Note that, I am not supporting either QL or the controlling shareholder of Lay Hong.
We know that QL Resources is having a go at Lay Hong by offering a General Offer for the shares of Lay Hong to minority shareholders. It has been acquiring Lay Hong shares at below RM3.45.
Based on the above, QL has acquired close to Lay Hong's controlling shareholders stake of around 43%.
What does the current management do in defence? Well, through private placements and director's shares options scheme - up to 45% that is (See below). Imagine how much dilution could QL's shares be affected?
|Proposal by Lay Hong|