Metronic-Global PoserMetronic-Global Berhad (MGB),a specialist in telemetry applications for buildings and external urban infrastructure has got approval to move onto the Main Board. It is also giving a bonus issue of six new shares for every 7 shares held. No dates have yet been set for the bonus issue nor for the board transfer from MESDAQ.
MGB is a profit making company. For the year ending December 2005, it gave out a dividend of 3 sen for shares held on July 2005. The latest unaudited quarterly results is assuring as it is anticipated that the performance for MGB will be as expected at year end 2007. Net asset per share this quarter is better at 0.2226 sen as compared to the same period for year of 2006 at 0.2166.
If all things remain equal, MGB should be announcing another dividend pay-out shortly for fiscal year 2006. I guess this should be soon before the issuance of the bonus issue.
Lately,the shares were pushed up to beyond 50 sen to help determine the price of 15% of its current shares for a private placement exercise. The price that was arrived at came to 42 sen.
Since then, MGB shares have been heading southwards. It touched 33 sen today.
To take full advantage of the bonus issue, an investor has to buy 7 lots of MGB. At 33 sen per share, it will cost him RM2,310 for this investment. If you pro-rate this with the new bonus issues, this will come to approximately 18 sen per share.
Assuming nothing serious and untoward happens at the bourses worldwide (The China bugbears?), this is a good buy. Ascending to the Main Board should fetch some premium.
Heartsong
MGB is a profit making company. For the year ending December 2005, it gave out a dividend of 3 sen for shares held on July 2005. The latest unaudited quarterly results is assuring as it is anticipated that the performance for MGB will be as expected at year end 2007. Net asset per share this quarter is better at 0.2226 sen as compared to the same period for year of 2006 at 0.2166.
If all things remain equal, MGB should be announcing another dividend pay-out shortly for fiscal year 2006. I guess this should be soon before the issuance of the bonus issue.
Lately,the shares were pushed up to beyond 50 sen to help determine the price of 15% of its current shares for a private placement exercise. The price that was arrived at came to 42 sen.
Since then, MGB shares have been heading southwards. It touched 33 sen today.
To take full advantage of the bonus issue, an investor has to buy 7 lots of MGB. At 33 sen per share, it will cost him RM2,310 for this investment. If you pro-rate this with the new bonus issues, this will come to approximately 18 sen per share.
Assuming nothing serious and untoward happens at the bourses worldwide (The China bugbears?), this is a good buy. Ascending to the Main Board should fetch some premium.
Heartsong
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