Ann: Strategic review outcomes and COVID-19 update, page-2

TWE has been on a rollercoaster ride for several months now! And this proposed demerger will be the "piece de resistance" amongst the "loop de loops" of the wild ride thus far!

I don't really know what to think about it yet whether it is a good thing or bad thing!?

On face value and initial feeling, we shouldn't do it.... "Would you let go of the goose that lays the golden eggs?"... but... but...
If you're letting it loose to another farm which you also own but trades as a separate ACN on the books, does it matter?

So don't really know what to think of it.

From an org perspective, one would think that there's synergy and large efficiency gains when administering the companies as one merged entitiy, TWE, thus saving on OPEX where possible as there's less duplication. Also CAPEX is easier due to the larger clout!
But according to the news release it states that Penfolds already has managerial, operational and executive duplication whilst in TWE so loss of OPEX efficiency isn't really going to be that significant. But is that anecdotal statement to be believed??? Where's the proof to the shareholders that, that is indeed the case?

I suppose for now it is a "wait see and let it sink in" before any proper conclusions can be made.

But let me ask this, if the US market wasn't managerially screwed up by the execs, if COVID-19 didn't happen, would we even be talking or entertaining this proposal!?!?!? I'm guessing we would be on increased organic growth and more acquisitions!

So perhaps what should be demerged from TWE are all the bloody executives and fire the board of useless directors! Not the goose laying the golden eggs!!!!!

Cause seriously this is such as shemozzel now! I've got serious money invested on this company and if I sold now, I'd be literally stuffed with a huge write off! For now it is all just paper loss and not crystalised yet on a sell! And here's the punch line, I'm not the only one, there are thousands of people like me in a similar boat!

...<nodding my head in dissapointment>...