Brickworks' market capitalisation is approximately $3bn. If you assume that the cost of the blocks and laying are equal, this means that FBR's market capitalistion based on laying Brickworks blocks could be up to $3bn also. That is really only for the Asutralian market.
Weinerbergers market capitalisation is approximately $4bn.
It is likely that the profitability of laying is greater than the profitability in the block market as they are highly competitive already and no significant differentiators between different block manufacturers.
So arguably, FBRs market cap could approach or even exceed $7bn in time. With current shares on issue, that would represent a SP of $2.60.
If BKW were to take control of FBR, believe that they will pull out all the stops to make it so that HX is the preferred way of laying.
Whether they try to enter and compete in all other markets is unknown, I would doubt it, but if they have the bricklaying technology they will make it available for other brick manufacturers blocks.
Why be a brick manufacturer in 1 country (or 2) when you can be the block layer in all countries???
This share is grossly undervalued now.
Rumours of Takeover., page-184
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Last
3.6¢ |
Change
-0.002(5.26%) |
Mkt cap ! $173.6M | |||
| Open | High | Low | Value | Volume |
| 3.7¢ | 3.8¢ | 3.6¢ | $314.3K | 8.515M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 28 | 4409705 | 3.6¢ |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| 3.8¢ | 565262 | 2 |
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| Last trade - 16.10pm 15/11/2024 (20 minute delay) ? |
| FBR (ASX) Chart |