There's better value at the moment in leaving BKN to its own devices to manage the existing business for cash, to stay quiet and conservative though to the end of this year and hope that the share price stays below $1.50, to ensure CHAMP/SK remain "out of the money" on their $2 per share RPS deal.
No bidders will come this year with a true value deal (i.e. above $A3.50 per share) so it's worthwhile hanging on, like the major shareholders are likely to do. More than 50% of existing shareholders are in for the long-haul with a SP expectation of $3.50+ and I expect the new BKN Board know this.
The major risk to the "keep below $1.50" plan will occur if the stock gets back into the S&P 300/200 and the US Index funds have to buy back in. They will kick the price by 25 to 50 cents, so dangerously close to the $2 mark, which we don't want!
BKN Price at posting:
$1.04 Sentiment: Buy Disclosure: Held
