After my post yesterday on CDLHT issuance of the rights and acquisitions, this post is about the few choices you can do to play around exercising the rights or if you dont intend to.

My last participation was for sabana reits which happens not too long ago. In that event, I managed to buy the mother share in my strategy. Things are different now in the sense I am holding that mother share with me this time round.

There are generally 3 levels that you have to watch out for when a Reit announces rights that are not accretive immediately in nature. I define not accretive by mathematically referring to the dilution impact to the dpu before and after.

First Level -  This happens usually within the next trading day when the rights are announced and the mother share will react negatively and fall close to the terp price ...