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SHL - Recovering ?

3 posters

Go down  Message [Page 1 of 1]

1SHL - Recovering ? Empty SHL - Recovering ? Sun Jul 17, 2011 7:52 pm

Anna Panna

Anna Panna
Stock Trader

Please read this very informative article that I extracted from another web page.

Dear Friends,
I feel sorry about people who did “panicky selling” on the first day trading, and also about people who would sell without a good profit in view of SHL.

WHY am I telling so?

There can be two reasons for SHL to come down below IPO price:
1. Financial Crooks, who had private placement earlier, might start selling and the price level came down. (Then, why did they start it from Rs. 25?)
2. SHL itself might start selling to get the price down, because of the Reverse Theory in IPOs.

What is this jargon?

As retailers, basically we buy first, and then sell. But, for IPO handlers – they can sell first and buy later, which means in case of SHL:
No shares traded so far - 79,913100 Turn Over - Rs. 1,83,5157504
Average price per share - Rs. 22.96
In Reversed Theory: SHL IPO handlers have bought at Rs. 22.96 and sold at Rs. 29.
The profit per share - Rs. 6.04

My Observations:
1. As per the first reason, if those financial crooks are selling continuously, the price level can come down further.
2. As per the second reason, If it leaves 20% for day traders or panicky buyers, SHL IPO handlers have collected 63.9 million shares (80% of 79, 913100), at an approximately a profit of Rs. 6.04 per share ( Total - 385.9 Mil).

Therefore, SHL IPO handlers can bring upon this share at Rs. 35 levels (29+6.04), without losing any cents, and from such level - they can decide whether it should go up further or not (approximately 63.9 Mil of share fluctuation from Rs. 29) or can maintain 29-30 with a huge profit.

With the present trading pattern, IPO handlers can hit 29-30 levels by one shot. But delaying the process may give more chance for financial crooks to manipulate further, and to get the price level down. Then, the public interest and confidence would drastically go down and they may go away and SHL would be out of focus. Anyhow, now, the momentum seems OK, but we can’t predict how far they may focus it or go away from focus. That is up to them to decide.

Moral and ethical obligations are imperative in any business, and the nature will punish those crooks, in different ways at unexpected times, who manipulate the genuine interest of poor general public - honestly invested in the company.

This is merely an academic analysis and copyright reserved for “Reverse Theory in Marketing”
This posting is not meant for any buying or selling of SHL shares, but for your genuine comments please.

2SHL - Recovering ? Empty SHL - Recovering ? Sun Jul 17, 2011 8:01 pm

Sure N Shot

Sure N Shot
Equity Analytic
Equity Analytic

Thanks a lot "Anna Panna"
An excellent analysis....

Also see the web link below:

Speaking to Mirror Business on the same issue, Channa De Silva, CEO, LR Global Fund ………, “Don’t rush to sell, just because the stock has fallen below the IPO price on the first day. Company stocks have the ability to emerge again,” he emphasized.

http://print.dailymirror.lk/business/127-local/49970-investors-have-lost-faith-in-ipos-.html[b]

3SHL - Recovering ? Empty Re: SHL - Recovering ? Sun Jul 17, 2011 11:01 pm

Genting


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics

Little Correction

Those shares which were trading past few days were not sold at 29. They belong to PP guys who bought at 7.2

Carson has sold about 28mn shares which they bought at 7.2 each.

So, IPO handlers actually loosing money cos they were buying at 22 which they sold for 7.2.

4SHL - Recovering ? Empty Re: SHL - Recovering ? Mon Jul 18, 2011 12:16 am

Sure N Shot

Sure N Shot
Equity Analytic
Equity Analytic

Then, IPO handlers are trying their best to place the price up.
Good move...we must support them, but to be survived.

how do u say that Carson has sold 28Mn shares. Where was it indicated or published?

Then, we know who are these financial crooks - that is why the whole group is in a nose dive but showing with financial gilmarts from Malaysia.

5SHL - Recovering ? Empty Re: SHL - Recovering ? Mon Jul 18, 2011 12:30 am

Anna Panna

Anna Panna
Stock Trader

Dear Genting,

Thanks for your information, but tell us your source please.

What is your expecting price level of SHL ?

Any other prediction?

Who are the other crooks selling PP shares below IPO price?

6SHL - Recovering ? Empty Re: SHL - Recovering ? Mon Jul 18, 2011 6:37 am

Genting


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics

http://www.ft.lk/2011/07/14/spirited-rebound-by-softlogic/

"Carsons Group had sold almost the entirety of its shareholding obtained in the private placement of Softlogic in February 2010 worth Rs. 7.20 per share. "

7SHL - Recovering ? Empty Re: SHL - Recovering ? Mon Jul 18, 2011 5:37 pm

Genting


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics


Seems like another set of PP guys have started selling....

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