Watch it. If this counter keeps moving higher, then the ICULS fixing price will be higher and hence the conversion too. Good for company but more money out from shareholders. Don't forget its 2ICULS to subscribe to for every share you have.
However high it goes the same number of ICULS will be issued (2:1) so there is No less dilutive. Its only shareholders have to cough up more to take up ICULS and conversion price will be higher
pputeh - the ICULS price will be the same no matter how high the share goes. It's Rm 3 x the number of shares you hold. But for the conversion price , if it goes higher will convert less shares
Patrick Ngian - Much obliged for yr explanation. I thought (correct me if I am wrong). If the price of Aeon Cr is (this is a presumption only ) rm18.50 on the day of ex bonus than it will be 18.50 x 2 div 3 = 12.33 (bonus 1:2). 10% discount on price fixing day 12.33 - 1.23 =11.10. So I presume conversion will be 11.1 ICULS to 1 Aeon Cr share. Just my thinking only. Explanations or disagreements welcomed
Calculation is very simple. According to the proposal , they will issue ICULS to raise RM 432 M in cash. Currently number of outstanding shares is 144M , 144 x 3 = RM 432M. So if you hold 1000 shares of AEONCR out of 144M in the market, you are eligible to pay RM 3000 to buy their 3000 units of ICULS (1 unit = Rm 1) . And from ICULS to convert to AEONCR , you don't need to pay any cash according to the proposal, it's based on the conversion price. If the conversion price is RM 11.1 , then the number of AEONCR shares you will get is 3000 / 11.1 = 270.27 .
Seen like its a bull run for Aeoncr at the moment, but let us focus on Aeoncr's future. According to its FYE 2017 presentation, the management is going to invest in e-wallet/e-money/e-commerce for the next 3 years. I dont know much about Fintech, but i think it is something like Alipay/Apple pay/Paypal?(Correct me if im wrong) If it is, Aeoncr has an obvious advantage at the start(huge AEON customer base). I dont really know about its profit model, maybe charge a transaction fees based on the transaction volume?
Ricky...Yes on the market price after ex all for bonus issue of 1 for 2. The management will choose 5 days for price fixing and let us know the price for conversion of ICULS. From what I read you will be entitled to ICULS on the basis of 2 ICULS for 1 share you hold AFTER bonus issue
planegor...20 is supsup water.. the upgrade of the storefront across their branches is very refreshing, streaming of process as well with new hardware in storefront and explanation of product offer. I went visit a few over the few long weekends. Continue hold Aeoncredit and believe hamsap japanese..
Haha. Hamsap Japanese? 'kelantan ese more hamsap. Mario Ozawa came Malaysia, they are the state that search this ex Japan av girl most in Malaysia. Who is more ham sap.heheeh
After reading magazine, I am more convince management going right way. Plan for next three years is there, They wanna keep car ratio at 18.5% and above around 21.5%. Thus recent expansion in biz caused lower CAR. With future expansions etc,, that's why they need to issue iculs for next three years. The management is forward looking and ssmar
planegor...This year all these good FA stock got cw..Everytime I see them..I will sell some mother and buy some to pair..Many happy round liao..Kerjaya, PetronM, Aeoncredit, Econbhd..pay attentionla..even KMloong got CA
Yes planegor..I only buy 10%-20% of the mother value to maximise the profit since all these move a bit slow :D and keep me from falling asleep if I too free to watch....hahaha.. It is simple reason why big share like this move so fast as well..it is motivated by the CW..
calculated risk la bro..riskreward ratio is decent..Not greedy...helping people is my passion..Bursa and IB helping me..ttyl soon..:D congrats on great pick on Aeoncredit..
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....
paperplane2016
21,660 posts
Posted by paperplane2016 > 2017-05-11 14:49 | Report Abuse
Another crazy stock with good roe, good management. Wait patiently, money speak itself