Friday, January 4, 2013

Lesson to be learn on SP Setia Warrant B














Again it is another story that how important to read the announcement in the Bursa website before you decided to jump in any share.

Trader who trade in warrant, know that few important facts they need to know before buying into it, the basic info is the exercise price, exercise ratio and the expiry date. And actually one should alert on its last trading day which it is NOT on the expiry date.

Market have a lot of warrant traded out there and why I choose SPSetia-WB in this post? Normally, most of the warrant traded in Malaysia is trading at a premium, which mean the warrant price plus the exercise price value is more than the mother share value. This type of warrant that trading at the premium until near its expiry date normally will avoided by trader.

What is special on SPsetia-WB is it trading at discount on its last trading day on 3rd January 2013. The exercise price for SPSetia-WB is RM2.99, expire on 22nd January 2013. By looking at the mother share trading at the range of RM3.09 to RM3.15 on 3rd January 2013, seeing the Warrant B trading at about RM0.07 to RM0.09 may let some trader see it is an attractive price.

But without notice it will be suspended on 4th January 2013, some may ended up loaded a big bulk on the last day due to a lower price entry, as if the trader don't have sufficient fund to do the conversion, it may ended up the warrant just lapse at no value.

SPSETIA-EXPIRY AND FINAL EXERCISE OF WARRANTS 2008/2013 ("EXERCISE")

S P SETIA BERHAD

LISTING'S CIRCULAR NO. L/Q : 66779 OF 2012


    Kindly be advised of the following:

    (i) SPSETIA's Warrants will expire at 5.00 p.m., on Monday, 21 January 2013 ("Expiry Date"). The remaining outstanding Warrants which are not exercised by the Expiry Date will lapse and become NULL and VOID and cease to be exercisable after the Expiry Date.

    (ii) Trading in SPSETIA's Warrants will be suspended with effect from 9.00 a.m., Friday, 4 January 2013.

    (iii) SPSETIA's Warrants will be removed from the Official List of Bursa Securities with effect from 9.00 a.m., Tuesday, 22 January 2013.

    Your attention is drawn to SPSETIA's Notice to Warrantholders dated 18 December 2012.


Announcement Info

Company NameS P SETIA BERHAD  
Stock NameSPSETIA    
Date Announced20 Dec 2012  
CategoryListing Circular
Reference NoNE-121218-57692
 

No comments:

Post a Comment