if a japanese company offered 1 dollar takeove, page-2

I do not want it taken over at anything but a premium to A$ NTA. This reflects the ability of the team & the fact many of the property assets are probably worth a premium to their book value - as evidenced by the premia to book value they obtained for 3 props in 2008.

My rationale for why it is so shell shocked is that it is at the epicente of the perfect storm:
1. Japanese domestically listed REITs have been in a bear market for over a year. J-REIT index down from 2600 in May 2007 to 700 at present. But the underlying Jap property market has been mainly firm over the period, rents rising in Tokyo office & loans still around 2%.
http://www.bloomberg.com/apps/cbuilder?ticker1=TSEREIT%3AIND
2. The Australian REIT sector has had a very bad year & more exotic assets such as Japan have suffered from retail investors fleeing the sector. They have not as yet been replaced by sufficient institutional investors, as oddly enough the first place you look for an under priced Jap REIT is probably Japan.
3. The Babcock collapse has clearly damaged anything the name is attached to, particularly as a number of their related vehicles shared assets & debt. But not BJT which is clean of both.

Upside expected when:
1. The current market volatility lessens & folks hunt value rather than trying to survive margin calls. Maybe we are starting this stage now.
2. Investors start to focus on undervalued Yen plays - assets where the currency change has not yet been reflected in the share price. BJT has great stuff here on both the asset & income side.
3. The next divi is due year end & is going to be around 6.5c - so a 16% income payment expected in 2 months time. The accompanying statement will hopefully draw attention to the currency effect on assets & income.
4. The Babcock problem is resolved. BNB have announced that strategic talks should reach fruition by next year. They are tidying up the relationships with satellite funds one by one.
5. If savings rates at banks collapse worldwide due to coordinated interest rate cuts, savers have got to start looking at safe high income assets - in 6 months time BJT will hopefully be viewed as a suitable investment.

My posts are for reading purposes only, by no means do I encourage you to take this information as buy or sell recommendations, it is for discussion purposes only.