Yeah, poor Maybulk ^^. Anyway OSK issued a research paper on Maybulk today. Explaining why the BDI is falling and expecting a rebound.

No offense taken. I tend to look at research papers and analyst report more for their factual reports rather than their speculative buy or sell recommendation. Some information they get are only privy for people in the industry, so that is the most important for me, more information on all levels.

Ugghhh, i'm in such a dillema whether to buy Maybulk now or not.

Hmmm looks like DJIA will open red again after their holiday.

DJIA futures at the moment is -468

I've never seen it so low before, normally worst was around -100 or even -200. But - 400 is a bit to excessive.

Well I'm glad a lot of us got plenty of warning of this happening. And some of us already shifted to defensive and quality stocks which is steadfast in this kind of situations.

Already touch below 1350...

This post has been edited by skiddtrader: Jan 22 2008, 10:20 AM

We used to predict the bubble collapse of China and Hong Kong stock market. Let's see if it materialises.

Hmmm maybe thats why people don't want to hold on to stocks, they scared if DJIA drops too much, they can't sell it on Wednesday and Thursday prices would be lower. If that is true, then Thursday should be the day we buy ^^

This post has been edited by skiddtrader: Jan 22 2008, 01:19 PM

Haha obviously Bernanke felt someone squeezing his balls to cut rate. I thought the last time he said Fed won't bail out the market but looks like he has to go back on his word.

If u are registered under OSK, their beta chart program lets you see FCPO prices graph.

Unfortunately, I have yet to find a website which you can refer to regarding these kind of acronyms. But here is what I know.

AMMB-WB or WA or anything that has a 'W' are warrants issued by the company itself. These are warrants when exercised will dilute the company total shares in the market. Normally when a company announces a rights issue followed, the shareholders will have the 'rights' to buy these warrants from the company. The company issues these warrants as a way of generating new capital which is easier compared to getting a loan from a bank and much cheaper.

Why there are 'WA' or 'WB', meaning the company issued multiple times. The first one would be 'WA', followed by 'B' and 'C' and so on.

ANGANG-C1 or 'C2' or any warrants that has a "C" followed by a numeric/number are structured warrants issued by third party banks or investment houses based on foreign stocks abroad like those in Hong Kong, Singapore or USA. Structured warrants are issued by a third party and not the actual company and it does not affect in terms of dilution of the actual represented company shares in any way.

Structured warrants are issued by third party banks/investment houses as a way of generating income. They issue a structured warrant with a lifetime of 6 months normally at a slight premium to the current price of the represented stock. Traders buy the structured warrants which normally requires less capital hoping for the represented or mother shares to appreciate so they can make quick bucks from the leverage the warrants provides. Of course, leverage acts both ways, as the mother shares drop, the warrant prices fall hard as well.

All issuing banks and investment houses are regulated by law to have the minimum amount of represented mother share in their holding while the structured warrants are active. Meaning every structured warrant they issue that is representing a certain number of shares in the market, have to be in their holding.

PBBANK-CA or 'CB' are also structured warrants issued by third party bank/investment houses but it is based on local companies listed in the KLSE.

AIRB-LA or 'LB' are loan stocks. Loan stocks are sold by the company itself as a way of borrowing from the public. Buying a loan stock does not entitled the buyer to dividends but it has a fixed yearly interest payment which is agreed upon issuance of the loan stock. Some loan stock can be converted to main shares which can dilute the EPS of a company. Loan stocks has no voting rights either.

Not entirely sure of the entirety of these loan stocks, so more reading is required on this.

PBBANK-01 is actually a 2nd listing for the same company for the purpose of retaining foreign investment. I believe it has no voting rights and there are no minimum local shareholder % that needs to be fulfilled. Not entirely sure how it works but the prices generally mirror the normal counter. I believe cheeroy would have more info on this.


Hope people can correct me if I stated something wrong. Just typing from the top of my head. For good reading check out this website for knowledge seekers Investopedia

This post has been edited by skiddtrader: Feb 12 2008, 08:12 AM

Company announcement are not fixed but their quarterly reports normally falls in the same month. You can view past quarterly announcement in the Bursa website under historical announcements.

Wah not expert lah.

Yes BDI has surged past the 7k mark to 7212 already. Trend is pointing upwards.

Wish I was. I didn't enter any Maybulk at all even when it touch RM3.50. Wasn't expecting the BDI to rebound so fast.

I read the circular but not yet fully comprehend it yet. But this is roughly what I know.

YTL-POWER wants to raise cash. And it will issue up to RM2.2 billion worth of warrants which can be converted to mother shares.

Up to 2.2 billion warrants are up for sale, and every share holder with 3 shares are entitled to 1 warrant. Meaning if you got 3000 shares of YTL-POWR, you can buy 1000 warrants. Each warrant can be converted to a mother share at 1:1 ratio.

The price the shareholders have to pay for the warrants are not determined yet. But when it is, expect the price of the mother share to be affected. Because you are only entitled to warrants if you are a shareholder. So the more shares you hold, the more warrants you can buy. So if the company is generous, it can give the shareholder a better discount for the warrants.

Warrant can be converted to mother share, but I think it might have some maturity date or holding time.

Exercise price to pay to convert the warrant to mother share is not determined yet. You can call your broker to ask them how to exercise it. If you are already a shareholder, you should receive a proposal letter from the company itself regarding this issue as you can vote for it.

When these warrants are fully converted, it will inflate the total share outstanding by up to 2.2 billion shares. So total we are looking at EPS dilution and share prices falling. But if you purchase the warrants and exercise it, it is likely you will not be at a loss, just that your share price will drop due to the warrant issue.

The reason WHY it wants to raise more cash is probably due to planned expansion. They already have some RM6 billion in cash sitting in banks, and are trying to get more than RM2 billion more. So definitely they are up to something, like buying new power stations or foreign utility companies. So is it good or bad for shareholders? It all depends on the warrant offer. If the discount is good, then shareholders will be happy to give their money. What they planned to do with the proceeds is also going to be the question. So far the best foreign investment YTLPOWER has made was to purchase Wessex Water of England from Enron during liquidation. Wessex Water is responsible for more than 50% of the revenues and profits YTL Power is generating. If they can pull another one of this purchases, expect the share to rise tremendously.

Best is to create a new topic if you want to actively discussed YTL-POWER so more people can talk about it.

What happened to Bursa? Their stock has been down continuously, could be some correction on their prices since it has been quite high at RM13

KLCI is sliding at the moment.

For the past 3 weeks, I've received 3 SMSs from an unknown number with the message, "Astro maybe Privatised TP RM4.50".

Since I get quite a lot of spam in my handphone, I ignored that message thinking either my dealer is mass messaging everyone with rumours which seems unlikely because she doesn't say anything whenever I call or it's just another spam/scam message.


To my surprised I read a blog today confirming Astro might be privatised after all. So what have you guys heard? I'm not a big tips/rumour fan, but I'm just wondering what might/will happen to Astro which has seen the share price dropping since they bidded for Virgin Radio in the UK.

This post has been edited by skiddtrader: Feb 20 2008, 03:45 PM

Yeah same one. Been reading his blog since the HK-warrant craze started. But all this while I didn't realized he got write for The Star Business section as well under "S.Dali" pen-name.

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Added on February 20, 2008, 3:57 pmAhh ok. Thanks for the confirmation.

This post has been edited by skiddtrader: Feb 20 2008, 03:57 PM