Motivation
to write is important
There are
times when the mind is simply blank and I do not know what to post in my coming
blogs. I know a lot of current issues are going on, example the on-going saga
of Integrax Berhad between the offeror Tenaga Nasional Berhad and
Encik Amin Halim Rasip, the co-founder of Integrax Berhad.
As I have
been at least maintaining two postings per month since the mid of 2013
(occasionally three times per month), I would still like to maintain that
current rate if possible.
But as I
mentioned, sometimes the mind is just not there or the motivation or mood to
come out with something to write. It is this period where you hope a stroke of
magic will come to the mind by someone or somewhere or somehow.
That stroke
of magic came during last week when I bumped into a old friend whom I have not
seen for several months. I have known him for many years and one of the topics
we used to shared with each other is about investment in Bursa Malaysia.
We used to
exchange our stocks purchases from time to time. When I was beginning to post
my blog in the middle of 2013, I shared with him my posting. Initially he was
puzzled that someone simple like me could turn out to be a stock blogger and
wasn't sure if it was really me.
Then one
evening, before my blog was going to be posted on that late night, I let him
know of what my contents would be before posting. It is then that my old friend
finally believed in me as a stock blogger.
Back to this
old friend which I bumped into him last week, he congratulated me of my early
good investment in Integrax. As my last few postings were mainly about
Integrax, it made me realised that there are still actually friends who are
regular readers of my postings and some of them have actually went on bravely to
buy some of the shares I shared.
Well, this
made me feel appreciated and motivated. Nevertheless, I have always
emphasised that nothing is free in the investment world and for every decision
one makes, one is ultimately responsible for his own actions.
I must admit
that as I am just a human being, I do have feeling of up and down especially
when the shares I shared with go down knowing that some of my friends and
followers have bought into it. I do not feel nice about it at all. Luckily most
of my friends and followers are matured enough to know that stocks going up and
down are an acceptable norm whether the views are expressively shared by
bloggers like me.
Buying
during crisis provides
greater
margin of safety
Readers
would still remember that I bought into three different stocks, namely Thong
Guan Industries Berhad, Supermax Corporation Berhad and Century Logistics
Holdings Berhad during the near peak
selling times when oil prices continued to plunge.
Since then,
market have recovered substantially and most "normal" or
"average" stocks are no longer trading near its 52-week lows.
These three
stocks recently released their results which were expected to be normal results
except the surprising loss by Thong Guan. Nevertheless, all these three stocks
are still trading above my buying prices. This goes to prove a point that
buying stocks periodically during crisis stands a good chance of buying near
their lows and provide a huge safety margin for investors because market will
always eventually goes back to its pre-normal level.
Settling for
second best
A recent
official statement released by Tenaga Nasional Berhad regarding its plan to
take over Integrax Berhad provided an inkling of clue that finally
Tenaga is settling for a controlling stake at best.
Its
President/Chief Executive Officer Datuk Seri Ir. Azman Mohd said Tenaga
is optimistic of acquiring a controlling stake in Integrax with its offer
pegged at RM3.25 per share.
Knowing that
the little 'David" Encik Amin Halim Rasip, the co-founder of Integrax
would not be selling his over his stakes, Tenaga at best hopes to win a
controlling stake by buying shares from all other minorities shareholders.
Although Perak
Corp Bhd looks likely to sell their stakes to Tenaga, is it still enough
for Tenaga? There is no guarantee that Tenaga will end up with a
controlling stakes as other minorities groups are very silently about this even
up at this point.
Besides,
Amin has been aggressively buying Integrax shares from the open market from
time to time to increase his stakes.
This
on-going tussle for taking over Integrax only serves to remind investors the
important of Integrax as a valuable asset to invest.
At the
moment, minorities who invested before Tenaga's initial offer of RM2.75 in
January 2015 are surely sitting pretty good based on the current price of
Integrax.
But comes
March 31, whether Tenaga ends up with a controlling stake or not, we will get
the chance to witness how Integrax share prices would be by then.
History of
profiting from
stocks in
port business
Since
learning to invest since 1993, I have the opportunity to invest in ports stocks, namely Bintulu Port
Holdings Berhad, NCB Holdings Berhad, Johore Port (privatised at RM2.50)
and have so far came out winners with profits.
I acquired
1,000 shares of Bintulu Port and Johore Port immediately after the bombing of
the World Trade Centre in 2001 at respective price of RM1.68 and RM1.02.
When Bintulu
crept up to RM3.20, I sold it off and witnessed the stock continued to climb
north with fabulous dividends along the years until the current share price of
RM7.20!
Johore Port
was privatised (forcefully, shall I say?) at RM2.50 years later.
As for NCB,
you can read it back from my previous blogs.
And now
comes Integrax Bhd, another stock in port business. Ironically, this time it is
rather big business for me because for every ten sen rise in Integrax shares,
it means an additional paper profit of RM1,800 for me.
Now you know
how many shares I hold in Integrax.
