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kipusa
#1 Posted : Sunday, May 01, 2011 9:35:23 PM
Rank: New-farer


Joined: 4/26/2011
Posts: 8
To the more experienced investors: Is National Bank good for speculation or long term investment?
selah
#2 Posted : Monday, July 25, 2011 12:42:34 PM
Rank: Elder


Joined: 10/13/2009
Posts: 1,950
Location: in kenya
I still wonder If you invest in this bank do one do it for speculative purposes or why would one invest in this bank.

First of all the shareholding structure is skewed in favor of the Govt not only as majority share holder in ordinary shares but also as having twice the number of shares in 6% preference shares.

If the govt was to convert its preference shares into ordinary shares that would be one hell of a dilution.

IF plans are underway to privatize this bank then it will be interesting to see how the govt will divest from this bank without serious dilution to ordinary shareholders.
'......to the acknowledgment of the mystery of God, and of the Father, and of Christ; 3 In whom are hid all the treasures of wisdom and knowledge.' Colossians 2:2-3
FUNKY
#3 Posted : Monday, July 25, 2011 1:18:47 PM
Rank: Veteran


Joined: 4/30/2010
Posts: 1,635
@ kipusa - at the moment it is very cheap and i will advice if you have spare money just buy these shares. If you check the past trends this share always falls to such low levels but then again shoots up to above 40-50/- levels.
Iborian
#4 Posted : Monday, July 25, 2011 1:38:57 PM
Rank: Member


Joined: 4/17/2009
Posts: 194
Speculation one can try. Long term - ABSOLUTELY NO WAY. See post no. 2 above for explanations.
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