GDB's predicament is a reflection of Msian business environment. Banks have basically stopped extending funding to all property and construction sectors leaving the only avenue for additional funding to shareholders. But most Msian shareholders practice small capital but big big business. With limited experience and capital, most developers indulge in massive projects like there is no tomorrow! Without additional bridging loans from the banks and no funding from the owners, the journey ahead is going to be tough for all Msian unless you are one of the 111+1 thieves residing in the " Parliament House".
likely will take years for GDB to recover this RM120 million thru legal proceedings, and GDB market cap is around RM150 million, this is just insane!!!
Contracting business is risky as even the contractor is issued with a certificate of paymet, their payment is unsecured and ranking pair passu is quite behind relative to other secure creditors in the event of their client is in receivership / liquidation
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....
SHOB
613 posts
Posted by SHOB > 2022-09-07 14:38 | Report Abuse
hope before closing break 0.20 cents
hahha!