A2M 1.09% $6.84 the a2 milk company limited

Sorry Chianti, but with the majority of stock being held by...

  1. 5,998 Posts.
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    Sorry Chianti, but with the majority of stock being held by insto's now, we will not get a say in any T/O.

    If 30 x EBITDA (BAL T/O amt) = $17.40 then any T/O will have to be up in the $20's to shake the stock loose, however if pieces of sh*t like UBS want to they can engineer to offer us up to Nestle at under that.....However......

    A2 is NZ's biggest company, the Foreign Investment Review won't look kindly on that being taken over to get hold of the brand, unless production is guaranteed to remain in NZ, (which Nestle will not want to guarantee), I suspect Fonterra would like A2 to not go to Danone or Nestle either.

    So a takeover of A2 is different to BAL big time. It would also be the indicate the last gasp (step 4) of competitors, as it indicates that they can't compete any other way. We are only at step 2/3 (Question products benefits/ Increase own marketing)
 
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