There are a lot of reasons why Hoctief wants 100%. Cimic’s credit rating is higher than Hoctief. With 100% ownership, Hoctief and Cimic bank accounts can be treated as one. Cash, bank debts and debt to equity ratios of Hoctief improves significantly which will make Hoctief’s bankers more comfortable. Hoctief will also save money in having to run Cimic as an ASX publicly listed company.
I am not selling unless they reach 96%.
CIM Price at posting:
$22.01 Sentiment: Buy Disclosure: Held
