Based on xdl experience where it gave 3 free warrants for every 12 shares beside d bonus and rights shares at 35 sen and its post ex-price is higher than the x-price and the warrants is at the range of 12 - 15 sen, then I guess the x-price for CAP would at the range of 30-40 sen and the warrrants would be at the range of 15-20 sen.
Bursa adjust CAP ex-warrant price to 41sen.....I've no idea how it arrive 3 sen adjustment, but presumably bursa take into account market price and warrant exercise price as well as ratio given. Anyhow, current CAP price is good re-enter again as based on 20% dividend payout, yield could be as high as 8% net. However, for better margin of safety, prefer to wait till its warrant is listed on 3 Jan and observe price movement before its Q4 result release on Feb
yes i think so too....so is it confirmed at 6 sen then? why the price dropped today? i thought ex date day should be up???? Afternoon wht is the prospect?
i entered at 0.44. With the free warrant, i am not sure what to do with the mother shares...my options are; 1) sell today 2) sell before T4 3) keep for mid term at least. Pls advice, anyone out there.
Theoretically, the upcoming warrant reference price should be 6sen, solely based on bursa have adjust mum share 3 sen. The actual reference have to wait til the listing date or perhaps can call up bursa to ask.
Since your entry price is 44sen, and based on current price of 37.5sen, your warrant need to surge more than double to at least 13sen in order to breakeven.
Normally, share price will under some selling pressure once its warrant is listed as investor have option and cheaper entry level to keep exposure. Its depend on market sentiment, some may push up share price day before warrant is listed in order for warrant to trade at higher premium...many strategy available.
wanted to to sell at 0.39 anf then entered at 0.385 at around 4.58pm, but didn't get thru....seems like it was too late, so afraid now that the price will further drop tomorrow after ex date.
my one is alry in but without quotation. what is the expected price of th warrant, any idea? do you think mother share will go up tomorrow before warrant listed on the 3rd Jan?
My opinion is that the mother share must be pushed up in order to make the warrants attractive. i believe the directors will push up the mother share price either in the short term or mid term. Then the valuation of warrants will also simultaneously be pushed up.
Thanks folks for sharing. Jsjy, don't be so MCC (friendly advice, no malice meant). Scroll back and you can find Mr Hng's projection of 6 sen based on Bursa's 3 sen reduction from 44 sen on ex date
5229WA (CAP-WA) Profile for Warrants 03-01-2014 07:02:15
Profile for Warrants Instrument Type : Warrants Description : Warrants issued pursuant to the Bonus Issue of Warrants Listing Date : 03/01/2014 Issue Date : 30/12/2013 Issue/ Ask Price : Not Applicable Issue Size in Unit : 300,000,000 Maturity Date : 29/12/2016 Revised Maturity Date : Exercise/Conversion Period : 3.00 Year(s) Revised Exercise/Conversion Period : Exercise/ Strike/ Conversion Price : MYR 0.3500 Revised Exercise/ Strike/ Conversion Price : Exercise/ Conversion Ratio : 1 Warrant : 1 ordinary share of US$0.10 each in CAP Revised Exercise/ Conversion Ratio : Mode of Satisfaction of Exercise/Conversion Price : Cash Settlement Type/ Convertible into : Physical (Shares) Remarks : The Warrants are issued to the entitled shareholders of China Automobile Parts Holdings Limited ("CAP") on the basis of one (1) free Warrant for every two (2) existing ordinary shares of US$0.10 each in CAP ("Share") held at 5.00 p.m. on 30 December 2013.
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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....
JimYeoh
1,514 posts
Posted by JimYeoh > 2013-12-24 12:16 | Report Abuse
tmr is last day to collect bonus warrant..