BHP/WPL MERGER LIKELY $14 outcome.

  1. 5,731 Posts.
    lightbulb Created with Sketch. 158
    If bhp and WPL merge

    BHP MARKET CAP 186 BILLION
    realistic valuation 80 billion.
    Shares 5 billion


    WPL MARKET CAP 26 BILLION
    realistic valuation 6 billion
    Shares 1 billion.

    Different scenarios after merger with 6 billion shares on issue
    1. If there is a merger based on today's market cap186+26 billion
    $35 after merger
    2 WPL market cap of 6 billion
    $32 SHARE likely future outcome.
    3. if we reduce the market cap of both to 86 billion
    $14 share possible outcome when iron ore is at $30 ton.
    4 Iron ore crashes and a rally on petrochemicals.
    $17 share as Bhp takes a 80 billion hit.

    Summary
    One or both will cause the merged share price to devalue to a certain level.
    BHP based on an iron ore crash. WPL because its highly over valued paying only 2% return which will result in an automatic market devaluation.



    Last edited by david25: 11/10/21
 
Add to My Watchlist
What is My Watchlist?
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)
Last
$40.04
Change
0.070(0.18%)
Mkt cap ! $203.6B
Open High Low Value Volume
$39.77 $40.20 $39.67 $354.9M 8.799M

Buyers (Bids)

No. Vol. Price($)
18 2985 $40.03
 

Sellers (Offers)

Price($) Vol. No.
$40.05 4758 24
View Market Depth
Last trade - 13.58pm 19/09/2025 (20 minute delay) ?
BHP (ASX) Chart
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.