Markets
ASB-LA superior to mother share
Alan Voon | 14 Apr 2017 00:30
As investor appetite for undervalued low-priced stocks gained momentum, Advance Synergy Bhd (ASB) attracted huge interest last week with more than 50 million shares traded on both Monday and Tuesday (April 10 and 11). 

The normally quiet Irredeemable Convertible Unsecured Loan Stocks (ASB-LA) also awakened from a long hibernation to track the mother share. However, the shares retraced slightly on Wednesday on much reduced volume. They closed at 19.5 sen and ASB-LA at 9.5 sen.    

ASB is a diversified group with interests in many industries, including hotel and resorts, information technology, property development, travel and tours, card payment services, coach building, wellness and education. Its hotel and resorts division under the Holiday Villa brand, and travel and tours business are the main revenue contributors to the group. 

After four consecutive years of losses, ASB returned to profitability in the financial year ended Dec 31, 2016. The group managed to achieve a net profit of RM4.07 mil on the back of RM276.77 mil revenue.

** The writer is CEO of Warrants Capital Sdn Bhd

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