NICORP's LPG venture is GONE !

NICORP plan to diversify the company into the liquefied petroleum gas (LPG) business has hit snag.

In an announcement to Bursa Malaysia yesterday, Nicorp said Aspire Rich Sdn Bhd had received a letter from Oman-based Natural Gas Co (NGC) stating that the agreement between the two parties to acquire the LPG assets from Shell Trading Sdn Bhd had been terminated.

The announcement to Bursa are as followed:-

"NICORP wishes to announce that the Company had on 13 June 2012 received a letter dated 12 June 2012 from Aspire Rich informing that Aspire Rich had received a letter from Oman-based Natural Gas Co (S.A.O.G.) (“NGC”) stating, amongst others, that the agreement entered into between NGC and Aspire Rich to jointly acquire the said LPG Assets via a special purpose vehicle namely NGC Energy Sdn. Bhd. has been terminated with immediate effect.

NICORP was also informed that Aspire Rich is disputing the termination of the aforesaid agreement and is seeking legal advice on the matter.

In this respect, NICORP will also be seeking legal advice in relation to the Letter of Invitation from Aspire Rich to NICORP dated 12 March 2012."

Look like NICORP is staying as a Timber company afterall.

Another good news from NICORP

NICORP has been invited to participate to purchase a liquefied petroleum gas (LPG) business from Shell Malaysia.

The offer is from a Oman based company called National Gas Company(NGC) which won the bid to buy Shell Malaysia Trading Sdn Bhd (SMTSB) its LPG business for around RM275 million recently.

NGC is partnering with Aspire Sdn Bhd to set up a 40-60 special purpose vehicle to undertake the disposal.

Aspire is owned by Wan Zainalam Wan Yusoff and Wan Zulkifle Wan Yusoff on a 60-40 basis.

But the detail of purchasing by Nicorp has not been stated and will make the necessary announcement.

If the purchase is successful then there will add another core business to the current property investment, property development and round logs timber extraction.

Will NICORP bounce back?

Finally NICORP down yesterday after two weeks of excitement, the price closed at 56 sen, down 11 sen. The volume traded was the second highest of the today.

For last four trading days, investors saw the share price 'jumped' from low of 6.5 sen to highest of 75 sen and closed at 67 sen on last Thursday before suspended pending announcement a day later.

There are several reasons why it was down yesterday:-

- T+4

- Profit-taking

- Uncertainty over NICORP future after latest announcement on last Friday.

Surely, this is just a pull-back from recent run-up and it was very unlikely the share will drop back to January's level of 6.5 sen.

Will there bounce back or continue to fall...........

NICORP, it is over now !

NICORP made another announcement last Friday after it was requested by the company to be suspended for the day pending announcement.

With the announcement, basically it answered all the excitement created by the counter. For last two week, the share price was up from 6.5 sen to highest of 75 sen, trading on the counter was super-bullish and its also get the query and warning (to investors) from Bursa.

In the latest announcement, NICORP told Bursa that it had entered into a heads of agreement (HOA) with Generasi Cipta to buy 60% of Sagajuta for RM240 mil.

Datuk Raymond Chan is also a director of Generasi Cipta, who incidentally bought 12% of NICORP shares from Crest Energy. Basically it was like a reverse takeover by NICORP.

The announcement includes:-

- To have the par value of NICORP reduced from 20 sen to 10 sen. The reduction of par value will indirectly      raise RM70 mil to set off NICORP losses of RM64 mil as at end of Sep 2011.

- Nicorp to buy the remaining 40% of Sagajuta shares which was not owned by Generasi Cipta.

- Issuance of ordinary shares, irredeemable convertible loan stocks (ICULS) and also free warrants.

- The projects with Sagajuta include 1Borneo Hypermall, 1Sulaiman, 1Gateway and 1Likas.

For details announcement here.

With the announcement, basically it will be the end of Nicorp excitement created for last two week. The next question is how will the market react to this announcement ?

NICORP, a DESIGNATED SECURITIES?

With recent sharp-rise in the price and volume. Will Bursa declared a DESIGNATED SECURITIES status on NICORP?

NICORP has been actively traded in Bursa Malaysia since last Friday and the price was jumped from the low of RM0.065 to today's closed at RM0.67 within three trading days.

The stock continue yesterday limit-up to open at around RM0.70 and highest of the day was RM0.75, a mere 4 cents from reaching another limit-up in two days. In fact, RM0.75 is the highest in many years.

NICORP managed to answer Bursa UMA query last Friday and subsequently announced their new major shareholders on Wednesday after Crest Energy disposed its 22.8% of Nicorp shares to the new shareholders.

Even with the announcement of new shareholders, the stock still traded actively and it almost hit another limit-up.

Surely, Bursa is having an eye on this counter. As there already issued a circular to advise investors to exercise caution in the trading of NICORP shares yesterday afternoon.

If the advise failed to stop the price from going wild. Are there going to declare a DESIGNATED SECURITIES status on NICORP? This is a million ringgit question ! Once it was declared as a Designated Securities, surely the price will 'dive' and may hit a limit-down.

Finger crossed and nothing happen BUT the price keep going up !

Advise from BURSA to investors on NICORP

With the current run-up of the stock, BURSA Malaysia issued a circular to advise investors to exercise caution in the trading of  NAIM INDAH CORPORATION BERHAD ( NICORP ) shares.

The circular was issued in the afternoon, it reads:-

Subject: NICORP-BURSA MALAYSIA ADVISES INVESTORS TO EXERCISE CAUTION IN THE TRADING OF NAIM INDAH CORPORATION BERHAD SHARES

Content: Bursa Malaysia Securities Berhad (Bursa Securities) wishes to draw investors' attention to the recent sharp rise in the price and volume of NAIM INDAH CORPORATION BERHAD (NICORP) shares. Notwithstanding the company's response to the Unusual Market Activity (UMA) query issued by Bursa Securities on 3 February 2012 and its announcements on the changes in shareholdings on 8 February 2012, Bursa Securities would like to advise investors to exercise caution and to make informed decisions in the trading of NICORP shares

As at 3.30pm, the price is still standing at RM0.69 up 20 cents with huge volumn traded.

List of new NICORP shareholders

Finally the buyers for 22.8% stake previously hold by Naim Indah Corporation Berhad's (Nicorp) major shareholder, Crest Energy. was announced.

The announcement did not include the price traded for the stake.

As the news and buyers already made known to public, chances for the share to go up again is slim, unless there buy at higher than current market price. Which is very unlikely.

Most probably the share price will go down in the morning when market open for trading.

Hopefully the announcement will not cause the share to 'crash' tomorrow.

Just wonder how much they paid for the stake.

What will happen to NICORP when market re-open ?

KLSE is closed for two days and will re-open on Wednesday, 08-Feb-2012.

Just can't wait to see how Nicorp's share price will go, south (going down) or north (going up).

With its news already published last Friday after query by Bursa for UMA. For sure everybody want to know who is the new major shareholder?

Najib's son? Sure not, otherwise Nicorp will not be a penny stock anymore!

Buy on rumor and Sell on news !

Is this going to happen on Nicorp when market re-open?

I don't think so because the buyer has not surface yet. Maybe there will be a dog-fight for the stake? Sure the price will move up further.

Worst case scenario is the buyer buy at a lower than current market price then it will drag down Nicorp share price. Hopefully this won't happen to Nicorp now.

Lets wait and see.

Why NICORP gone up?

NICORP was heavy-ly traded today with its price closed at RM0.18 up by RM0.09.

The price was at three years high, with volumn so high it was the highest traded counter of the day.

The counter was issued with a UNUSUAL MARKET ACTIVITY ( UMA ) from Bursa Malaysia today but it did not stop the movement of the share price.

Later the query was answered by the company, saying the unusual movement of the share price was due to its major shareholder, Crest Energy Sdn Bhd is said to be in talk with various parties to sell its stake.

Crest Energy Sdn Bhd is holding 22.8% of NICORP.

Hope the deal will not go through so soon, so the price will move up further.

Oh man, this stock has been always good to me for last 4 years. Hopefully whoever bought the stake will push the company to greater high.

NICORP is coming

The share price of Nicorp has been going up steadily for last few days. It was closed at RM0.075 yesterday up one cent from previous closed of RM0.065.

The highest price traded yesterday was RM0.08 and not too far from its year high of RM0.095.

The number of shares traded are also going up in accordance to her share price. Yesterday was the highest volumn traded in two months.

Hopefully the western markets will close positively, then Nicorp may be able to push for higher soon.

Nicorp has been good to me. Hopefully it will continue to give me some pocket money from now onward, as I plan to start sell when it goes up again.

To 'bet' on this counter, timing is crucial.

● The comments above do not represent a recommendation to buy or sell.

NAIM INDAH CORPORATION BERHAD ( NICORP ), Q2 2011

NAIM INDAH CORPORATION BERHAD 
- second quarter ended 30/06/2011

Lets see how this penny stock perform, is it bad or getting worst?

It was a great result considering last year similar quarter was almost all in red. As this is one of my favourite counter to play hit and run. Hopefully there will sustain the positive result or push even higher on revenue and profit. So can make more money from her.