Asian Business Issues - Rants & Raves, Illusions & Collusions etc.
It will be interesting to see how Datuk Tong Kooi Ong will convert his Sunrise shares, whether all direct to UEMLand shares or RCPS?
Hee How, one sunrise share curr price is RM3.11will get you 2.8 RCPS at RM1.00 or RM2.80 2.8 RCPS (at a cost of RM3.11), to convert, you need cash upfront of RM1.30 per RCPs 2.8 RCPS (cost of one sunrise RM3.11) + cash conversion (RM1.30*2.8=RM3.64) ==> if convert your total costs will be RM3.11+RM3.64=RM6.75Current UEM share price is RM2.36, so 2.8 RCPS will net you RM6.61conclusion, Mr Tong will swap his RCPS for liquid UEM Land shares now, arbitrage gain 2.1%, then wash his hands clean and remain a figurehead in UEM Land. should Sunrise shareholders reject the offer? i dont know...
Here's a fun quiz (not to be taken too seriously, naturally) that's supposed to reveal what sort of investing personality-type a person falls under - a cautious, conservative investor or an over-the-top wild gambler. The quiz is here.
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