Despite the fact that KNM's founder and managing director Lee Swee Eng together with two foreign funds are proposing to acquire the entire business and undertakings of KNM at 90 sen, the 3 structured call warrants of KNM traded on Bursa Malaysia are still trading at significant premiums.  Based on the closing price of KNM on 9 Feb 2010 of 80.5 sen, the offer price of 90 sen represents a premium of 11.8% over current share price.

KNM structured warrants are trading at premium higher than the takeover premium.  KNM-CB trades at premium of 22.9%, KNM-CC at premium of 14.3% and KNM-CD at premium of 22.4% respectively based on their last traded prices.  Interestingly, the only put warrant on KNM, KNM-HA is still trading at bid/ask of 21/21.5 sen despite the offer.  KNM-HA has an exercise price of 80 sen and exercise ratio of 1.  If investor buy KNM-HA at 21.5 sen, he will be looking at a breakeven only when KNM falls to below 59.5 sen if he intends to hold.

Based on the pricing of the structured warrants offered by warrants issuers, the takeover offer at 90 sen is not a "sure thing".  Nevertheless, it should be noted that there is no mention of the listing status of KNM in the takeover bid.  The offerors are only buying the business and undertakings of KNM.  This leaves some uncertainty to the share of KNM post takeover.  What if the cash paid for the business is not distributed to shareholders but used for other purposes?  Although such scenario is not probable but it is not impossible.  But the cost of insuring for such eventuality via KNM-HA may be a bit high at premium of close to 27% .  On the other hand, the call warrants' higher premium suggests a higher offer price may be possible.  Nevertheless, punting on these KNM warrants may not be very useful based on such high premiums and on a pending takeover offer.

在上一项凭单在约两年前到期后，世纪通运又有新凭单CENTURY-WB在上周开始在大马股市交易。这项凭单在上周三以90仙的价位开市后就后续不劲而往下调。该凭单在上周五股市大跌时也在成交量大减情况下创下上市后新低价。世纪通运母股在上周五的闭市价是1.57令吉而其凭单则以0.745令吉结束上周交易。

世纪通运是家一站式运输管理公司。由于受到金融风暴影响，世纪通运在去年上半年的业绩表现欠佳。可是该公司的业绩在去年9月结束的第三季突飞猛进并取得882万令吉的净盈利或每股11.7仙。根据世纪通运公司网站的资料，由于该公司业绩出色，多家券商都给予世纪通运买进的建议而其目标价介于1.93令吉至2.50令吉。