The thing to consider is that GWR is a debt free company with a market cap and Enterprise Value of $200 mill right now.
FAS needs to fund this takeover and will be in debt to the tune of $200 mill plus probably.
So the new entity - post successful take over(god forbid) has to pay an interest bill of $16 mill per annum and the debt also means the Enterprise Value now becomes zero - a loss of $200 million in Enterprise value.
Do you know what the share price will become post takeover -
look at Centro's shares for an idea !
To the GWR shareholders thinking of converting from GWR to FAS ..
from success to certain failure .. please rethink.
At least wait for a cash offer for your GWR shares - as FAS's shares are just pieces of paper.
And you dont want to be part of the inevitable share price plunge post takeover.
Dont be fooled.
- Forums
- ASX - By Stock
- GWR
- share price will plunge if takeover succeeds
share price will plunge if takeover succeeds
-
- There are more pages in this discussion • 13 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add GWR (ASX) to my watchlist
|
|||||
Last
8.3¢ |
Change
-0.003(3.49%) |
Mkt cap ! $26.66M |
Open | High | Low | Value | Volume |
8.3¢ | 8.3¢ | 8.3¢ | $487 | 5.872K |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
1 | 26528 | 8.0¢ |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
8.3¢ | 99999 | 1 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
1 | 26528 | 0.080 |
2 | 92529 | 0.078 |
1 | 30000 | 0.077 |
1 | 7000 | 0.075 |
1 | 14285 | 0.070 |
Price($) | Vol. | No. |
---|---|---|
0.083 | 99999 | 1 |
0.089 | 1800 | 1 |
0.094 | 1250 | 1 |
0.100 | 29000 | 1 |
0.105 | 25001 | 1 |
Last trade - 10.04am 05/07/2024 (20 minute delay) ? |
Featured News
GWR (ASX) Chart |