Ann: Q4 FY24 Trading Update, page-4

Looking forward to the update on strategic review.

It's all about the strategic review. The skydiving business is so profitable when it's humming. They've had so many issues affecting them over the last few years from covid to staff shortages to the lack of Chinese tourists. Because of that, they are carrying a fair bit of fixed costs through the business that will suppress margins until they get utilisation back to somewhere similar to where it was pre-covid. That will happen. The adventure business seems like a good earner and has much more flexibility through the cost base.

But, this will likely never work as a listed entity just because it is so small and the top 5-6 shareholders own ~90% of the stock. Given the largest shareholders are on board with the sale then I would think a sale gets done. The Skydiving business could be worth $100m without really reaching too hard and the adventure business is probably worth another $70m-$80m again without using heroic assumptions. So there's the potential ~50% upside with motivated vendors and an already announced sale process (couched in terms of a strategic review) – I would guess they want a deal done by the end of this CY.

Worth hanging around for, imo.