KUALA LUMPUR: CIMB Equities Research says the Employees Provident Fund Board’s conditional takeover offer for MALAYSIAN RESOURCES CORP [] Bhd at RM1.50 per share as fair price, although it is a 10% discount to its target price of RM1.66.
The research house said on Thursday, March 4 that MRCB has been trading at around RM1.40 for the past few weeks. Although EPF is not offering a hefty share price premium, it said some shareholders will take up the offer, it said.
On Wednesday, the EPF extended a conditional general offer (GO) of RM1.50 cash per share for the 66.2% of MRCB that it does not own post rights.
“The offer price is 10% lower than our target price of RM1.66 but would look reasonable to investors looking to take profit as the share price has been hovering around RM1.40 for the past few weeks.
“We retain our forecasts, NEUTRAL call and RNAV-based target price of RM1.66, which is pegged to an unchanged 30% RNAV discount. The key developments we expect for 2010 are the potential land acquisitions and contract awards,” it said.
About Me
- Nuang
- Ibrahim bin Ramli@Nuang started his career with CIMB Wealth Advisors Berhad as Agency Manager in April, 2008.Previously he was an Internal Auditors and Accounts Executive with Perodua Sales Sdn Bhd since 17 August, 1994. His background:- 1.Certified of Achievement for Master Sales Leadership from Dr Lawrence Walter Ng of President of The Art Of Learning and International Of Learning Without Learning 2.Certified for eXtra Ordinary Performance of Lawrence Walter Award Certificate for One Million Ringgit Club 2007 3. Certified Life & General insurances 4. Conferred with Diploma in Business Studiess & Bachelor of Business Admin(Hons)Finance from UiTM, Terengganu Branch & Shah Alam respectively;
music
Create a playlist at MixPod.com
