Stock Name: KNM
Company Name: KNM GROUP BHD
Research House: MAYBANK
KUALA LUMPUR: Maybank Investment Bank Bhd Equity Research has downgraded KNM GROUP BHD [] to a sell at 73.5 sen with a lower target price of 68 sen (75 sen previously) following the aborted takeover by its founder.
While KNM's business is fundamentally unaffected, the failed takeover is negative on its major shareholder's reputation and credibility, which will be played out in its share price, it said.
Share price recovery may therefore take a while too, said the research house.
"We suspect an unattractive revised offer price and the recent tax incentives had caused the deal to fall through," it said.
KNM was the most actively trade stock in the morning trade on Thursday, April 15 with 82.24 million shares done at 9.31am. The share fell 6.5 sen to 67 sen.
Company Name: KNM GROUP BHD
Research House: MAYBANK
KUALA LUMPUR: Maybank Investment Bank Bhd Equity Research has downgraded KNM GROUP BHD [] to a sell at 73.5 sen with a lower target price of 68 sen (75 sen previously) following the aborted takeover by its founder.
While KNM's business is fundamentally unaffected, the failed takeover is negative on its major shareholder's reputation and credibility, which will be played out in its share price, it said.
Share price recovery may therefore take a while too, said the research house.
"We suspect an unattractive revised offer price and the recent tax incentives had caused the deal to fall through," it said.
KNM was the most actively trade stock in the morning trade on Thursday, April 15 with 82.24 million shares done at 9.31am. The share fell 6.5 sen to 67 sen.
No comments:
Post a Comment