There's been some great commentary here and its going to be fascinating how the market reacts next week after digesting this some more. Agree with those who want to see more detail about RWL before getting too excited with the two most important issues being balance sheet strength and current underlying profitability.
On the balance sheet, note on slide 18 that cash position of merged entity will be......
...so presumably no debt being brought to the table.
On profitability they have noted on slide 51 that
What is not clear in underlying profitability, though I find it unlikely that this would be some stumbling block or major issue to deal with give the competitive advantage of the merged group.
The last couple of hours of trade yesterday seemed like gift prices - perhaps everyone at the big end of town caught napping on a Friday arvo. Its pretty hard to get 10 or 20 minutes to read the release like that and digest and respond, though I took a punt and bought some more in the mid-90s. Mondays open will be fascinating.
FLC Price at posting:
94.0¢ Sentiment: None Disclosure: Held
