Got an email back from Andrew last night.
"The Board and management firmly believe that expansion by acquisition, alongside incremental growth will reward shareholders in the long term. The growth opportunity is huge, and I suspect not clearly understood by shareholders in Australia who seem to prefer yield rather than growth – very puzzling.
It should also be noted that the Managing Directors family is arguably paying the greatest price, (in share price and dividend) but the Board and management are convinced of the acquisition opportunities that exist."
Make of that what you will holders.
Some more thoughts from myself, when the company makes one of these acquisitions how is the market going to react? Will it be "So they bought some shoe company we've never heard of before, from what the announcement says it sounds like a great addition to the business this is a real clever long term move" or "So there's a $X million expense in the balance sheet to acquire some company that we've never heard of and can't verify their legitimacy. First the $7 million on display refurbishments in 2016 and now this! It seems every year there's a large expense that stinks of money funnelling from the company straight into the owners' pockets. Meanwhile we get nothing".
I've lost trust in management but perhaps all the skeptics have sold out with me. The only saving grace I can find for this stock in the short to mid term is that I think the price will go down. And if my recent trading form is any indication, that means the price is going to go way up!
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Got an email back from Andrew last night. "The Board and...
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