Getting back to the topic of this thread: The impled Price Earnings of the new issue, & the potential for the price on opening to be above the issue price. Here is my amended analysis. Would anyone like to suggest how this could be improved on.
Voice of Reason, I sourced the EBITDA figure from page 39 of the prospectus. The comparable price earnings ratio of 12 I sourced that from Comsec where that figure is quoted for the Transport sector. But maybe it would have been more correct to compare to the Utilities sector PE which is the sector where Comsec places BBI.It’s PE according to Comsec is 14.
Implant you are right to highlight the importance of the exchange rate. Footnote (1) on page 39 states that the $637M EBITDA is based on an AUD:USD of .8187. It has moved up 12% since then, and could even move another 12% next year.