Yes, I have to agee selling 59% of the income generating part of the portfolio is very unlikely to happen simply because HMC will lose so much in mngt fees.
It was an analyst pushing the suggestion on the call as a "have you considered selling to just get rid of the problem?"
I don't disagree that segregation is entirely possible but institutional investors don't like it purely because they have no certainty that conflicts are being managed correctly.
All the options are in play until either a funding deal is done with Alliance group or the deadline expires. A cynical person could suggest that HMC goes to Alliance & says "if you don't sign a better deal with Healthscope we're do you a better one when we run the hospitals". That would force the death of Healthscope & get a win, win, win situation.
HCW Price at posting:
99.3¢ Sentiment: Buy Disclosure: Held
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