Superprime1 wrote:Kenya Re proposes bonus issue in the ratio of 3:1!
Also looking to set up subsidiary in Uganda.
Scratching my head.
1) Why the 3:1 bonus?
The shares were trading at 11/- on Friday but for ease I will use 12/-.
12/4 = 3 which is similar to shady firms like Neveready, Olympia, Cables, Tranny and KQ.
2) KenyaRe has 11.5% of UgandaRe. Why not explore a partnership with UgandaRe by buying more shares in it?
I am OK with a UG subsidiary given it might be what is necessary to compete in the market.
What I do not mind is the price remaining at the 10-11-ish level after the bonus

*Dreaming*
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett