UMEME IPO: COMMENTS RESPONSES

STAR Traders’ COMMENTS REPLY

Anonymous 1: You’re Welcome

Your welcome, matter of fact there are a good number with the experience and insights even better than ourselves sadly they do not write or even pen an article for say a blog or newspaper. Thanks for the appreciation

Anonymous 2: No one is smarter than the Market, Impossible to tell exact price

250-350 projection an 100 shillings spread over 12 months was reached upon in the following way:

for the 250/= in the event there is a SELL share stampede and considering the 10% Incentive shares to the UMEME customers averages the price to 247.5/= this gives a reasonable bottom to the price- It could go lower we cannot tell for sure.

For the 350/= in the event they go with the 50% net profit dividend payout while accumulating quality debt to enable there is cash-flow to pay high dividends, we feel 350/= is reasonable especially based on UMEME’s peer Company in Nairobi i.e Kenya Power and Lighting company

Anonymous 3: You are your own Keeper

Fastidious indeed, that’s the meaning of Capitalism- You are your own Keeper in this event the responsibility squarely falls on the Investor to take and own the decision. Like ourselves we are just practicing investors who write base on our experience of investing to give insights and gut feelings

Thanks all for reading and going ahead to comment

 best regards

Star Traders’

Entebbe, Uganda.

In short while will post; How the UMEME IPO allocation played Out as well as comments on the first 5 days of trading.