THE FIVE LIONS

After 1997/8 financial crisis, The huge debts Lion Group went tro a series of restructuring and their assets regroup under this 5 lions in KLSE :-

1. Amsteel Corp Bhd


2. Lion Diversified(cum Parkson)


3. Lion Industries


4. Lion Corp


5. Lion FIB

In 2007, Amsteel Corp has been put under PN17, then delisted in KLSE.

Now we only have 4 Lions left in KLSE. (plus 1 Parkson) under Lion Group.

Lately when market stage a rebound from bottom, all 2nd/3rd liner has started very big jump from their price, including all this 3 Lions, ie LionCorp, LionDiv & LionInd.

All 3 are involve in STEEL INDUSTRIES, but NOT ALL are the same qualities in term of financial strength & biz performance.

Out of these 3 Lions, Lion Corp is the weakest one, it's burden with large debts, high cost of operations, low NTA, bad cash flow (or worse, negative cash flow) and still facing high risk of being INSOLVENT.

It's due to the above -ve factors that I never touch LionCorp. ( In contrast, I always like LionInd & Liondiv)

NOW WE SAW LIONCOR HAS JUMP UP IN PRICE WITH ACTIVE VOLUME (from low of 0.155 IN 12/3/09 to Thur closing of 0.395 in 30/4/09).

IS THIS VALUE AN ILLUSSIONS !

DO WE BUY STOCK ONLY FOR BELIEVING IT'S PRICE WILL JUMP ?

(Picture: Khoo Kongsi, Georgetown, Penang)