Looking at how poorly Maxis stock price performs since it’s relisting in the local stock market, those who didn’t get it through the supposingly transparent IPO balloting and was sulking can now grin from ear to ear (didn’t I tell you so? *grin*). 

The stock didn’t get to touch RM6.00 a share (as I expected because at RM6.00 the stock would be trading at a whopping EPS of 20 times) and fortunately retailers didn’t chase the stock. As I’ve mentioned earlier the local stock market is probably already at its peak but most importantly Maxis is now a different animal. Faced with saturation in mobile telecommunication sector, investors need more than marketing talk to be convinced that it’s worth throwing more money investing the stock.

You may already know about this by now but the fact was retailers who applied for Maxis IPO via ATMs (automated teller machines) other than CIMB’s ATMs had pathetic low percentage of securing the shares. Hence if you wish to talk about transparency (in balloting) maybe this is a simple area to start investigating why the special preferences to CIMB, the banking company owned by none other than PM Najib’s brother which happened to be the main underwriter of Maxis IPO exercise. OK, let’s stop talking about Maxis IPO because there are more important issues that you should know.

The latest bombshell in the global financial market is definitely the crisis faced by once the mighty-booming Dubai. The United Arab Emirates’s investment and development engine, Dubai World, announced last week that it was seeking a six-month delay in paying creditors on nearly US$60 billion in debt. As a result Dubai’s stock exchange plunged more than 7 percent while share prices of Dubai World tumbled almost 15 percent when market opened early Monday (today). UAE’s central bank may did the right thing by instantly pledging to make funding available to all banks in the country (including foreign banking’s branches) but it didn’t promise any carrot to help Dubai World. This US$60 billion (some said US$90 billion or more) can potentially become the largest sovereign debt default since Argentina.

READ MORE HERE 

Comments (8)

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written by AsamLaksa, December 01, 2009 19:10:16

Actually I read about it more than 6 months back in the Times UK. Among the points raised then was Dubai looking to Abu Dhabi for funds and Abu Dhabi wanting a controlling stake in Emirates Air which back then was a very profitable venture and a rival to Abu Dhabi's national carrier, Etihad. But no concrete action was taken then thus no big news. Every financial pundit can tell you that there was trouble brewing what with the credit crunch and downturn in international travel.

It's only big news after they ask for the delay in repayment.

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written by michael chick, December 01, 2009 12:39:26

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written by arazak, December 01, 2009 12:03:03

I know of some UMNO cronies and leaders who had plundered our country and laundered the money in Dubai buying properties and shares. We say they are stealing money from the people (the rakyaat), and that money is "haram". But God is great. . ., now most of them gor burnt when the property market in Dubai plunged. Some say by 40%. The stock market is alsso tumbling and shaky. Even worst, due to greed, some borrowed money to buy properties besides using the money they have stolen ffrom us. Now, their wealth in Dubai is negative. Instead of making money, they are facing with debt.

Serves them right. . .!

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written by bambooman, December 01, 2009 11:55:55

definition of a NOBLE man :

he leads a simple and meaningful life
he leads a honest example
his words and actions complement each other
he is very generous to ALL human and animals ( including pigs and dogs).

this DKK maha tiew is not even close to any one of the above....and there are jokers who gladly fight each other to S U C K his B A L L S!!!!....and they are not ashame to appoint him to be a senior minister!!!!

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written by Midvalley, December 01, 2009 11:32:14

I 100% agreed with you penengboi the GREED and MASSIVE CORRUPTIONS of umno/bn over 53 years has casued us Malaysian to be poor and look down upon. KICK OUT BN for a better Malaysia. We must all do our part to convince as many friends, associates, relatives that whatever "bad" PR we must still vote for them because we have NO CHOICE. C H A N G E IS THE ONLY WAY.

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written by Ghifarix, December 01, 2009 09:29:15

Frankly speaking what's alleged to be Dubai woes aren't real trouble considering the sum involved. USD60Billion is chick-peas.
The problem is that when the US howls the rest of the pack barks.
UAE alone have the cash not to mention its EU&US foreign asset to more than cover/pay-off this mingy sum. What we are seeing is an excuse to rip-off India and Russian business and a host of SMIs. It isn't about moratorium its the "TREND" to put it succinctly. They're setting up unwanted non-traditional Johny-Come -Lately's' investors for the con. Rest assured corrupt Malaysian cop orate-politicians will feel the sting. Yes we have endless sums invested illegally or otherwise over there.

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written by jasonsel, December 01, 2009 08:49:42

Many may think Mahatir did wonders for Malaysia ...but its would be really interesting to see what LKY could have done with all the resources available in Malaysia.

Secondly, Mahatir may have developed malaysia , but it does not give him the right to rob it.........its like a malaysian fireman putting out a fire in a house but thinks he has the right to loot the property in that house.

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written by penangboi, December 01, 2009 08:16:18

The parallels drawn between Abu Dhabi and our Mamakutty are proof that greed is the cause of a country's disease.

At least the former has $650 billion of personal wealth and plenty of oil fields to fall back on. Mamakutty has billions stacked away too, I'm sure, but hey Malaysia's broke as broke is.

It is not surprising news that Malaysia is broke. After so many years of pillaging and plundering by the BN/UMNO robbers the country's coffer has finally seen bottom.

And the plundering hasn't stopped as is evident in the Matrade Convention Centre- Land swap deal.

Malaysia is many times blessed compared to Singapore with abundant land, natural resources etc but why is it that the Sing Dollar is 2.4 times the ringgit? Why is there a virtual 'time warp' of 10 years between Malaysia and Singapore? Yes, Malaysia is lucky indeed but luck is no match for GREED.

But fellow Malaysians, there is still hope yet to turn the ship around for us. And please, please believe me, the ONLY WAY of redemption for the country is to KICK OUT BN/UMNO from government. There is NO OTHER way.

So, please get this firmly implanted in your mnd set and most important dessiminate this fact to all Malaysians so that come next GE13 we can kick UMNO/BN out and save our country from going down the gurglers.

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