People got excited when DL paid above market price to acquire a controlling stake. I see no catalyst here. Just sell at open tomorrow. Remember E&O chairman bought some stake above market price as well at RM 2.90. Look where is E&O now. And this is DL we are talking about. Malton, GOB etc. When did shareholders ever benefit from his leadership?
Fundamentally, U can see the value if u do your research thoroughly. Desmond is fast tracking the restructuring now by taking over the Board JUST one day after he bought the shares... In fact, there is PLAN laid ahead before the deal.. U can see the news and restructuring coming in now....
its actually quite naive to think that the bigger shareholders of the company owes the minority any favors. This is really wishful thinking indeed. And this is exactly why only a handful make money from the stock markets. there will always be good n bad news ...its called market n company risks...lol
Business is business. As long as there is a major development with good profits lower debt potential, these news will be exciting and will raise the share prices.
remember stocks are always forward looking things. new owners/new business/monetising of assets are always exciting news indeed.
i believe what the new owners are doing is to create new businesses/opportunities.
those who do not know this obviously do not understand nor have any experience at all in investing. pity
Many are saying how WCT will inject its Paradigm malls in Pavillion Reits. This idea is flawed. First, Pavillion does not have money to undergo this exercise. Second, is DL that stupid to trade his ownership in Pavillion mall with Paradigm mall??
My view is wct has gd srategic location mall n high order book. Hence its a gd buy for d l. Js the gearing a bit high. New owner sure gt rasionaisation plan for wct. Js wait for management announcement rather than make yr own assumption announcement!!
If today's buying price of desmond lim is 1.50 instead of 2.50, then we should be more worry. Whether Desmond can run wct better than old management, nobody can know. The buying price of 2.50 is much premium than current share price, this is fact.
DL buy at 1.80, 2.50, 3.50 as long as above mkt price it is all irrelevant to the price action of the listing share. its only noise, some fools think they got a bargain buying cheaper than DL. simple as that.
The purchase of wct by desmond is a vertical integration in term of business. He wants to cover business segment from upstream to downstream. Now, it will has business in property, construction and shopping mall. Great strategy
I am not planning to keep it for 3years. I am just waiting the price to be up after the confirmation of listing of construction & REITs. I experienced the uptrend in Sunway when Suncon is listed separately.
There are some differences between WCT and GIB: 1. There are more eyes watching in wct's case....institutions and foreign funds, etc. 2. DL never put his name in GOB....so even the company goes down in smoke, there is no sweat off his nose; 3. GOB was associated with bad rep ...ala Penang case, whilst, WCT has been a reputable and transparent company. 4. Wct-we is internationally known but GIB is small local.
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....
UniC
482 posts
Posted by UniC > 2016-11-02 20:38 | Report Abuse
you can make money from desmond lim?
desmond lim let such a big frog jump in street for you to catch?
you too underestimate DL