Will be interesting to see how they spin it, there may be more to this than we have seen,
Agree that the prices dont seem to reflect future cash flow or cash inside the assets. I am also interested to see how much the infrastructure management business now generates. Most of it was swallowed by the assets (which should have been positive) but the rest should be booming in the WA economy. Both ATCO and Brookfield want to play in this space.
Further to the previous comment that the 'swap' arrangement has been structured to accomodate DUETs lack of cash rather than a swap of assets at Market valuation. But I suppose for a first cut thats not surprising. There is no premium or quid pro quo for AET&D accomodating everyone getting 100% stakes.
The transaction is an amazing shell game.... Maybe uneccessarily so.
Brookfields silence is disappointing. The 'management on behalf of....' element is lacking a good deal of communication and the end game looks like its going to be a rushed affair.
PIH Price at posting:
0.0¢ Sentiment: Hold Disclosure: Held
