Net debt at 30 June 2016 was 480m giving a gearing ratio of 29% and down from 48.3% from a year ago.
An equity investment in a quality product emerging from an industry crash. Still priced conservatively due to no CEO yet appointed.
Given milk supply loss and reasonable GDT pricing, I'd expect a profit around 80m. With a conservative P/E of 20 gives 1.6b less the 480 leaves 1.12b. 40% of which is MGC equating to Unit price of $2.20.
MGC Price at posting:
$1.31 Sentiment: Buy Disclosure: Held
