$ABMB (2488.MY)$ If you look historically among many banks in Malaysia, many banks have issued rights in the past, namely Maybank, Public Bank, RHB Bank, Hong Leong Bank, AmBank, and it is not an indicator to panic sell, as these banks have faired reasonably well after their rights issue, so in the long run (considering nothing bad happens) it will go up.
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kvin108
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personally i like their RI, panic sell is just an opportunity for me to accumulate more, while RI i will definitely subscribe it, as can get cheaper price too, basically, for long term as in 3-5 years, it is a good return, at least better than putting your money in fd, and higher return rate than malaysia CPI, overall, good buying chance (for me)
Will try harder
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Banks issue rights issues mainly to raise additional capital for various strategic and regulatory reasons. Here are the key reasons why a bank might do so: Strengthening Capital Adequacy Ratio (CAR), Business expansion, Covering NPL, Reducing debt level, Improving market confidence. For the case of ABMB, officially it is noted as Business Expansion. ABMB has relativelly smaller asset and market capitalization compared to the big boys, but it is not the smallest among the other siblings. With the issue of Right Issue, hopefully one day it will be one of the big boys in the market.
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All the best for 2molo
If you look historically among many banks in Malaysia, many banks have issued rights in the past, namely Maybank, Public Bank, RHB Bank, Hong Leong Bank, AmBank, and it is not an indicator to panic sell, as these banks have faired reasonably well after their rights issue, so in the long run (considering nothing bad happens) it will go up.
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