HSO takeover offer will be huge for Ramsay, page-58

Yes I agree with what you said when put like that. However my point of view is as follows.

1. It means the business is not astute enough to expand further at previous % rates and market valuations. A business that is expanding successfully internationally has way more future horizon value than an Australia locked business.
This is born out by the enormous overperformance of the American stock market which is dominated by international players. Versus our localised ASX that has lagged BADLY following the recovery from the GFC. Cos we have so few genuine international companies here.

2. Because it also means wasted time and capital (hence the pull out). Sometimes yes I am a believer in knuckle down strategy. Going international takes losses, takes decades sometimes to pay huge windfalls. Suck up the short term pain. Provided the businesses are not major loss makers for a lengthy time then believe in the strat and push onwards.


Sometimes I just think businesses that are listed have blinders on and should operate a bit more like private companies that have longer term horizons.

RHC being a true international level private hospital player would be excellent. Genuine exposure to demographic changes the world over and international.
It would be a stock worth a lot to hold in 10 years time.

As opposed to just an Australian player. (Like all our other stocks).

Hope this makes sense.