Ann: Appendix 4E and 30 June 2017 Financial Report, page-15

Boy, $368m is a lot of dough that will presumably need to be deployed somewhere, assuming he isn't going to stash it under its mattress. And if he is going to buy himself some yachts and helicopters and sports cars, then he could have done so with a fraction of that amount.

So, unless the sale has been precipitated due to some domestic matter, it is bit if a pity. By no means terminal, but a pity nonetheless.

I note from the release to the ASX that Mr Munz "also noted that RWC was poised for further growth with a number of exciting and innovative new products."

Expect that those new products appear to not be exciting enough nor innovative enough to compel Mr Munz to continue to participate in the growth on offer.

At any rate, this is far from a defining moment for the business. Truth be told, if there was something that one could concern oneself about with RWC - if one was, like me, inclined to worry about what could go wrong, then it is how it can be that one little company based in the Antipodes has invented such a great new mousetrap that it has almost turned the global plumbing industry on its head.

I've seen too many cases of the lesson "when sometime appears to be too good to be true, then it probably is" in action, to put that lesson out of my mind. That, combined with the mixed reviews I've received first-hand from the front-line folk that actually use these products.

Of course, there are exceptions to all rules, and with each financial result that demonstrates continued sales traction, it looks like RWC is one of those exceptions.


My sense is that it will grow strongly for some time, until one day, when - without warning - it will suddenly not. I'm not sure when that day will be.

Which, in conjunction with its elevated point valuations, has resulted in RWC being a somewhat modest-conviction investment for me.