Popular Holdings

(19-01-2015, 07:32 PM)investor101 Wrote: Price now drop to $0.31 even though the offer is for $0.32. What gives?

Some investors do not want to take the risk in case the offer fails, and some prefer to take profit instead of waiting for another month. Anyway, it's likely the offer will succeed, as the market price is below the offer price.

(19-01-2015, 11:14 PM)Louhan Wrote:

(19-01-2015, 07:32 PM)investor101 Wrote: Price now drop to $0.31 even though the offer is for $0.32. What gives?

Some investors do not want to take the risk in case the offer fails, and some prefer to take profit instead of waiting for another month. Anyway, it's likely the offer will succeed, as the market price is below the offer price.

Opportunity cost might be another driver for early liquidation of the investment. It takes time for the offer to materialize.

I posted two articles on Popular, one back from 2012, and one just today reviewing the underlying thesis and divestment.

Divestment & Review of Popular Holdings 2015:

http://theasiareport.com/divestment-of-p...is-review/

Post from 2014 on Popular Holdings

http://theasiareport.com/review-of-popul...pril-2012/

Cheers,

I read in HWZ that a remisier called up Popular IR and was told that the company would not be disclosing their acceptance level until they reached 90%.

If its true, then its strange cos I was under the impression that disclosure was mandatory. Or is it because its a conditional offer so disclosure is not mandatory?

(06-02-2015, 12:45 PM)lonewolf Wrote: I read in HWZ that a remisier called up Popular IR and was told that the company would not be disclosing their acceptance level until they reached 90%.

If its true, then its strange cos I was under the impression that disclosure was mandatory. Or is it because its a conditional offer so disclosure is not mandatory?

Can this be implied that the acceptance rate is very poor, and Popular IR didn't want to disclose, for fear that it would affect the 90% success rate?

I think let's not assume and wait for the IFA report to be out. As for myself, i will definitely be tendering my shares for the offer.

If you think about it, why would Popular not want the offer to succeed and why would shareholders not want to accept this pretty decent offer in my opinion taking into consideration the looming penalties for unsold properties?

I personally think there is a very good chance of success for the offer to go through.

I fully agree as offer is very attractive and win win for both management & shareholders. Shareholders are able to avoid the loss of penalties which will start happening from May.

Bid and offer price at 31 and 31.5 cents respectively are below takeover price of 32 cents. My question is why isn't the offeror buying the shares in the open market since it is below the takeover price?

(12-02-2015, 10:11 AM)ricklim1 Wrote: Bid and offer price at 31 and 31.5 cents respectively are below takeover price of 32 cents. My question is why isn't the offeror buying the shares in the open market since it is below the takeover price?

there is a chance the takeover will never succeed, there is always some time value of money, so you must also be compensated for the money you put to hold popular,

(12-02-2015, 10:11 AM)ricklim1 Wrote: Bid and offer price at 31 and 31.5 cents respectively are below takeover price of 32 cents. My question is why isn't the offeror buying the shares in the open market since it is below the takeover price?

read the question wrongly, i think the offeror wants to be sure he get 90% holding before committing the price