BJFoods and Its Warrants-Opening Trades

Losing traction

Well, as expected the price of BJFoods (BJF) slumped to 92 sen before recovering to 94 sen for a loss of 3 sen.

The warrants opened at 48 sen before being traded down to 42 sen.

If you take the price of RM1.43 sen before it went ex-all, the difference will be RM1.43-94 sen = (a loss of 49sen) sen. Tack on 42 sen and you still lose 7 sen.

So, for those who kept the share and took the rights and warrants, it is a loss if you bought in at RM1.43 sen cum rights.

Only those who bought at RM1.36 will break even on gross; losing on nett.

Those who bought at  RM1.32 will scrap through with no losses.

What you need to do is maybe become a long-term player on this counter and hope that Starbucks will bring big bucks to you!

So, have you got the picture now?