RICH massive capital gain

Slstock · 1 RICH massive capital gain Mon Sep 19, 2011 5:37 pm

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http://cse.lk/cmt/upload_cse_announcements/8991316430322_.pdf

RICH has accepted Mandatory offer to sell 25% of its holdings of AAIC.

So capital gain should be roughly around Rs 859 Million. Works out to be about Rs 0.44 per share ( need to double check) Not too shabby at all if I did not make a mistake.

Last edited by slstock on Mon Sep 19, 2011 5:53 pm; edited 1 time in total

WildBear · 2 Re: RICH massive capital gain Mon Sep 19, 2011 5:44 pm

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I heard RICH planning into a new insurance firm, I think they've just got the necessary capital

nkalansu · 3 Re: RICH massive capital gain Mon Sep 19, 2011 7:30 pm

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As per the announcement the RICH group will get funds around Rs.1,125.7 Million (1.12 Billion).

So what would be the likely impact on the share price. What would you guys thinks of where these funds will be invested?

early · 4 Re: RICH massive capital gain Mon Sep 19, 2011 7:54 pm

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nkalansu wrote:As per the announcement the RICH group will get funds around Rs.1,125.7 Million (1.12 Billion).

So what would be the likely impact on the share price. What would you guys thinks of where these funds will be invested?

The prudent investements by RICH are paying off. Rich share price was affected due to a large provisioning of 626 Mn during last quater, in view of the plantation wage hike. Therefore the share price was stagnating bettween Rs 10/- and Rs11/-. The present inflow of funds that you have mentioned is allmost double that amount and should give a tremendous boost to the vaue of the share. I feel RICH would get back to the Rs 15/- to Rs 16/- trading range it was in during the early part of the year quite soon.

ninja · 5 Re: RICH massive capital gain Mon Sep 19, 2011 9:47 pm

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The price 120/= seems a very good price as the price valuation report suggested only 79-80 a share. Isn't it a good deal for RICH?

manula · 6 Re: RICH massive capital gain Mon Sep 19, 2011 9:54 pm

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Soft logic company is going to buy... for 120 Rs... How they got a such money.. from the high value IPO...

Slstock · 7 Re: RICH massive capital gain Tue Sep 20, 2011 3:25 am

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nkalansu wrote:As per the announcement the RICH group will get funds around Rs.1,125.7 Million (1.12 Billion).

So what would be the likely impact on the share price. What would you guys thinks of where these funds will be invested?

Correct but you need to deduct investment costs from total gains. Hence my profit calculation of around 859million.

nkalansu · 8 Re: RICH massive capital gain Tue Sep 20, 2011 9:30 am

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slstock wrote:

nkalansu wrote:As per the announcement the RICH group will get funds around Rs.1,125.7 Million (1.12 Billion).

So what would be the likely impact on the share price. What would you guys thinks of where these funds will be invested?

Correct but you need to deduct investment costs from total gains. Hence my profit calculation of around 859million.

Actually I was not talking about the profit or the gain. What I was referring to the amount of cash that the company is getting.

Effectively they are getting cash around Rs. 1.12 Bn. Well you can do lot of things with those funds. Put up 2 new shopping malls OR invest in plantations OR put up a new insurance company OR Put up a new Finance company OR Put up a Hotel.......etc etc etc..........so many things.

What would be the best investment????

Disclosure : I hold RICH shares and very optimistic of this company

Last edited by nkalansu on Tue Sep 20, 2011 11:51 am; edited 1 time in total

PGNN · 9 Re: RICH massive capital gain Tue Sep 20, 2011 11:23 am

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early wrote:

nkalansu wrote:As per the announcement the RICH group will get funds around Rs.1,125.7 Million (1.12 Billion).

So what would be the likely impact on the share price. What would you guys thinks of where these funds will be invested?

The prudent investements by RICH are paying off. Rich share price was affected due to a large provisioning of 626 Mn during last quater, in view of the plantation wage hike. Therefore the share price was stagnating bettween Rs 10/- and Rs11/-. The present inflow of funds that you have mentioned is allmost double that amount and should give a tremendous boost to the vaue of the share. I feel RICH would get back to the Rs 15/- to Rs 16/- trading range it was in during the early part of the year quite soon.

Currently (20.09.2011 - 11.30am) RICH.N trading at Rs10.30, so it's seems to be at a bargain.

ninja · 10 Re: RICH massive capital gain Tue Sep 20, 2011 11:33 am

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Don't forget they have plans to expand their business into education sector. Currently, there is a 11000 million annual cash outflow for foreign education. This seems a big business untouched so far. As we know, RICH does things big like their super markets. Let's hope something good comes out of this deal.
NOTE: I have RICH shares and I may be over optimistic on this share.

bakapandithaya · 11 Re: RICH massive capital gain Tue Sep 20, 2011 1:27 pm

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nkalansu wrote:

slstock wrote:

nkalansu wrote:As per the announcement the RICH group will get funds around Rs.1,125.7 Million (1.12 Billion).

So what would be the likely impact on the share price. What would you guys thinks of where these funds will be invested?

Correct but you need to deduct investment costs from total gains. Hence my profit calculation of around 859million.

Actually I was not talking about the profit or the gain. What I was referring to the amount of cash that the company is getting.

Effectively they are getting cash around Rs. 1.12 Bn. Well you can do lot of things with those funds. Put up 2 new shopping malls OR invest in plantations OR put up a new insurance company OR Put up a new Finance company OR Put up a Hotel.......etc etc etc..........so many things.

What would be the best investment????

Disclosure : I hold RICH shares and very optimistic of this company

slstock - ana gaththaneda lol!

Gaja · 12 Re: RICH massive capital gain Tue Sep 20, 2011 1:45 pm

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i thing they will use part of this money to meet the capital requirement of there new insurance company. This is only a guess!

Chinwi · 13 Re: RICH massive capital gain Tue Sep 20, 2011 1:55 pm

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bakapandithaya wrote:

nkalansu wrote:

slstock wrote:

nkalansu wrote:As per the announcement the RICH group will get funds around Rs.1,125.7 Million (1.12 Billion).

So what would be the likely impact on the share price. What would you guys thinks of where these funds will be invested?

Correct but you need to deduct investment costs from total gains. Hence my profit calculation of around 859million.

Actually I was not talking about the profit or the gain. What I was referring to the amount of cash that the company is getting.

slstock - ana gaththaneda

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bakapandithaya
joined 3 days ago , already made 87 posts ! .
Talking like a well known guy appearing in a fake name ?. Wink

Slstock · 14 Re: RICH massive capital gain Tue Sep 20, 2011 1:57 pm

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bakapandithaya wrote:

nkalansu wrote:

slstock wrote:

nkalansu wrote:As per the announcement the RICH group will get funds around Rs.1,125.7 Million (1.12 Billion).

So what would be the likely impact on the share price. What would you guys thinks of where these funds will be invested?

Correct but you need to deduct investment costs from total gains. Hence my profit calculation of around 859million.

Actually I was not talking about the profit or the gain. What I was referring to the amount of cash that the company is getting.

Effectively they are getting cash around Rs. 1.12 Bn. Well you can do lot of things with those funds. Put up 2 new shopping malls OR invest in plantations OR put up a new insurance company OR Put up a new Finance company OR Put up a Hotel.......etc etc etc..........so many things.

What would be the best investment????

Disclosure : I hold RICH shares and very optimistic of this company

slstock - ana gaththaneda

nkalansu
Yes I see what you are saying. I think they might go for an Insurance company. But also there was talk about an education project.

bakapandithaya

What is there to anaganna. For me to take time to calculate and present the gains to the forum? The selling total nkalasu says and the profit gain I mentioned is different as investment cost needs to be deducted from selling total to calculate gain.

Should I stop wasting my time presenting these facts to you so you can do it yourself?

Kindly understand that nkalasu and myself is having educated discussion.

BTW, like Chinwi pointed out your style reminds me of another person in this forum who used to
LOL lol!

Last edited by slstock on Tue Sep 20, 2011 3:30 pm; edited 2 times in total

rijayasooriya · 15 Re: RICH massive capital gain Tue Sep 20, 2011 2:23 pm

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slstock wrote:bakapandithaya
What is there to anaganna. For me to take time to calculate and present the gains to the forum? The selling total as nkalasu says and the profit gain is different.
Should I stop wasting my time presenting these facts to you so you can do it yourself?

බකපණ්ඩිතයො කියන කතා ගනන් ගන්න හොඳ නැහැ

PGNN · 16 Re: RICH massive capital gain Tue Sep 20, 2011 3:24 pm

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I think we all need to respect others. People can make mistakes, errors, typographical problems, etc etc.... . what ever the case I think we need to respectfully respond to others. I don't think any one of us is 100% perfect. If each and every topic posted in this forum is going to be ended up with fire fightings and harsh arguments, it will be the end of purpose of this forum. To my understanding this should be a "table of knowledge and experience sharing". Not only under this topic I have seen certain other recent topics, ends up with a kind of a harassment to the contributors.
"The more we get together, together, together.
The more we get together, the happier we'll be.
‘Cause your friends are my friends and my friends are your friends
The more we get together the happier we'll be."

Slstock · 17 Re: RICH massive capital gain Tue Sep 20, 2011 3:44 pm

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PGNN wrote:I think we all need to respect others. People can make mistakes, errors, typographical problems, etc etc.... . what ever the case I think we need to respectfully respond to others. I don't think any one of us is 100% perfect. If each and every topic posted in this forum is going to be ended up with fire fightings and harsh arguments, it will be the end of purpose of this forum. To my understanding this should be a "table of knowledge and experience sharing". Not only under this topic I have seen certain other recent topics, ends up with a kind of a harassment to the contributors.
"The more we get together, together, together.
The more we get together, the happier we'll be.
‘Cause your friends are my friends and my friends are your friends
The more we get together the happier we'll be."

Agreed PGNN

If there is a mistake in post it is decent to point out in a polite way so it can be corrected. Is there any here?
If there is no mistake and one has nothing worthwhile to contribute to the post it is more decent to keep quite.

BTW, RICH is getting more attractive with the down trend. This was a share once trading at Rs 16. Got hit by Wage issue as the mother company. Next quarter the one time gratuity provision might not be there. So we can gather the direction RICH will be heading with regard to plantation sector. But due to their other intesrest ( financial, supermarkets, manufacturing, education, maybe insurance) this is
a diversified at low prices.

cse.profit · 18 Re: RICH massive capital gain Tue Sep 20, 2011 3:48 pm

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rijayasooriya wrote:

slstock wrote:bakapandithaya
What is there to anaganna. For me to take time to calculate and present the gains to the forum? The selling total as nkalasu says and the profit gain is different.
Should I stop wasting my time presenting these facts to you so you can do it yourself?

බකපණ්ඩිතයො කියන කතා ගනන් ගන්න හොඳ නැහැ

slstock pandithyanta edanden yanna amarulu machan..hmm ....Some people sacrifice their valuable time and try to educate market and negative comments like this will definitely make them away from these kind of valuable forum. Hope every one remembered what happened to tubal.May god bless all of us..

kiwwoth nahii....nokiwwath nahii...eka nisa kiwwa hode...(Acoording to the insider information i got the latest film of ranjan will be a flop- I hope sec will not arrest me for insider dealing...)....hehehe..jokes apart please we are not blaming any one my freind. please let us all get together and make this forum a better place.

SL.Market · 19 Re: RICH massive capital gain Tue Sep 20, 2011 3:58 pm

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slstock wrote:

bakapandithaya wrote:

nkalansu wrote:

slstock wrote:

nkalansu wrote:As per the announcement the RICH group will get funds around Rs.1,125.7 Million (1.12 Billion).

So what would be the likely impact on the share price. What would you guys thinks of where these funds will be invested?

Correct but you need to deduct investment costs from total gains. Hence my profit calculation of around 859million.

Actually I was not talking about the profit or the gain. What I was referring to the amount of cash that the company is getting.

Effectively they are getting cash around Rs. 1.12 Bn. Well you can do lot of things with those funds. Put up 2 new shopping malls OR invest in plantations OR put up a new insurance company OR Put up a new Finance company OR Put up a Hotel.......etc etc etc..........so many things.

What would be the best investment????

Disclosure : I hold RICH shares and very optimistic of this company

slstock - ana gaththaneda

nkalansu
Yes I see what you are saying. I think they might go for an Insurance company. But also there was talk about an education project.

bakapandithaya

What is there to anaganna. For me to take time to calculate and present the gains to the forum? The selling total nkalasu says and the profit gain I mentioned is different as investment cost needs to be deducted from selling total to calculate gain.

Should I stop wasting my time presenting these facts to you so you can do it yourself?

Kindly understand that nkalasu and myself is having educated discussion.

BTW, like Chinwi pointed out your style reminds me of another person in this forum who used to
LOL

Dear Slstock...
You add value to the forum..
dont get anything seriuos
and any one can make mistakes but those who doing nothing do not make any mistakes...
Thank you presence here burning your valuable time

Slstock · 20 Re: RICH massive capital gain Tue Sep 20, 2011 4:07 pm

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Thanks for the reply chinwi, cse.profit, sl.market, rjayasooriya.

BTW if one is confused or interested

The Capital gain is around = 1125.7 - (25 + 37.5 + 204) = 859 Million

Selling Price = is around Rs 1125.7 Million

Capital gain is calculated using the Selling price (1125.7 million ) - initial investment (25 + 37.5 + 204)

PGNN · 21 Re: RICH massive capital gain Tue Sep 20, 2011 4:21 pm

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slstock wrote:
Thanks for the reply chinwi, cse.profit, sl.market, rjayasooriya.

BTW if one is confused or interested

The Capital gain is around = 1125.7 - (25 + 37.5 + 204) = 859 Million

Selling Price = is around Rs 1125.7 Million

Capital gain is calculated using the Selling price (1125.7 million ) - initial investment (25 + 37.5 + 204)

- aha well explained cheers

nkalansu · 22 Re: RICH massive capital gain Tue Sep 20, 2011 4:23 pm

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slstock wrote:
Thanks for the reply chinwi, cse.profit, sl.market, rjayasooriya.

BTW if one is confused or interested

The Capital gain is around = 1125.7 - (25 + 37.5 + 204) = 859 Million

Selling Price = is around Rs 1125.7 Million

Capital gain is calculated using the Selling price (1125.7 million ) - initial investment (25 + 37.5 + 204)

Oh dear.... oh dear.... oh dear................

What a discussion. Me and slstock are in the center of this discussion.

Well well.... I don't think slstock made a mistake..... can anybody show me whether he has made a mistake?? I don't think so. All the calculations are perfect. It is just that i was referring to the cash generated from this transaction which is basically the sales value. It is just a misinterpretation. That's ok. It has happened to me....it can happen to anybody.

However I too think that disrespecting others is not good thing. Not a good quality.

I personally believe that slstock does a great job to improve the quality of the discussions in this forum. I respect that.

Last edited by nkalansu on Tue Sep 20, 2011 6:33 pm; edited 1 time in total (Reason for editing : grammar mistake)

PGNN · 23 Re: RICH massive capital gain Tue Sep 20, 2011 4:26 pm

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nkalansu wrote:

slstock wrote:
Thanks for the reply chinwi, cse.profit, sl.market, rjayasooriya.

BTW if one is confused or interested

The Capital gain is around = 1125.7 - (25 + 37.5 + 204) = 859 Million

Selling Price = is around Rs 1125.7 Million

Capital gain is calculated using the Selling price (1125.7 million ) - initial investment (25 + 37.5 + 204)

Oh dear.... oh dear.... oh dear................

What a discussion. Me and slstock in the center of this discussion.

Well well.... I don't think slstock made a mistake..... can anybody show me whether he has made a mistake?? I don't think so. All the calculations are perfect. It is just that i was referring to the cash generated from this transaction which is basically the sales value. It is just a misinterpretation. That's ok. It has happened to me....it can happen to anybody.

However I too think that disrespecting others is not good thing. Not a good quality.

I personally believe that slstock does a great job to improve the quality of the discussions in this forum. I respect that.

No one made a mistake other than the BAKAPANDITHAYA

nkalansu · 24 Re: RICH massive capital gain Tue Sep 20, 2011 4:30 pm

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Dear Experts...

Can anybody explain why AAIC is going up instead of RICH...????

RICH received the capital gain.....why AAIC going up?

Since RICH has agreed to the mandatory offer almost 99% shares are with SOFTLOGIC group now....now... is there a greater room for artificial price increase of AAIC? Who is doing it?

PGNN · 25 Re: RICH massive capital gain Tue Sep 20, 2011 4:33 pm

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nkalansu wrote:Dear Experts...

Can anybody explain why AAIC is going up instead of RICH...????

RICH received the capital gain.....why AAIC going up?

Since RICH has agreed to the mandatory offer almost 99% shares are with SOFTLOGIC group now....now... is there a greater room for artificial price increase of AAIC? Who is doing it?

Couldn't it because of either the same party who bought from RICH or some other party collecting to get more control over AAIC.

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RICH massive capital gain

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