I don't read too much into this. Slide 7 simply flags that...

I don't read too much into this. Slide 7 simply flags that earnings are not yet in line with the target. I guess if we had a transcript of the AGM preso it would help.

My take is that the debt raised through bonds was to fund recent acquisitions. It is normal for companies to raise quick debt through the bond market and to decide later, or even at the same time, to pay off that debt with a CR, the latter taking considerably more time in terms of regulatory process.

Having said that, I note that the Chairman's address talked about a $200M pipeline of acquisitions over the next 2.5yrs, which is a little ambiguous given the wording in previous announcements (ie, is it to pay for future settlements, or new acquisitions?) A phone call to the company secretary might clarify this.

My advice is (and it is presumptuous of me to give it) if you are concerned about the company, sell now. The market clearly likes what they are doing, so you'd be selling into a rally which is always rewarding. I note it is now trading at "fair value" according to Morningstar.

While there is no reason to believe the market's view, per se, I am quite happy to hold - their metrics are good and their unbroken history of profits is admirable. The only real blotch on their financials is debt level and NTA/share; they are now addressing this.