It is all a short term debt issue that is scaring the market and a lack of understanding that BBI is a stand alone entity.
In my view if you believe in the value of the assets, that they can sell at book and above it is definately a long term buy.
Once corporate debt is under control, the regulated income streams means infastructure will be the type of asset which is recession proof.
The only problem is that in the past BNB management used the asset as a growth asset, when really it is a defensive income asset. To much debt was weighted on the company with no regard for tighter credit markets that could arise.
Actually, going by the article, most here have been conservative in their sp predictions. At 5 billion valuation sp is closer to $1.40-$1.50 based on my rough calcs, after subordinated debt and corporate debt (after PowerCo sale).
Anyhow everything is realitive, but IMO definately sp is way undervalued at 2.8 cents. Once again thanks Sid for your work, although you won't see this till Monday.
BBI Price at posting:
2.8¢ Sentiment: LT Buy Disclosure: Held
