66c? Wow! Even I thought it would stay above 70... Anyone crying about losing money had a chance to exit at 90c at open - the material was all there in plenty of time, unless you are a very slow reader.
So it is unlikely to make 1.50, lol.
For the brave amongst you I would suggest you buy at open tomorrow - I can see a counter offer emerging despite RHG management not structuring the announcement in a manner facilitating this.
Specific valuation of the business going forward just got easier:
1. the WBC offer is worth 35c;
2. the 8% NPV of the remaining loan book is around 150m (40c) assuming: 19% runoff levels; 50% reduced overhead expenses related to 'rams'; and longer term funding at 30bp above BBSW (a nice conservative figure used by john mcfarlane).
All up 75c with a realistic chance of a counter offer for franchise business in realm of 175m or even a complete t/a.
- Forums
- ASX - By Stock
- big boys dont cry
66c? Wow! Even I thought it would stay above 70... Anyone crying...
-
-
- There are more pages in this discussion • 27 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)