JINS Community

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Blue Whale
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Re: JINS Community

Postby Blue Whale » Thu Mar 08, 2018 10:54 am

Blue Whale wrote:JINS has reached its indicative price post share buy back. Any fall below 25 can create good arbitrage opportunities. If you target around 24 or 23 I think low risk opportunity for short term gains.


Looks like spot on. After massive fall turned around from 24/-. :-bd
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Re: JINS Community

Postby Blue Whale » Thu Mar 08, 2018 6:33 pm

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Re: JINS Community

Postby Blue Whale » Fri Mar 09, 2018 11:04 am

Came back to 26/- . As said buying at 24 -23 level created arbitrage profit opportunities. :-bd
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Re: JINS Community

Postby Fair investor » Fri Mar 09, 2018 12:35 pm

Now my strategy is buy at current market price the equal quantity which i am going to accept the offer (36.70)

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Re: JINS Community

Postby PAT » Fri Mar 09, 2018 12:39 pm

Fair investor wrote:Now my strategy is buy at current market price the equal quantity which i am going to accept the offer (36.70)


:-?

SP might come down to 23/24 again
Better be careful buying around 26
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Re: JINS Community

Postby Fair investor » Fri Mar 09, 2018 12:41 pm

PAT wrote:
Fair investor wrote:Now my strategy is buy at current market price the equal quantity which i am going to accept the offer (36.70)


:-?

SP might come down to 23/24 again
Better be careful buying around 26


Thanks PAT for advise

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Re: JINS Community

Postby Thilee » Fri Mar 09, 2018 2:15 pm

Hi, anyone can you clarify me on the below.

JINS said that they are going to repurchase jins shares for rs36.70. There should be two advantages for the stakeholders as per my understanding. Stakeholders can sell their shares to the company back at 36.70. And also, the shares' price will be increased after the repurchase for sure.

My questions here is, the foregoing implies me that the price of the shares at the secondary market should go up , as per the logic. However, I see the case is not like this. Can you please someone educate me why the price came down to 26.40 instead of moving towards 36.70?

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Re: JINS Community

Postby PAT » Fri Mar 09, 2018 3:00 pm

Thilee wrote:Hi, anyone can you clarify me on the below.

JINS said that they are going to repurchase jins shares for rs36.70. There should be two advantages for the stakeholders as per my understanding. Stakeholders can sell their shares to the company back at 36.70. And also, the shares' price will be increased after the repurchase for sure.

My questions here is, the foregoing implies me that the price of the shares at the secondary market should go up , as per the logic. However, I see the case is not like this. Can you please someone educate me why the price came down to 26.40 instead of moving towards 36.70?


If you buy shares now you are not entitl for shares buy back
That too company will buy only 3 out of 5 shares you held as of 28 February
Since they sold one of the profitable business more chances are there to settle around Rs 23/24
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Re: JINS Community

Postby Thilee » Fri Mar 09, 2018 4:47 pm

Thank you, Pat. Got you :)

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Re: JINS Community

Postby lukedesilva » Fri Mar 09, 2018 5:45 pm

My advise is to realize your gains and to stay out. It may in time drift back to post hype level.

There are some still trying to milk this counter.

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Re: JINS Community

Postby iF1985 JUNIOR » Fri Mar 09, 2018 8:44 pm

Fair investor wrote:Now my strategy is buy at current market price the equal quantity which i am going to accept the offer (36.70)


What I'm hearing is this strategy is like , buying Jin's @ 16 when it was selling others considering EPS, Investors bought based on asset value.not Eps
No guarantee but trick might work this time for another reason.....
8-}
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Re: JINS Community

Postby Blue Whale » Sun Mar 11, 2018 10:00 pm

The share repurchase is subject to withholding tax. Is this means they are going to deduct 10% from the total repurchase consideration :-\
If that is the case then that is a hell of a transaction cost ne :ymdevil:
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Re: JINS Community

Postby PAT » Sun Mar 11, 2018 11:23 pm

Blue Whale wrote:The share repurchase is subject to withholding tax. Is this means they are going to deduct 10% from the total repurchase consideration :-\
If that is the case then that is a hell of a transaction cost ne :ymdevil:


........ 8-x
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Re: JINS Community

Postby iF1985 JUNIOR » Mon Mar 12, 2018 12:49 am

It's too late now , if it is applicable no choice.... :-q
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Re: JINS Community

Postby Blue Whale » Mon Mar 12, 2018 7:10 am

iF1985 JUNIOR wrote:It's too late now , if it is applicable no choice.... :-q

You can hold on to it. :D
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Re: JINS Community

Postby iF1985 JUNIOR » Mon Mar 12, 2018 10:49 am

Of course, no issue at all, even on process of increasing Qty. Up to manageable level.
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Re: JINS Community

Postby Blue Whale » Mon Mar 12, 2018 8:14 pm

If the 10% of the withholding tax is applied on sales proceeds I wonder how many will exercise there entitlement unless their cost will be very low around 24 or 25.
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Re: JINS Community

Postby _MAHESH_ » Mon Mar 12, 2018 9:51 pm

Can WHT be charged on the total repurchase consideration since it includes the capital portion (initial investment) as well? So if there is a WHT charge, shouldn't it be on the capital appreciation portion? Then again, capital gain on sale of shares is exempt from WHT right ?

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Re: JINS Community

Postby stocks hunter » Mon Mar 12, 2018 9:58 pm

_MAHESH_ wrote:Can WHT be charged on the total repurchase consideration since it includes the capital portion (initial investment) as well? So if there is a WHT charge, shouldn't it be on the capital appreciation portion? Then again, capital gain on sale of shares is exempt from WHT right ?


Welcome to TEC forum friend.....

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Re: JINS Community

Postby iF1985 JUNIOR » Tue Mar 13, 2018 1:09 am

_MAHESH_ wrote:Can WHT be charged on the total repurchase consideration since it includes the capital portion (initial investment) as well? So if there is a WHT charge, shouldn't it be on the capital appreciation portion? Then again, capital gain on sale of shares is exempt from WHT right ?


Yeah Mahesh, your last point seems very important. I wish you got it right. ^:)^
Cheers mate.

B-)
Unfortunately not much opinions to compare.
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Re: JINS Community

Postby Blue Whale » Tue Mar 13, 2018 7:10 am

Has anyone been able to check with secretaries :-?
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Re: JINS Community

Postby lukedesilva » Tue Mar 13, 2018 9:12 am

As far as I know Capital Gains exempted only for QUOTED shares. I do believe that general insurance business was a separate entity and remained unquoted. In addition to that there is stamp duty.

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Re: JINS Community

Postby lukedesilva » Tue Mar 13, 2018 9:16 am

But these taxes will be absorbed by JINS. However the distribution is a deemed dividend in my view and is subjected to WHT.

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Re: JINS Community

Postby lukedesilva » Tue Mar 13, 2018 9:18 am

Or could it be argued, that its a simple case of returning the capital to share holders.

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Re: JINS Community

Postby lukedesilva » Tue Mar 13, 2018 9:20 am

JINS would have good the best possible opinion, who wants to donate big money. Since there was no mention of WHT I dont think there will be.


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