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KCB rights issue
sparkly
#91 Posted : Monday, July 12, 2010 10:48:19 PM
Rank: Elder

Joined: 9/23/2009
Posts: 8,083
Location: Enk are Nyirobi
Got some at 17.75 today. I know i will make some money.
Life is short. Live passionately.
guru267
#92 Posted : Tuesday, July 13, 2010 12:31:46 AM
Rank: Elder

Joined: 1/21/2010
Posts: 6,675
Location: Nairobi
obiero wrote:
the half year results for KCB to be released tomorrow at 10 a.m will confirm this 110 year old's strength.

@obiero isn.t it too early?? And its not permitted to release results during trading hours
Mark 12:29
Deuteronomy 4:16
sl8r
#93 Posted : Tuesday, July 13, 2010 1:06:20 AM
Rank: New-farer

Joined: 5/20/2010
Posts: 69
what about an investor who buys the rights at .25\- lets say 100 000 rights, what profit does he stand to gain (or lose)?
the deal
#94 Posted : Tuesday, July 13, 2010 10:31:53 AM
Rank: Elder

Joined: 9/25/2009
Posts: 4,534
Location: Windhoek/Nairobbery
sparkly wrote:
Got some at 17.75 today. I know i will make some money.

@Sparkly dont forget the dilution????
StatMeister
#95 Posted : Tuesday, July 13, 2010 10:42:15 AM
Rank: Veteran

Joined: 5/23/2010
Posts: 868
Location: La Islas Galápagos
guru267 wrote:
obiero wrote:
the half year results for KCB to be released tomorrow at 10 a.m will confirm this 110 year old's strength.

@obiero isn.t it too early?? And its not permitted to release results during trading hours


results in 13 days (ignoring weekend) . . . unlikely as accounts have to be reconciled, financials prepared, results discussed, some cooking happens, then more discussion and then some more (but final) cooking . . .

and trust me that right now, the KCB finance team is more worried about the rights than H1 results

A bad day fishing is better than a good day at work
MaichBlack
#96 Posted : Tuesday, July 13, 2010 12:23:34 PM
Rank: Elder

Joined: 7/22/2009
Posts: 7,851
The way I see it, under subscription will have two effects:

1) It will betray the low confidence investors have in the bank [as a business], the stock and/or the management - Share price heads south.
2) The dilution will not be a big as earlier envisaged - Share price stabilizes or heads north.

The question is which of the two will carry the day?

Never count on making a good sale. Have the purchase price be so attractive that even a mediocre sale gives good returns.
sparkly
#97 Posted : Tuesday, July 13, 2010 2:05:49 PM
Rank: Elder

Joined: 9/23/2009
Posts: 8,083
Location: Enk are Nyirobi
the deal wrote:
sparkly wrote:
Got some at 17.75 today. I know i will make some money.

@Sparkly dont forget the dilution????


@the deal KCB's dividend yield is currently 64% larger than the market yield, second only to BAT and Sameer.

I expect profitability to improve on the basis of the capital injection, wiping out the effect of the dilution.

The DY will revert to the market yield, meaning an up to 50% rise in the price.

of course this is just one way of looking at it.




Life is short. Live passionately.
cnn
#98 Posted : Tuesday, July 13, 2010 3:21:17 PM
Rank: Veteran

Joined: 6/17/2009
Posts: 1,627
Half year pre-tax profit is up only 16%,where does the share price go?
youcan'tstopusnow
#99 Posted : Tuesday, July 13, 2010 3:39:11 PM
Rank: Chief

Joined: 3/24/2010
Posts: 6,779
Location: Black Africa
In my opinion, those are not exactly terrible results, but I think they will be lower than the market average (we'll see when other banks release their results)
GOD BLESS YOUR LIFE
the deal
#100 Posted : Tuesday, July 13, 2010 3:41:09 PM
Rank: Elder

Joined: 9/25/2009
Posts: 4,534
Location: Windhoek/Nairobbery
cnn wrote:
Half year pre-tax profit is up only 16%,where does the share price go?

whats the PAT??? I think this will be the lowest in the banking sector...expect Equity to do 50% and above...
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