TLS

[troyvdh]

I bought into TLS (the 1st not the second) and am now wondering "what next".Me thinks that telemonopolies are a thing of the past (that includes TEL).My thoughts are that the only value left to "collect" is when it (TLS) is broken up.....with so many "juniors" gaining mkt share blah blah...anyone agree ? Alternative Views.

[Andrew]

My views on TLS.

A very large company for someone to buy the whole thing from the Aus Govt. They have already indicated that they are willing to break it up by a notice that they may sell the telephone directory unit.

Breaking it up may be the way to get best value for shareholders.

Good buy at the moment on the NZ Exchange. When our Dollar drops we must make money on the exchange rate gain, even if the AUD price remains the same. And you dont have to pay differential on BUY/SELL margings to the banks.

I am not expecting to make a fortune over the next six months though. Maybe 10% plus dividends.

More like a hold than a strong buy however.

[troyvdh]

Thanks Andrew,Ive been thinking....given the disaster with TLS 2 me thinks that the Oz gov will make damn sure TLS 3 will be undeniably attractive for the existing little Ozzy punters.Which if this occurs should bode well for the rest of us.

[Lawso]

troydh: By "the second" I presume you mean the two-tranche offer of '99/'00. If you steered clear of that, congratulations. TLS has never recovered that price.

I first bought TLS in '97 at around 225Ac. Less than a year later the m p was 573. In '99/'00, however, I paid an average 540Ac for the instalment receipts and 400 for the 2nd instalment - a total of A940cps :( Happily this was offset by selling some of the ords for 920, more than twice what they had cost me.

Can't see those heights ever being reached again. After the swings and roundabouts I can say that TLS hasn't made me money but it doesn't owe me anything either. Now sitting on a modest few thou and awaiting further action. Certainly not a Buy IMO.