EonCap Merger?

Them sources will never die will they? Not especially in a hot market.

This was reported on Business Times on 3rd Feb 2007.

• EPF eyeing DRB-HICOM's stake in EON Capital
  By Francis Fernandez
  bt@nstp.com.my
  February 3 2007
  
  THE Employees Provident Fund (EPF) is considering making a formal proposal to acquire DRB-HICOM Bhd's stake in EON Capital Bhd for about RM9.50 a share, executives familiar with the matter said yesterday.
  
  Business Times was told the provident fund had in the past two months held informal talks with DRB's dominant shareholder, Tan Sri Syed Mokhtar Al-Bukhary, at the shareholder level to facilitate the sale. DRB is the single largest shareholder in EON Capital with a 20.2 per cent stake in the lender.

Yesterday, OSK had a report based on the article. LOL!! Don't you wonder why the need for them to do so? Well, you do have consider the issue of the countless times when all these news based on sources were denied by all parties concerned!

Have a look at the following snippet of what OSK wrote.

• Merger Of The Two “Caps”?
  It was speculated in an article over the weekend that EPF could be the latest suitor for DRBHCOM’s 20%-stake in EONCAP with a higher offer price of RM9.50/share. According to the report, EPF could then merge both EONCAP and RHBCAP. Pending any further details, we are maintaining our BUY call and target price of RM7.90 on EONCAP. Meanwhile, we are of the opinion that the recent reported
  offer prices of between RM9.00 and RM9.50/share are not impossible and would revise our target price should the M&A news flow become more tangible.

Ironic cause OSK themselves acknowledged it's mere speculation!!

And guess what today, Business Times continued with the story yet again. (Why?)

• EON Capital enters the fray for RHB Cap
  The Utama Banking Group board is due to meet by as early as today to consider the EON Capital bid said to be in concert with the Employees Provident Fund, sources say

The mighty sources strikes again! Crikey!

• EON Capital enters the fray for RHB Cap
  By Francis Fernandez
  bt@nstp.com.my
  
  February 6 2007
  
  EVEN as suitor Kuwait Finance House (KFH) unravelled its bid yesterday for RHB Capital Bhd, the country's fourth largest financial group, a new party, EON Capital Bhd, was said by some sources to be preparing to join in the fray.

And to refresh everyone's memory, I had just blogged on EonCapital recently. See As Expected: EON Capital!

How?

You buy these sources stories?

Do you?

Really?