Published: Wednesday April 24, 2013 MYT 4:23:00 PM
MISC's 800,000 shares crossed below market price
KUALA LUMPUR: MISC Bhd's 800,000 shares were traded off-market at RM4.15 each on Wednesday.
According to stock market data, this was 39 sen or 8.59% below Tuesday's closing price of RM4.54.
At 4.15pm, it was down two sen to RM4.52 in regular trade.
MISC had been in focus after Petroliam Nasional Bhd launched a takeover offer for the company. However, the takeover did not get through.
As at last Friday, Petronas secured acceptances which took its stake in MISC to 86%, short of the 90% required to make the RM5.50 a share general offer unconditional.
CIMB Research said many event-driven and short-term funds had recently taken positions in MISC to play the general offer (GO) and it did not expect these shareholders to hold on to their stakes.
It pointed out Petronas would not be able to make another offer for one year. It added it was neutral on shipping overall.
"Prior to the GO, our target price for MISC was RM4.32, which is at a 30% discount to its SOP of RM6.17 to factor in the lack of catalysts to the stock and the depressed tanker cycle.
"As the GO has failed, we will likely reduce our current target price of RM5.30 back to about RM4.32. However, investors should look for a possible aggressive selloff that exposes deep value," it said.