Article on the website of The Star:
Takeover offer for Wing Tai Malaysia seen undervalued
One snippet:
He further notes that only less than 15% shares in Wing Tai are held collectively by institutional investors, who are more likely to have the holding power.
“Even if they stand together, it will be difficult to pose any challenge to the offer,” he explains.
CIMB Research made the following comment:
We see this transaction as positive for Wing Tai, as it is earnings accretive by reducing minority leakage from WTM.
Loyal minority investors who held on to their Wing Tai shares throughout the years, through thick and thin, are now described as causing "minority leakage" to the majority shareholder.
Well, I guess that is one way to put it, definitely not mine though. Has the term ever been used when a company went for a listing, as in: "we want to IPO our subsidiary because we want to increase minority leakage"?
This is called in Cantonese.." Pull the plank after crossing the river" .No gratitude to minority shareholders !!!
ReplyDeleteClose down the company and liquidate it will be more fair ,and can get more for the minority shareholders !!! Daylight robbery !!!