i'm thinking this could be a very good way of determining how much a share price will be PUSHED UP before listing of rights i.e. rights issue play. if can get the formula right..

for example:

current share price is 0.19
proposed rights issue price 0.20
2 rights for every 1 share
2 free warrants for every 3 rights

the surety of the company needing to push up share price beyond 0.20 is 100% correct?
coz the rights price is already priced at 0.20 vs current price of 0.19 only

then now it leaves calculating how much the range could be i.e. minimum price of the share being pushed up to make the whole rights/warrants listing work and to get people to actually subscribe.

gark, your formula still workable for this scenario then?

At this price, better buy a dolce gusto machine... amazing coffee...

hehe.... 8 sen to 2.

not bad hor....

Oh the formula have not include the rights price. if got rights price add back 20 cent x 2 into the formula.

Who in the right mind will buy rights without at least 20% discount... unless the warrant conversion price is very cheap.

If you can give all the prices, i can work out theory price...

Wat happen? No understand you...

YES!

you are correct.

in a way, you can always guesstimate.
this way, you are not trading blindly.

well done! ( cannot comment on calculations la... my counting kaput one. )

good thinking.

as if you no bawah standing.

what's almost 2?

it's there.. i copy here again *kancheong already*

current share price is 0.19
proposed rights issue price 0.20
2 rights for every 1 share
2 free warrants for every 3 rights

In my portfolio only inimari...

hehehe.. we wait for gark to unravel the formula

warrant ex price, how long to expiry?

the counter only has mother. no warrant

proposed renounceable rights issue of up to 106,718,796 new ordinary shares of RM0.20 each on the basis of two (2) Rights Shares for every one (1) existing share together with up to 71,145,864 free detachable new warrants on the basis of two (2) New Warrants for every three (3) Rights Shares subscribed by the entitled shareholders

thats all

current share price 0.190

This post has been edited by lambethwalk: Feb 20 2014, 10:16 AM

ahem..ahem the new warrant to be issued...

All warrant have ex price and expiry.. you let me know which counter better

AhLamb so kan cheong-ing about AhBee.....

can see teeth no see eyes atm....

hahahah... its ah bee

I know... I know.... AhBee.

tried to do the same with XDL last time, which earned me spare change

but didn't know how to calculate properly

this is extremely really useful to understand. if can master.. no joke

Then how come you say current price 0.19? it;s 27.5 already leh...

wrong info...

correct info la... BEFORE the spike

need to calculate before the spike....

proposed rights was last year

This post has been edited by lambethwalk: Feb 20 2014, 10:21 AM