103972822
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$YTL (4677.MY)$
YTL Corporation Berhad and YTL Power International Berhad, subsidiaries of YTL Group, announced on January 23, 2025, their plan to issue free warrants to shareholders as dividends.
Issuance ratio: For every 5 shares of common stock held, shareholders will receive 1 free warrant.
Warrants expiration: 3 years, exercisable at any time within the period.
Exercise price: RM1.50 per share
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Here comes the question:
Why would the issuance of these warrants impact the stock price?
BecauseYes.Not TradableOnly need to have the money to convert to the parent stock. Due to the Warrants not being tradable, there may be losses if the stock price falls when exercising the Warrants.
2.Potential Dilution of Shares
Explain with a simple example.
Scenario 1: YTL does not issue additional shares (no dilution).
Assuming YTL currently has a total of 1,000 shares (just for illustration), and you hold 200 shares, then your ownership percentage is:
200÷1000=20 %
Scenario 2: YTL has issued new Warrants that have been approved, and everyone has exercised their rights (resulting in share dilution).
Assuming YTL issues an additional 500 shares of Warrants, the...
YTL Corporation Berhad and YTL Power International Berhad, subsidiaries of YTL Group, announced on January 23, 2025, their plan to issue free warrants to shareholders as dividends.
Issuance ratio: For every 5 shares of common stock held, shareholders will receive 1 free warrant.
Warrants expiration: 3 years, exercisable at any time within the period.
Exercise price: RM1.50 per share
-
Here comes the question:
Why would the issuance of these warrants impact the stock price?
BecauseYes.Not TradableOnly need to have the money to convert to the parent stock. Due to the Warrants not being tradable, there may be losses if the stock price falls when exercising the Warrants.
2.Potential Dilution of Shares
Explain with a simple example.
Scenario 1: YTL does not issue additional shares (no dilution).
Assuming YTL currently has a total of 1,000 shares (just for illustration), and you hold 200 shares, then your ownership percentage is:
200÷1000=20 %
Scenario 2: YTL has issued new Warrants that have been approved, and everyone has exercised their rights (resulting in share dilution).
Assuming YTL issues an additional 500 shares of Warrants, the...
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$YTL (4677.MY)$Buy at 2.69, it's killing me 😭 and I've been losing money all the time.
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$GENM (4715.MY)$ Can buy and hold long long still a good company nevertheless
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$YTL (4677.MY)$ not bad, thought the epf fear will kick in and ppl panic sell
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103972822
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