I don't agree with RHG loans being repayable on demand...maybe yes if some specified event occurs (such as lender goes into receivership).
Moneytax,
you said "3. RHG is a takeover target from a big bank or financial comeptitor with it trading at well under valaution, as soon as someone big owns it then the customers will stay and they just garnered some 50,000+ customers....nice customer aquistion strategy and for a cheap price. remember the party aquiring will be able to offer their rate....not what RHG has to pay"
I agree. Note how much lenders pay mortgage brokers in commissions to pick up clients...here they are on a platter. Also huge scope for an acquirer of the loan book to cross market other products-investment products, insurance etc.
I don't have the balls to buy at the moment though at 32c/share looking like there must be some value there now.
Ajax
RHG Price at posting:
0.0¢ Sentiment: None Disclosure: Not Held
