After listing BJRetail (BJR) on the Main Board last August 2010, it is really unexpected that Vincent Tan and his related parties will want to take it private once more after a mere 8 months.
In fact the stock has performed very poorly despite better results and a potential dividend in store.
It was offered at 50 sen during the IP0 and got as high as 56 sen. Subsequently, it succumbed to selling pressure because of too much loan stock conversion by related parties which to my notice, happens almost all the time. Before the price could stabilised, more were converted and off-loaded on the market as such miserable prices.
For those still holding BJR at 42.5 sen, this could be a God-send opportunity to get out of this dog counter at 65 sen.
Another thing that I noticed is BJFood (BJF) is also experiencing loan stock conversion and today, it occurred, bringing the price down.
With the trouble in Saudi Arabia and the tsunami in Japan,next week would not be a good week for any stock and BJF may just go down to its offer price of 51 sen.
So, for those intending to get into BJF, just watch out for the price next week to make an entry.
No comments:
Post a Comment