TECHBASE ｜ Risk-free arbitrage operation

TECHBASE (8966) is about to issue additional shares. Each share of TECHBASE's parent stock will be able to subscribe for 5 shares of TECHBASE's ICULS. The subscription price for each share of ICULS is 5 cents, while the price for exchanging ICULS to the parent stock is 20 cents, or submit 4 ICULS shares for 1 parent share.

From here, we can see that there is room for operation; the individual Techbase's Zhuang Xian lowered the value of ICULS itself to 20 cents before the exclusion date, and in the Malaysian stock market, as long as the price after the exclusion date is lower than the conversion price of ICULS, then this will have a very small impact on the stock price of the parent stock itself, so after the parent stock price rebounds, the value of ICULS will rise rapidly, making investors profit.

The following is the arbitrage of the parent stock price against the value of ICULS.

Parent stock 25 cents = ICULS worth 10 cents (100% return)

Parent stock 30 cents = ICULS worth 15 cents (200% return)

Parent stock 35 cents = ICULS worth 20 cents (300% return)

Moreover, you can subscribe for 5 ICULS shares for every 1 parent share, so the profit can be doubled 5 times! The TECHBASE additional stock this time is simply a risk-free arbitrage mechanism!