Wijaya - Too good to be true, but be careful on your trades

Wijaya - As per informed from my sources that it will be taking a toll to got into some mergers/take over program soon in the coming day. Well, it had finally come into light that Wijaya got a take over offer from owners of Maxcorp group of company, at a staggering price of RM1.10.

Well, as this is just a news to show interest on the dealing (I believe that the rumors had been spreading hard), we should take into consideration on some of the pointers of this take over - should it really happen.

As we had seen some tragedy from Hiro-WA, on how the lowly offered price had send Hiro-WA deep down into 8 cents, while it can be seen crawling back in a slow manner, we should be extra cautious on the what could lay ahead of Wijaya-WA as well.

Looking at the offering price of RM1.10, and the exercise price from Wijaya-WA, which is at RM1.25, this is not in anyway, look good for those who are thinking that with RM1.10 offered, the warrant will shoot sky high, but to turn in upside down, should the deal is confirmed with announcement made, you could be crying to see Wijaya-WA down to lower than 10 cents, which will be a total kill off.

As this news had been released, I had been seeing irregular movement from Wijaya-WA, in which the warrant just get over active than the mother share, and the fluctuation of the prices can go x2 of the mother share movement. Could this be insider making the warrant active for disposal to be done? It could be possible, as these are the visible symptoms that we can see through the volume traded, and the price movement of the warrant.



Because of this, for those high risk trader who see that this is just such a good opportunity to make some quick bucks, probably I would suggest that one would not opt to keep the warrant overnight, as any announcement that will be released be sending a stone cold stunner easily. However, it could be a nice bet on the mother share if the take over did go through.

Cheers and all the best.

Author: [You must be registered and logged in to see this link.] (Bonescythe)

+1 wow taken from bones site

if.. wij-wa in money is 1.25 ; T/O price only 1.10 and the recent change at 95 sen

news out Datuk Seri Tiong King Sing has sold his entire stake in the group to Anuar Adam. A Bursa Malaysia filing showed that Anuar had on Thursday bought a 30.88% stake in Wijaya Baru from the Sarawakian tycoon for 95 sen per share, which works out to about RM84.08mil in total.

+ 1 = 91