China Everbright Water’s (“CEWL”) has tumbled after hitting an intraday high of $1.270 on 30 May 2014 to an intraday low of $0.410 on 21 Jan 2016 (all time low post share price consolidation since May 2014) before closing at $0.480 on 24 Mar 2016. This was despite the positives which we have seen in the water industry in China and CEWL.
Is market overly pessimistic on CEWL, or is there something we do not know?
Background of CEWL
CEWL share price has not performed well after touching an intraday high of $1.270 on 30 May 2014. At that time, CEWL is in the midst of completing the reverse takeover of China Everbright International’s water assets with the issuance of 1.94b shares at $0.703. Upon completion, CEWL will have a total daily designed capacity of over 3.4 million tons. This acquisition was ......