Ann: BetMakers submits proposal to acquire Tabcorp assets, page-605

way too early to call it but hopefully the 'panic' can subside today and for the rest of this week

Was BET priced right at 52 week high of $1.65 last week and high volume churned at $1.60 (due to MSCI rebalance) arguably not but there were m and are still is multiple catalysts in the pipeline

Was an intra day drop to $1.02 appropriate/warranted based off the announcement (circa 40% off the ATH in 3 days) - no, the announcement was not liked by the market this is clear but price movement reacted as if it was happening ...... I was holding betmakers at ratio of about $3 for every $1 in TAH , haven't sold either , (but that ratio is now closer to $2 to $1!) the offer BET put forward in its current form I would confidently say <5% chance of getting up.. maybe even closer to 1% or less.

TAH are as well all know conducting their strategic review and if i'm not mistaken the results of which are expected in the next month or two. Its still 'early days' from a TAH perspective as to what will happen. my personal opinion I believe in absence of a superior offer for TAHs wagering and media assets the board will push for demerger leaving the lotteries/keno and potential gaming services business and the rest as a separately listed entity ..from there takeover bids may flow towards the newly demerged entity.

given the relative size of BET I was also of the view that Mr Tripp would be trying to tie up a deal with TAH or whoever is the new owner in terms of the backend and BET services (not what was announced) , so the announcement came as a surprise to me as well. seems highly ambitious and questionable etc and although very limited prospect of success looks to have done a bit of short term damage to our credibility unfortunately.

I do suspect the market will not react as positively on the upside (hope I am wrong on that) either once TAH make their next move/decision that doesnt involve BET ...but doubt it

At these prices still a comfortable hold for me, I didnt buy anymore as am already overweight on this one (almost 30% of my portfolio) and arguably i should have been trimming at the highs and rebalancing some profits into other stocks but I wasn't seeing anything negative on the horizon and that has not really fundamentally changed.. From a technical analysis perspective I have learned not to step in a buy when something is still on the way down (which is easier not to do when your already holding alot)

hopefully we can settle for next couple of weeks

IMO DYOR