Thanks for completing the sorry saga with that extra detail w69.Tough luck for holders sailing merrily upwards; then whammo; can happen at any time with pretty well any stock. I do like my PIE fund more and more..
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Thanks for completing the sorry saga with that extra detail w69.Tough luck for holders sailing merrily upwards; then whammo; can happen at any time with pretty well any stock. I do like my PIE fund more and more..
27.7 million DOW shares still worth more than 151 million A$ changed hands today - after a suddenly turned hapless board destroyed more than 20% of the shareholder value with one stupid announcement.
Hard to understand how anybody would want to buy into a downtrending lemon like Spotless and even offer a more than 70% premium on the current market price of SPO?
Question is - is the DOW board really that stupid ... or do they see an opportunity nobody else does?
Sure - it would increase their marketshare in the services sector - but what a premium is this additional marketshare really worth?
Anybody sees an opportunity here for Downer .. apart from the fact that markets typically overreact?
Spotless hasn't always been a lemon but there must be a big question over whether DOW has the management to handle the problems that they will face there. I'll be keeping clear meanwhile.
Funds manager Allan Gray say Spotless bid value destructive
http://www.smh.com.au/business/downe...23-gv4v5c.html
Allan Gray Australia buys more of Arrium (ARI.AU) after stock falls by ... Allan Gray are not the shining star to heed advice from these days imo. Good luck to anyone still holding.DOW think there is value there ; i have no idea except the mkts reaction has been savage but that could be another professional shorter like Glaucus (see TFC thread)at work?
Have you been buying BP ;if so can you share on here your reasons?Thanks
I am holding some (and am still over water ...), but no - I didn't buy more. While I do see some opportunities in this deal, I think that they pay too much. As well - I need to think hard, whether I really want to be invested in Spotless. Too much bad press and too many negative personal experiences. I can not think of one positive experience with Spotless service, but I could fill the next three pages with negative ones. On the other hand - the company is obviously larger than their Christchurch branch.
I probably wait until this bouncing ends and will than review my reasons for holding DOW. In my view unlikely that they recover anytime soon the heights they commanded prior to this announcement.
Thanks BP. I lost some money on Spotless waaaay back; can't remember details or history , but dirty dog laundry smell fits.I know nothing about DOW management and don't hold but surely they've done their DD and have a cunning plan to make it accretive, but the mkt and my favourite retired fund manager think like this:scared::t_down:
Allan buying more!!
http://nzx-prod-s7fsd7f98s.s3-websit...742/400916.pdf
A newbie question. Can someone explain why Downer is listed on the NZX but can only be traded on the ASX. What is the point of it being on the NZX? I have sent this question to the NZX and directly to DOW but they dont consider it worthwhile replying. Im hoping the experienced on ST can explain this, if only to satisfy my curiosity. I dont know of any other share on the NZX where this situation occurs.
Thanks in advance