STU - Steel & Tube Holdings

[Balance]

No news is good news that is for sure... unfortunately there is still a good few months some news (good or bad or neutral) could be released) so 25m EBIT FY19 is far from a done deal in my view.
As a holder, I am confident $25m will be met and around 8 cents in dividends will be paid this FY19... the market seems to be gaining a bit of confidence in STU lately as well.

FNZC's intrinsic valuation is way above current level - $1.96 +

As STU delivers, that valuation will become accepted as realistic.

Happy holder.

[Scrunch]

Broken back above $1.30 and if it closes there it will be the highest close since early Nov.

[Justin]

no news is good news👍

[clearasmud]

FBU offered around $1.70 but got rebuffed.
Was that because the offer was too low or the board wanted to keep their jobs...?
They certainly can afford to increase divis due to the large capital raise...

[blackcap]

FBU offered around $1.70 but got rebuffed.
Was that because the offer was too low or the board wanted to keep their jobs...?
They certainly can afford to increase divis due to the large capital raise...

Would it not seem a bit silly to have a cap raise and they pay a large dividend? I mean why do the cap raise in the first place?

[Justin]

pay divi better than pay debts

[Marilyn Munroe]

FBU offered around $1.70 but got rebuffed.
Was that because the offer was too low or the board wanted to keep their jobs...?

The board probably knew the Commerce Commission would waver between NO!!! and HELL NO!! because of concerns about the merged entity having a dominant position in the merchant steel market.

Boop boop de do
Marilyn

[Balance]

FBU offered around $1.70 but got rebuffed.
Was that because the offer was too low or the board wanted to keep their jobs...?
They certainly can afford to increase divis due to the large capital raise...

FBU actually increased its offer to $1.90 (plus 5c dividend) = $1.95

[Justin]

The board probably knew the Commerce Commission would waver between NO!!! and HELL NO!! because of concerns about the merged entity having a dominant position in the merchant steel market.

Boop boop de do
Marilyn

how come the FBU board dont knew？

[Balance]

how come the FBU board dont knew？

Judgement call on their part with the usual vested-interest lawyers urging them on. How else would the lawyers make money?

Remember that Commerce Commission rejected Vodafone & Sky TV merger?