I'm curious and need advice from you all. The offer price is rm4.8 and now market is rm4.56. is it due to the privatization maybe will fail? is it worth for us to buy at the current price now with about 4% earning?
The cost can be on contingency, meaning the lawyers share a portion of our profits from the action. No cost to us if we lose the case, except some disbursement which should be minimal.
One needs not to have a substantial shareholding to mount an action. Look at Lii hen, the plaintiff only has 100 shares and dragged the company to court for more than a year now
I see last week the price go up to 4.70. Since then not much volume any more now price down to 4.60. Hehe...if I guess correctly, I think somebody is buying shares to jam the Tees since it doesn't make sense to pay 4.70 just to earn 10sen profit, right?
Can someone tell me what happens if they succeed to jam the Tees? Does it mean the deal is off?
Once the deal is jammed, Delloyd stays listed. Why should we be forced to sell to the Tee family for a peanut, knowing fully well that it is worth the north of at least $8?
This share has been trading at around 3.30 for the past year or so. If the deal falls through do you think there'll be continued support at the current price of 4.60? I could be wrong but I just can't see how the price will go up unless there's an improved offer or if its supported by the market (very unlikely given the history of this share).
their land bank alone already worth more than rm5.20, not even counting their auto part manufacturing biz yet. same like Bplant, their landbank already worth more than 1.60, not even count their plantation biz.
haiz.. if I am largest shareholder I will ask all relative and friend buy 100 lot and vote privatise. and using prime minister trick"u help me, I help you" pay rm300 each vote.
i'm going to list out why i think Delloyd would be quite a safe investment:-
1. Privatization offer at 5.15, subject to EGM on 15 January 2015, which is about two and half weeks from now. Based on share price at 4.90, you are likely to make 5% or so.
2. Share price did not trade pass 5.15 for the past 5 years, so it's safe for me to assume that Delloyd's shareholders cost are not 5.15 or above, which means if the privatization is approved at the upcoming EGM, no shareholders will be at lost. I cant think of a reason why shareholders would reject since nobody will be at lost. Sure, the fair value is RM7.60 or higher, but bear in mind, Delloyd has never trade at its fair value for the past 5 years. I do not see why Delloyd will go to RM7.60 again if the privatization deal is rejected. And 5.15 might be the best we can get already for now.
3. With the current market condition and uncertainties, i think Delloyd would be the safest and the fastest way to gain 5% from your investment. I believe once the EGM approve the privatization, share would be traded at 5.145? Just like how MAS trade at 0.265.
So yeah, a 5% gain within 2 week. Only risk is the deal is rejected at the upcoming EGM. I believe the persons behind this privatization will do their best to make sure the privatization go through. Since there is not so much hype in this stock, i don't think shareholders will work together to reject during the EGM.
If buy at 4.96 & EGM fails then the share will definitely drop immediately to 4.50 & drift lower day after day.......... So the risk is high..... High bcos you don't just 1 lot, you buy a lot, like MAS
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....
Fortuneball
796 posts
Posted by Fortuneball > 2014-05-19 16:31 | Report Abuse
It may be a daunting task to fight them by a proxy war, but we can jam and frustrate them, until they raise the price