Cocolnd: Another Offer Coming?

In early June, Cocolnd rallied to RM2.60 in June after it received an offer from First Pacific to buy out the business which valued the shares at RM2.70 apiece. This was an improvement to another offer from a Navis Asia fund to buy over the company at RM2.20 per share in late May. The Navis Asia's offer was promptly rejected by Cocolnd.

However, First Pacific withdrew its offer on July 19, which sent Cocolnd's share price tumbling to RM2.00. After the sharp drop, Cocolnd's share price recovered its lost ground over the past few weeks. Today, it managed to surpass the recent high of RM2.60-2.61. As at 11.45am, Cocolnd was trading at RM2.68.

Based on the bullish upside breakout above the recent high, Cocolnd could potentially revisit its 2010 high of RM3.00. Thus, the stock could be a trading BUY.


Chart 1: Cocolnd's daily chart as at Aug 6, 2015_10.45am (Source: ShareInvestor)


Chart 2: Cocolnd's monthly chart as at Aug 6, 2015_10.45am (Source: ShareInvestor)

For brief write-up of the company's business, go to my earlier post (here).  

Note:
In addition to the disclaimer in the preamble to my blog, I hereby confirm that I do not have any relevant interest in, or any interest in the acquisition or disposal of, Cocolnd.