Is it warrant at 0.125? It's good performing n good future compnay. If it's in debt this will reflect in price. The directors collected more shares. Why they want to drop the price ? I don't think so . It's to let people sell. Then push higher.
next EURO, dont't panic. If this share no value, they will not ask for trigger this practice (MERGE & TAKE OVER).. They wanna keep more share , then they can securely pump and make high price
If shareholder do this , mean they feel panic and rushing than us.. They spent more money to pump their stock.. They do this because don't want other big shareholder 'disturbing' , they wanna 100% fully control the stock volumn..
Think logically 1: if they really wants to acquire at that price today would gap down . But it didn't but just make u to sell to them 2: this share worth BCoz of MoU agreement. U think they will let u earn from bottom? 3: if u monitor closely the directors collecting those shares.
KUALA LUMPUR (April 28): Ho Wah Genting Bhd (HWGB) has received a notice of conditional voluntary takeover offer from major shareholder Ho Wah Genting Holding Sdn Bhd (HWGH/offeror) to acquire the remaining shares in HWGB not owned by the offeror at 12.5 sen each.
Wire and cable manufacturer HWGB said in a statement to Bursa Malaysia yesterday that the offeror also intends to buy the remaining HWGB warrants at one sen each. HWGB did not provide reasons behind the offeror’s voluntary takeover offer.
"In accordance with Paragraph 3.06 of Take-Overs, Mergers and Compulsory Acquisitions Rules, the board will appoint an independent adviser to advise the non-interested directors and shareholders of the company, on the fairness and reasonableness of the offer. The notice will be served to the holders of the offer securities within seven days of its receipt and a copy is enclosed herewith.
"This announcement is dated April 27, 2020,” said HWGB, which also offers travel-related services.
M&A Securities Sdn Bhd had announced on behalf of the offeror the latter’s intention to undertake the voluntary takeover offer.
In the voluntary takeover offer notice, M&A Securities said the offeror already owns 148.56 million shares representing an approximately 29.38% stake in HWGB. According to M&A Securities, the offeror intends to maintain the listing status of HWGB on Bursa’s Main Market.
The owners of the offeror are Datuk Lim Ooi Hong, Lim Wee Kiat and Datuk Teo Tiew, according to M&A Securities.
At 12.5 sen, the voluntary takeover offer values HWGB at RM63.21 million based on the company’s issued base of 505.71 million shares.
At 11:36am today, HWGB’s share price fell 2.5 sen or 10.87% to 20.5 sen. The company’s latest reported net assets per share stood at seven sen
i dont really understand this conditional voluntary take over mechanism. the owners now they know that the share price is trading at premium and now they wanted to offer 0.125 to take over those lot that can be traded higher. and traders seems like panic selling and push down the price from 0.23 to 0.180. not logic right. anyway i dont understand and hope someone in this forum to enlighen us the small fry investors
Back to fundamentals. Can the acquiror have enough cash to kneel before the markets ask price? The financials of the group (cash position) may not be sufficient to pull the entire thing through because they r assuming their offering at 125 and I don't think they will acquire up to 90% to make this a MGO. They would probably just buy sufficient share holdings to remodify the company similar to Amanda krishnans case, better manage it dividend payouts and overall company BS and PL and to put it out to public again with better prospects. I don't think we should panic because they r just acquiring just enough to improve the company, not completely offering ppl at 125 which does not give any upside to anybody including themselves
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Posted by Hunter8888 > 2020-04-27 12:07 | Report Abuse
can't go up again,sharks still collect more