The $SINGAPORE AIRLINES LTD(C6L.SI)$MCB rights will start to trade on 2nd Jun 2021, 9 am and last trading day for the rights is on 10th Jun 2021. During this period, investors who do not want to subscribe for their pro-rata share of MCB are able to sell the rights in the open market. Just to recall, during the last MCB rights issue in 2020, the rights traded as low as 0.001 cents as there were no buyers for the rights.Those investors who want to subscribe for the rights are able to do so between 2nd June 2021 and 16th June 2021.Now, here comes the question. Should you subscribe for SIA MCB?Let me paint 2 scenarios for you, assuming that you have subscribed for the MCB.In the first scenario, we assume SIA recovers strongly from the Covid-19 impact i

Here comes another round of nightmare for $SINGAPORE AIRLINES LTD(C6L.SI)$ shareholders. Last night, SIA announced a renounceable rights issue of mandatory convertible bonds (“MCB”) to raise another S$6.2 billion from shareholders. In summary, a shareholder of SIA holding 1000 shares will have the right to take up 2090 MCBs issued at par of S$1 per share. Terms of this MCB is generally the same as the one that was issued in Jun 2020. If you have bought SIA shares yesterday, you would have paid around S$4,700 for 1 lot of the shares. But now, you will have to fork out an additional S$2,090 to subscribe for the MCBs, that is if you choose to subscribe for the shares. What do you get out of these MCBs? 1. No coupon payment through

Almost a month ago, CapitaLand made a major announcement that it will be restructuring the company by separating the company into 2 distinct units – a real estate development unit and a fund management + lodging unit. The real estate development unit shall be privatized and what is left will be the fund management + lodging unit, which will remain listed on SGX.In return, shareholders of CapitaLand will receive S$0.951 cash per share + 0.155 unit of Capitaland Integrated Commercial Trust for each CapitaLand share that they own.According to CapitaLand, the implied consideration to shareholders is S$4.102 per share, comprising cash consideration – S$0.951 per share + 1 share of fund management company for each CapitaLand share held (valued at S$2.823/share based on NAV) + 0.155 unit of of Ca

$KEPPEL CORPORATION LIMITED(BN4.SI)$ and $SEMBCORP MARINE LTD(S51.SI)$ have both halted trading of their shares this morning. Looks like the long awaited restructuring of their oil and gas businesses is finally here!

After the initial gap down after the restructuring announcement, $SINGAPORE PRESS HLDGS LTD(T39.SI)$ has since closed the gap and moved back to the pre-announcement price level.Is this gain sustainable?I remained unimpressed by SPH for 4 key reasons:1) SPH is not just giving away it media business for free. It is, in fact, throwing away S$110 mil in cash, SPH and SPR REIT shares to get rid of the media business.2) Transaction is NAV dilutive, dropping from S$2.24 per share to S$2.08 per share. Gearing will rise from 30.9% to 32.4%.3) Lack of confidence in management. The poor handling of media question and attitude of senior management is a good indication of how things are being run in the company.4) Lack of an impressive track record in real

As I continue to follow the trading of $SINGAPORE AIRLINES LTD(C6L.SI)$ MCB Rights in the secondary market, an interesting observation came to me.Earlier when afternoon trading reopened in for the Singapore market, there were approximately 9.2 million of SIA MCB Rights transacted at 0.001 through married deal.9.2 million of SIA MCB Rights doesnt cost a lot. At 0.001, it is worth only $9,200. The next question that came to my mind is what this buyer is planning to do with the MCB Rights.First, he could be a long-term supporter of SIA and he is buying the Rights to subscribe for the MCB. But to subscribe, it will cost him $9.2 million to take up his rights. That is a lot of money! And this money will be locked up for 9 years! Even if the investo

What is the outlook for the US market like? Let us take a quick look at the charts of the key US indices for some insights.DOW JONES- There is a risk of a potential double top formation. After hitting resistance in early June, DJIA has reversed its course and is in a correction mode.- DJIA still remains in the uptrend channel and the medium-term uptrend remains intact. - Yesterdays price action was somewhat slightly bias towards the positive side. The index hit its horizontal support line and buyers came back to support, trimming the loses in the index.- Outlook for DJIA: As the horizontal support line converges with the uptrend channel support line, there should be support at 33,600 level. This level may still be retested in the coming days and if hold up well, we can expect DJIA to start

$SINGAPORE AIRLINES LTD(C6L.SI)$ MCB rights started trading this morning, opening at 0.001 and traded to as high as 0.004. Take note that the previous tranch of MCB is now trading on the secondary market at 1.001. Hence, the implied value of the rights is only 0.001 (1.001 less subscription price of 1, excluding comms). Beware of chasing after the rights. 

$SINGTEL(Z74.SI)$ is at a critical support level. 2.30 support must hold, failing which, we may see a new round of selling to 2.15 level. Intraday bid ask volume is turning bearish as bid queue is dropping while ask queue is building up.