Wrong liao, you are confused already. No offence.

OR is given free to you as existing MAS shareholder.
But OR's life-time is as good before 22/2, if you are not subscribing the right issue at RM1.60, OR will cease and expired, worth zero.

You need to buy a banker cheque of Rm1.60 aka you need to fork out Rm1.60 to own another MAS shares and send the cheque together with the OR (it is actually a form only).

You have 2 choice right now

1. Dispose the OR in the market, get Rm0.14 (today price)
2. Buy the right aka fork out Rm1.60 to own another MAS
3. Being mentioned before, so don't want to confuse further, so just consider 1&2 first.

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Added on February 11, 2010, 5:46 pm

Yes, become toilet paper, so please don't overbuy the OR, as time is against you, it has barely a week or so lifetime.

Take about a few week before the right issue completed. So risk is always there. That's why some OR holders don't want to take up and dispose the OR.

That's why we often see near last day, OR normally being sold down at discount.

I think he's dreaming now...
Anyway i found this article by Alex Lu, a remisier.
He talked about selling mother share and buy again with OR.
But he didn't mention on after selling mother, do we still hold the OR.
That's my confusion comes. In case after selling the mother share, will still have OR, i think best to do is to Sell the mother now, and convert the OR with just RM1.6+RM0.135 = RM1.735 something like that... cheaper than current market price RM1.92 lor... instant profit

Thursday, February 11, 2010
MAS- arbitraging opportunity
MAS is in the midst of completing a 1-for-1 Rights Issue at RM1.60 each. The ex-date of the Rights Issue was Feb 8, but the share price began to weaken ever since the Rights Issue was first announced on Dec 22. In early January, I had posted that MAS has broken the psychological RM3.00 level as well as the horizontal support of RM2.90 (go here).

Today is the start of trading of MAS-OR, the Rights entitlement. An investor who buys 1000 MAS-OR would be entitled to subscribe for 1000 MAS shares at RM1.60 each. We have seen heavy selling of MAS-OR in the market, prompted by existing shareholders' decision not to apply for their allotted entitlement under the Rights Issue. This may present an attractive opportunity for arbitraging profit for the existing shareholders, who can sell their shares in MAS at the present price of RM1.92 and then acquire back the same share via MAS-OR (presently trading at RM0.14 each) & then subscribing for the Rights Issue share at an all-in cost of RM1.74. Those who want to gain entry into MAS, may choose the cheaper route of buying the MAS-OR & then subscribing for the Rights Issue share, instead of buying the share directly from the market.

Chartwise, we can see that MAS has broken below its recent uptrend line,S1-S1 at RM2.40 and is hanging stubbornly at the horizontal support at RM1.90-2.00.