )
Jaks' share of the Vietnam JV project in 2022 was allegedly RM156.2M. In addition, dividend amounting to RM70M was also allegedly from the Vietnam JV company
Question: Why bother to undertake a private placement for such a small amount when the Vietnam JV project is allegedly generating soooo much profits?!
if price can go above 0.35 then warrantholders will exercise the warrant. Jaks then will have the cash RM200mil which is sufficient to exercise the right to buy additional 10% of shareholding in Viertnamese power station
On the 10th of Jul 2023, 70,500,000 share grant was issued to Ang Lam Pah & co. While the market price was then 0.18 per share, no money was received by the company because the RM12.69M worth of shares were given for FREE to Ang Lam Pah.
Off course, the company will need to expense the entire RM12.69M to the administrative expenses for Q3 2023.
For the whole year of 2022, 45,000,000 free shares were issued. It costed the company RM11,700,000 for the free shares.
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....
Johnchew5
11,612 posts
Posted by Johnchew5 > 2023-09-02 17:14 |
Post removed.Why?