Friday, May 04, 2007
Stop The Press
Well, its getting to be less and less a secret, instead of RM1.20, do prepare another 30 sen (or maybe 20 sen) to buy your weekend paper. There had been whispers but overall the news has been well kept. The impact will be greater for NSTP than for Star. The good thing is that most analysts do not expect a rise in cover price this year, so the increase just for weekend papers will be a good boost. It also comes at a time when newsprint prices is on a downtrend. Hence better to increase now, as it would be more difficult to increase cover prices later when newsprint prices are lower. Following the crushed merger deal with Utusan, NSTP is apparently looking at a special dividend or the currently popular privatisation, very hush-hush at the present moment. Actually, NSTP would be an excellent vehicle to privatise, take it private, no more dirty laundry in the open, the losing of market share in English paper readership. Its NTA is RM4.11 or thereabouts, some 60% higher than market price, plus after that can relist the highly popular Harian Metro. Away from prying eyes and still a mouthpiece, sounds good?