Many companies in Bursa are probably doing share buybacks for all the wrong reasons. (I should not be checking on buyback, but it still is reflective of the behavior of the management - can't help it) I thought the one I found out on Pelikan is bad enough. At least Pelikan has a decent business. Just that economic condition in Europe affected them badly. This one (N2N) as I noticed, the company has RM3.5 million cash, just bought a RM36 million property with debt.
Net Tangible Asset Value of RM29.6 million against market capitalization of RM148 million (at the price they bought back some of shares). Latest FY2011, registered losses of RM1.35 million. They are buying back shares? Bought back some 2 million stocks. What the @#$%. Must be dreaming share price is undervalued!
Serious Investing!
Showing posts with label N2N Connect. Show all posts
Showing posts with label N2N Connect. Show all posts
Monday, March 12, 2012
Thursday, July 21, 2011
N2N Connect - A RM15m revenue company buying a RM36 million property?
I am just wondering for an IT company with registered revenue of below RM4 million for last quarter of 31 March 2011. Current cash and some marketable securities totaling RM13.9 million, registered a net loss of RM6.5 million last year got the guts to use shareholders money to buy a RM36 million property. Although I am far from owning any of this shares and not interested to know much about N2N, I think the thought of using these money to buy a RM36 million property is disgusting. In Malay it is called "menjijikkan".
Serious Investing!
Serious Investing!
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