HUB sold its financial planning business to DVR in exchange for shares. The reason for the sale was in response to the Haines Royal Commission recommendation re vertical integrations. HUB ended up with over 30% of DVR and appointed a Director.
DVR tried to take over another another listed company, CenterPoint, and was rejected .One of the reasons was its MC was to small.
So DVR was backed into CUP
CBA inherited their shares in CUP when the took over Count Financial .The part ownership of CUP investing in Accounting Firms that used Count Financial made seance.
CBA sold Count Financial to CUP had had to pay over $300m to fix the compensation for fees charged for no advice. This has now been completed and there is no reason to hold CUP shares.
HUB is the natural buyer of CBA shares at a price that will be much higher than current MP
This could happen soon
CUP Price at posting:
57.0¢ Sentiment: Buy Disclosure: Held
