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25-02-2014, 10:15 AM
(This post was last modified: 25-02-2014, 11:07 AM by cyclone.)
IMHO :
- Buyer bewares. You have to take care of yourself.
- Don't drool on the asset, once again : asset, business, structure.
- Try to think as if you are the controlling shareholders.
Specuvestor: Asset - Business - Structure.
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25-02-2014, 12:49 PM
(This post was last modified: 25-02-2014, 09:42 PM by specuvestor.)
May I just add on part 3:
Try to think as if you are the controlling shareholder what would you do, in context of incentives including whether u care about capital gains or reputation
But please don't delude ourselves we can change things easily like the controlling shareholders... we are but just OPMI... we can only ride on the coat-tails of their likely decisions
Before you speak, listen. Before you write, think. Before you spend, earn. Before you invest, investigate. Before you criticize, wait. Before you pray, forgive. Before you quit, try. Before you retire, save. Before you die, give. –William A. Ward
Think Asset-Business-Structure (ABS)
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at this point, i thought it would be noteworthy to add to further that quite often, especially in companies which have survived 2-3generations, the controlling stake or a big stakeholder is often a pte ltd company which the first generation planned in such a way so as to try to keep the business within the family itself. eg yhs, when this holding company was broken down, the company would be then susceptible to external threats. another eg would be hong realty pte ltd which controls stakes in the kwek listed companies and still is.
it is different picture to consider if the controlling stakeholder was a pte ltd company with a collection of interested parties rather than a single person.
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Another one bites the dust.
The red flags were repeatedly brought up by different members at various times, so there was plenty of advance warning.
If anyone got caught despite reading this thread, well, hopefully they've learnt something.
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I do not give stock tips. So please do not ask, because you shall not receive.
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Had this question in mind for sometime. Can the board suspend the CEO if he own more than 50% of the company?
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Believe SGX as regulator will prosecute those who committed frauds .
“risk comes from not knowing what you’re doing.”
I don’t look to jump over 7-foot bars: I look around for 1-foot bars that I can step over.
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(26-02-2014, 08:21 AM)cfa Wrote: Believe SGX as regulator will prosecute those who committed frauds .
How? Eratat is not the first S-chip to fake its bank confirmation and bank statement.
Look at China Hongxing, China Gaoxian, Hongwei. All faked their cash balances and yet their CEOs are all living happily ever after.
So stop day dreaming and wake up to reality.
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We have CAD, CPIB and they are famous crime busters. Leave it to them and they will apprehend them in due course.
“risk comes from not knowing what you’re doing.”
I don’t look to jump over 7-foot bars: I look around for 1-foot bars that I can step over.
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(26-02-2014, 08:45 AM)cfa Wrote: We have CAD, CPIB and they are famous crime busters. Leave it to them and they will apprehend them in due course.
If you believe that, I've got a bridge to sell you.
Seriously, didn't you read the part where i said that the CEOs of fraudulent S-chips are living happily ever after?
And if CAD, CPIB are such famous crime busters, why haven't they prosecute those fraudulent S-chips yet?