You clearly haven't had much contact with pharmacy brokers...

You clearly haven't had much contact with pharmacy brokers lately.

Minimum capitalisation rate is 20% of normalised pre tax earnings ans as low as 12%. These imply 5 - 8 EBIT and there are plenty of buyers at those prices even with the recent dispensing cycle changes.

l hold a lot of SIG. I have sold 40% at or above $1.15 and retain rights entitlrment to buy back at 70c.

l am not in support of this deal, but l will profit from it. As l have had time to consider the broader impact of the transaction, including the response of existing pharmacy customers as well as the regulators eg ACCC.

l am strongly forming the view l will sell more this week at or above 95c and take up the rights with the proceeds of last week's sales.

My end game is to release a substantial amount of cash, realising the CW premium.

I will end up with a much smaller share stake this time next week than l held this time last week, and l am feeling quite comfortable with this scale down.

Markets are getting euphoric on the sniff of the end of the interest rate tightening cycle. As they did in every prior episode where yields inverted.

l aim to sell a lot of fully valued stocks over the next 3 months. After many mistakes over the last 40 years, I have learned to be happy to exit elevated markets with very good gains rather than roll the dice to potentially make money l do not need at a risk l am no longer prepared to take.

ln the instance of SIG, my entry was 30c to 35c a long time ago when the wholesaling industry was a train wreck. Picked up a 15c ff dividend just after that as management tried to restore value.

The opposite of those conditions now exist, so l will take my cue to gradually exit. There are plenty of opportunities out there l am happy to grab before PE takes them out.

GLTASH

Sentiment now altered to none.