We do indeed have contrasting styles. Then again, short term, you will enjoy your spike. I'm more than happy to admit my defeat given that our contrasting styles are founded on the basis of cashflow, control of costs, and management of business in an addressable sense, vs blue skies ahead.
All the way through this debate, you have kept saying that Optus, or TEL, or Whampoa, etc will bid for, buy or acquire UEC.
Now, using all of your EBITDA multiples, and growing EBITDA margins (etc), the reality will quickly become one of: 1) paying $160m+ for equity, plus a further $50 -80m for debt, meaning an enterprise value of $240m+; 2) the prospects of a $300m EV price tag attaching to a business which (annualised) will turn over $55 -60m in 2003, record EBITDA of $17 -22m, and will record a net profit of perhaps $3 -5m (with the aid of tax credits); and 3) that amounts to a p/e of 60 on an EV basis, or 44 on an MC+premium basis, or 31 on a 24/7 closing basis.
Now just who is going to pay for this?
Which particular companies out there acquire businesses at prospective p/e's of 30+ (and that's on a fully scaled down basis)?
I'm more than happy to leave UEC to you given that you are more than happy to buy in at a p/e of 30, 40 or 50. Perhaps you should bid for the company yourself. Afterall, such a p/e ratio is surely "cheap" even by your standards.
