Buy on weakness at about RM 4 and then wait for MAY.
The accumulation of shares by Afzal reflects the confidence of management and strong growth prospects in the company. In addition, Afzal will benefit from the indirect exposure to DiGi shares via the impending dividend-in-specie exercise involving 137.5 million DiGi shares (24 DiGi shares per 100 TdC shares), i.e. half of the 275m DiGi shares currently held. The exercise is now pending shareholders’ approval, which will likely be obtained in May before completion in June. Following the exercise, TdC will still have 137.5 million DiGi shares remaining for potential distribution in the future.