Korean Shipping

So I'm having coffee last weekend with one of my Korean mates and another guy who says he's just signed up to Commsec can we recommend something to buy. My Korean mate starts laughing and saying why do you want to invest in shares, he has only lost money. Yes, be careful I agree, and share a story about my biggest loss. Turning to my Korean mate I ask, what's your biggest loss.

So he tells me about this Korean company that successfully made shipping containers. He is interested in the company and follows the company on an online forum. One day a rumour starts, the company has decided they are going to start building ships. The forum starts chirping. The stock goes up a bit and comes down a bit on the rumour. The company doesn't announce anything.

Then someone posts, he has been down the dock. He has seen that they are setting up ready to build ships. There is steel and welders everywhere. It is so busy. The stock goes up a lot more... and then it comes back again. Still the company doesn't announce what they are doing.

A little bit later someone posts they have been to the company office. The office is very busy. People are going everywhere. The stock goes up slightly but there is no announcement.

Another post, the company is about to sign a deal.. and here is the kicker (I kid you not, this is not made up)... there is a Greek shipping company all but in the bag ready to buy these ships! The share will be worth ### KRW (Korean Won) when the deal goes through! The stock takes off but the rally is short lived because... you guessed it... the company doesn't announce anything.

WOW! I say... are you taking the mickey? Have I told you about APG? I guess I should have used a different expression as I had to explain what taking the mickey was, but no he says, that is what happened to him.

Had to tell you.

The company was delisted and later went out of business, shareholders losing the lot

Best to all.

PS. APG isn't (or won't) be my biggest loss which isn't realised yet. My story was about MNC.