This is getting a bit ridiculous. OMN had a cash balance at float of US$160m or A$215M, a current market cap of A$120m and zero debt. Therefore, it's trading at an almost 50% discount to net cash backing, ie. ignoring all its assets other than cash.
Does anyone have any thoughts on the likelihood of the Lowy's taking this private at current levels? The way I look at it, they'd be getting a bargain (if they truly believed in their product), and the cost to them would be peanuts to them given their newly gained billions. They'd also avoid the ignominy associated with presiding over a tech wreck of an ASX company, if OMN's commercialisation efforts turn out to be unsuccessful. It's been observed by commentators that early tech start ups are probably better off under private ownership.
I don't have a clue on how to value their tech business but I just wonder if this is a good punt based purely as a takeover target.
