Thursday, 1 November 2012

AmBank issues new structured warrants

Friday October 26, 2012

KUALA LUMPUR: AmBank (M) Bhd is issuing five new European style cash-settled structured call warrants (CW) over the ordinary shares ofAstro Malaysia Holdings BhdLingkaran Trans Kota Holdings Bhd andTop Glove Corp Bhd.
It is also issuing one European style cash-settled structured put warrant (PW) over the ordinary shares of Astro to meet investors’ demand for trading and investment opportunities in the current market scenario,AmBank Group said in a statement.
The structured warrants will be listed for trading on Oct 29, via the market making method, with issue size of up to 100 million each.
Director/head, equity derivatives, AmInvestment Bank Ng Ee Fang said:“As Malaysia’s benchmark FBMKLCI Index inched higher to hit new record highs, investor optimism remains as the local stock market is buoyed by liquidity and strong demand for good quality, high-yielding equity names.
“The slew of high-profile, multi-billion dollar IPOs year-to-date also played a significant part in attracting global investors’ interest to the local bourse.”
Besides Felda Global Ventures and IHH Healthcare, Ng said Astro became the third multi-billion dollar IPO on Bursa Malaysia this year when it raised US$1.5bil from its IPO last Friday.
“Therefore, for AmBank’s upcoming tranche of warrants, AmBank will be offering three call warrants and one put warrant over Astro to provide investors opportunities to participate and trade on both the direction and volatility of Astro.
There will also be two call warrants over Top Glove and Litrak.
AmBank’s three CWs on Astro are priced at 15 sen each with gearings of 2.5 and 4 times.
AmBank’s PW on Astro is also priced at 15 sen each with gearing of 5 times.
AmBank’s CW on Top Glove is priced at 15 sen each with gearing of 2.96 times while the CW on Litrak is priced at 15 sen each with gearing of 2.7 times.
This offer is aimed at sophisticated traders who want to trade on the direction and volatility of Astro, Top Glove and Litrak. – Bernama

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