Ann: Non-binding indicative proposal to acquire Link Group, page-74

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mypravda

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09/11/21

09:20

Post #: 57415760
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Originally posted by Jack1960: ↑

Fair points mypravda.

"Mr Market" is a meme, as you correctly point out. In different terms, and after 40 years of doing this, I believe all assets eventually gravitate to somewhat "fair value". With shares, the businesses themselves change over time and so do their fair value.

Sometimes prices run too high (dragging expectations with them) and sometimes too low.

In the contect of LNK, there are plenty of potential value logs to justify a higher price, and plenty of head winds, to justify a lower price.

Anything in the $4 range seems too pessimistic, giving opportunity to value investors to accumulate. Anything in the $6 price range seems too optimistic. I cannot value a business as to what any potential 100% buyer may perceive as instrinsic value. I believe very few can as this is an art more than a science.

My point here is however, that mid $5 seems about "fair" over a 3 -5 year forward looking sustainable earnings expectation. Given the exteme regulatory and macro risks currently in scope. Those posters believing a buyer will offer more, maybe be dreaming.

This offer may easily fall over. If it does, I will not have the capital release I prefer but I would have the opportunity to buy more. I don't want that choice as I feel better opportunities exist IF I can exit LNK at fair price. I will not give them away below $5.

GLTASH

To keep me happy, API is now gone>

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LNK excluding pexa is worth 4-5 dollars. 3 is a complete joke, especially when 3.8 was offered 12 months ago?!? Some games being played. We get a market valuation of PXA pro-rata of above 2 dollars, which they originally valued at around 1 dollar history shows they are completely wrong. It's all really quite bizarre.

LNK Price at posting: $4.59 Sentiment: Buy Disclosure: Held
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Ann: Non-binding indicative proposal to acquire Link Group, page-74

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