Bonus issues and free warrants should make a Mitra attractive and not the other way round. When it was announced, Mitra was RM1.66. Now only RM1.62. Just look at Karex. When bonus issues was announced, it was RM4.05. Now RM4.53.
Must break RM1.70 and maintain above it. If retrace back to RM1.60, what is the point. It needs institutional investors to do it. Please help big boys. Make RM1.97 target price a reality before ex-date.
Karex target price of RM4.66 already achieve even before ex-date.
It won't go above RM1.70 due to US market weakness and GST charges on brokerage and clearing fees. Karex also tumbled from RM4.70 to RM4.39 (-31 sen) which gave me a shock and depressed.
4. EFFECTS OF THE PROPOSALS For illustrative purposes, the proforma effects of the Proposals on the Group and/or the Company are based on the following scenarios: Minimum Scenario
(i) No Warrants-C which are outstanding as at the LPD are exercised up to the Entitlement Date;
(ii) The adjusted exercise price and number of Warrants-C pursuant to the Proposed Bonus Issue are assumed to be RM0.60 and 70.6 million respectively; and
(iii) All treasury shares held are resold at RM1.65.
Current warrant c price has no premium, so no issue of expiry date. As at now you can buy warrant and exercise it immediately, still can make 10% profit. No other warrant can give discount during mother share trading uptrend.
if the target price for Mother is RM2.37, warrant should be RM1.47. Simple common sense, if got discount, simply buy and convert to mother. Easy profit.
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....
8wpwtmt8
2,949 posts
Posted by 8wpwtmt8 > 2015-03-30 19:39 | Report Abuse
Bonus issues and free warrants should make a Mitra attractive and not the other way round. When it was announced, Mitra was RM1.66. Now only RM1.62. Just look at Karex. When bonus issues was announced, it was RM4.05. Now RM4.53.
Please wake up Mitra!!!