Google

Monday, December 22, 2008

DBS 1 for 2 Rights issue

SINGAPORE, 22 December 2008 - DBS Group Holdings Ltd (“DBS”) today announced a rights issue (“Rights Issue”) to raise net proceeds of approximately SGD 4billion on the basis of one new ordinary share (“Rights Share”) for every two existingshares held as at 5.00 p.m. on 31 December 2008.

I have 1 lot of DBS share with the buy in price 9.88.
The right issue reminds me of Standard Chartered Bank (SCB) who has just completed the right issue on Nov 2008.

The announcement was made during 24 Nov 2008, let's look at how is the market responds:
On Nov 24, SCB open at 728, declines to 695, 4.5%, and bounce back to 725, thanks to the strong rally of 10% rise FTSE100 on that day.
On Nov 25, the price shoot up to 840, a 15% rally.
Will DBS share behaves the same way? at closing price 9.37, DBS cannot really claim they are trading at 45% discount, and this remains less attractive to the investors.
The Rights Issue price of SGD 5.42 per share represents approximately 45%discount to the last traded share price of SGD 9.85 on 19 December 2008 andapproximately 35% discount to the theoretical ex-rights share price of SGD 8.37 pershare.
I would love to see whether DBS share price will rally these few days until Friday to prove my guessing ( through analysis ) is correct.

12 comments:

Anonymous said...

Hello!
You may probably be very curious to know how one can manage to receive high yields on investments.
There is no need to invest much at first.
You may begin to get income with a sum that usually is spent
on daily food, that's 20-100 dollars.
I have been participating in one company's work for several years,
and I'm ready to share my secrets at my blog.

Please visit my pages and send me private message to get the info.

P.S. I earn 1000-2000 per daily now.

http://theinvestblog.com [url=http://theinvestblog.com]Online Investment Blog[/url]

Anonymous said...

Cool blog! Is your theme custom made or did you download it
from somewhere? A design like yours with a few simple adjustements would
really make my blog jump out. Please let me know where you got your theme.
Many thanks

Here is my site - binary options bonuses

Anonymous said...

Thanks to my father who shared with me concerning this webpage, this weblog is genuinely remarkable.


Review my blog post; http://productionpartners.geiger.com/author/MichaelMo

Anonymous said...

Hello, i read your blog from time to time and i own a similar one and i was just wondering if you get a lot of spam feedback?

If so how do you stop it, any plugin or anything you can recommend?
I get so much lately it's driving me mad so any support is very much appreciated.

my page; vanessa minnillo

Anonymous said...

I was recommended this web site through my cousin.
I'm no longer positive whether this submit is written by way of him as no one else understand such unique approximately my problem. You're
wonderful! Thank you!

Here is my page :: laser hair removal dark skin

Anonymous said...

I love what you guys tend to be up too. This type of clever work and reporting!

Keep up the good works guys I've added you guys to blogroll.

my blog post :: Organic Hair Products

Anonymous said...

I know this site offers quality dependent articles and extra data, is there any
other web page which offers these kinds of stuff
in quality?

Also visit my web blog ... garage rubber mats

Anonymous said...

Hi! I've been reading your blog for a while now and finally got the courage to go ahead and give you
a shout out from Huffman Tx!
Just wanted to say keep up the good
job!

My blog post real state ct ()

Anonymous said...

I'm amazed, I have to admit. Rarely do I come across a blog that's both
equally educative and entertaining, and without a doubt, you have hit the nail on the head.
The issue is something that too few folks are speaking intelligently
about. I am very happy I stumbled across this in my hunt for something concerning this.


Also visit my blog What is binary options trading

Anonymous said...

I wanted to thank you for this wonderful read!! I definitely enjoyed every little bit of it.
I have you bookmarked to look at new stuff you post…

Look into my site lush hair extensions

Anonymous said...

Your style is unique compared to other people I've read stuff from. I appreciate you for posting when you have the opportunity, Guess I'll
just bookmark this page.

Look at my blog post ... reseller web hosting []

Anonymous said...

Hello there! Do you know if they make any plugins to protect against hackers?

I'm kinda paranoid about losing everything I've worked hard on.

Any suggestions?

Also visit my homepage online binary option trading