Tegel IPO

[crabs]

Can you explain the reasoning crabs?

the reasoning has already been explained very well by others on this thread.
However you don't have to look far past statements in the prospectus indicating that Tegal have identified area's of substantial growth and opportunity oversea's despite not being able to find any growth anywhere in the last few decades............

[RGR367]

This IPO is a classic example of how to use a very buoyant market to dress up a dog then cook it and serve it so it looks like tasty chicken.
No matter how much sauce and seasoning you put on it this investment is going to leave a fowl taste in investors mouths.

On that very perception of the Market is where we differ and right after the Dick Smith debacle?

[Joshuatree]

This IPO is a classic example of how to use a very buoyant market to dress up a dog then cook it and serve it so it looks like tasty chicken.
No matter how much sauce and seasoning you put on it this investment is going to leave a fowl taste in investors mouths.

Well I'm happy to be a s/h and see how it goes. Getting in at $1.55 was great imo;and too early too judge the quality of this company; awaiting some results first. Thanks noodles for your straight observations.

[crabs]

Well I'm happy to be a s/h and see how it goes. Getting in at $1.55 was great imo;and too early too judge the quality of this company; awaiting some results first. Thanks noodles for your straight observations.

yes I must say having the IPO set at the very bottom of a huge range($1.55-$2.55) was a bit of a surprise but does show that the market is, quite rightly, cautious of this one.........

[trader_jackson]

IPO was set at the rock bottom of the range, and yet just over 2 weeks later it looks like we'll soon be there anyway...

$1.60 and decreasing, despite NZX 50 almost reaching a record, and interest rates expected to remain low (which should make companies with a 'good' dividend yield even more attractive)

Well done to the staggers... and best of luck to the holders

[kiora]

I've heard its the chicken feed that's spreading all the weeds around the country.Not good if its true.If they stop importing feed then what?.If farmers don't want to spread chicken litter then what?

[Balance]

IPO was set at the rock bottom of the range, and yet just over 2 weeks later it looks like we'll soon be there anyway...

$1.60 and decreasing, despite NZX 50 almost reaching a record, and interest rates expected to remain low (which should make companies with a 'good' dividend yield even more attractive)

Well done to the staggers... and best of luck to the holders

Looks like one of the 'high quality' institutions selected by TGH to be a long term shareholder is selling out.

Good news for other shareholders is that there are crossings now taking place at around $1.60 and $1.61.

Whether it goes back down to $1.55 depends on how much stock the favored institution was allocated.

[janner]

[QUOTE=trader_jackson;620836

Well done to the staggers... and best of luck to the holders[/QUOTE]

Their only market really will be what they currently have.

Chickens here are around NZ$4.00 " each "... Not a kilo.

[Baa_Baa]

Looks like one of the 'high quality' institutions selected by TGH to be a long term shareholder is selling out.

Good news for other shareholders is that there are crossings now taking place at around $1.60 and $1.61.

Whether it goes back down to $1.55 depends on how much stock the favored institution was allocated.

Imagine what they would have done if the IPO was at the upper end of the scale, it'd be f'you TGH, dump the lot, line wipe those suckers! Any insto will have been allocated sufficient shares to disrupt the normal course of trading for the foreseeable ... depending on whether another insto wants it badly enough, otherwise it's the minnows they'll be feeding on for who knows how long. Rogues, they're not in it to make friends thats for sure.

[James108]

In FY15 the cost of inventories written down to net realiseable value recognised as an expose amounted to $28,000. In previous years this figure has averaged over $1M. In 2013 this figure was $4.4M, some of this was then reversed in 2014.

Approx $3.5M of provisions were also taken out in 2013, as well as the obvious PPE write downs (some of which were then reversed in 2014).

To me it looks like they made 2013 very bad and used it to fudge 2014/2015 figures.

Would be interested to here what others think about this, is Roger in this thread?