Harvest Court stock suspended due to over-speculation By Lee Wei Lian November 15, 2011 KUALA LUMPUR, Nov 15 — The spectacular rise in the shares of timber products maker Harvest Court Industries Berhad, in which a son of the prime minister has a stake, has prompted Bursa Malaysia to suspend the stock due to excessive speculation.
The share price of the former PN17 company jumped as much as 535 per cent in the last two weeks since Mohd Nazifuddin Najib, the son of Prime Minister Datuk Seri Najib Razak joined the board on October 28. The share price was languishing below 10 sen up until mid-October and hit 40 sen just before Nazifuddin joined the board. The shares have since soared, hitting a high of RM2.14 yesterday, some 49 sen above its opening price.
Bursa Malaysia said yesterday that it has declared Harvest Court Industries Berhad (HARVEST) and Harvest Court Industries Warrants (HARVEST-WA) as “Designated Securities” with effect from 9.00 am today until further notice. “In order to facilitate dissemination of the designation, the above securities will be suspended with effect from 9.00am to 5.00pm, Tuesday, 15 November 2011,” said Bursa in a statement to the media. “The decision to designate the securities of HARVEST and HARVEST-WA is due to excessive speculation observed in the trading of both securities and has been taken in the interest of ensuring a fair and orderly market.”
Bursa said that with the designation, trading in the counter continues but will require payment upfront before buying and a free balance of securities before selling. It also advised investors to base their decisions on the fundamentals of the company. Analysts said that exceptional rises in a company’s share price such as in the case of Harvest Court is typically not sustainable and usually fizzle out when punters cash in, leaving other investors high and dry. Nazifuddin is also a director in developer Sagajuta Sdn Bhd and he and his fellow director Datuk Raymond Chan Boon Siew recently acquired stakes of 1.59 and 15.41 per cent in Harvest Court respectively. Harvest Court said last Friday that it has accepted an award to construct commercial and residential developments for Sagajuta. Nazifuddin is Najib’s second son from his first marriage. Najib divorced Tengku Puteri Zainah Tengku Eskandar in 1987 before marrying Datin Seri Rosmah Mansor with whom he has two children. Source here
Well .....what can I say.....did we not see this in SCOMI before go here?
Consider this folks....
A Son of the Premier takes a stake in a Public Listed Co.....
Co is typically garbage before that......they go in dirt cheap......
Some mumbo jumbo mandrem and market becomes aware of it.........
Within a few months...their initial investment double, triples, quadruples.....berpurplespurples lagi la....
Ni belum buat ape2 pun......
Baru goyang kaki jual nama........
Sweet eh.......
Someone is playing up the market...that is for sure.....
Either that or being the Son of PM makes you a Warren Buffet.......