ATM - A2 Milk Corporation Limited

[babymonster]

Lol, it might do better over there

Attachment 6745
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[mayday]

did this news drive A2 sp down?

http://www.stockandland.com.au/news/...t/2722804.aspx

[Beagle]

did this news drive A2 sp down?

http://www.stockandland.com.au/news/...t/2722804.aspx

Finally an answer of sorts. Forgot to mention after a clear and sustained breech of my 15% mandatory stop loss limit I quite my very small holding recently in the low 50's. I only dipped a toe in the water and lost a toenail so no big deal as far as I'm concerned. I might regret it one day but there are many other compelling and better articulated / understood opportunities out there. Good luck to holders.

[NT001]

did this news drive A2 sp down?

http://www.stockandland.com.au/news/...t/2722804.aspx

Hardly. Very few people would have been aware of that article, and anyway that guy's problems really have nothing whatever to do with A2. They're related to a totally separate issue, the imposition of new rules about RAW milk sales. He's on an utterly different tangent, organics, and apparently doesn't have a contract to supply A2 milk. If he did, he'd probably be doing very nicely.

My personal and unprofessional guess is that the slide in SP has to do with holders (either institutions or traders) quitting or cutting down their holdings in advance of the Australian launch, for some presumably calculated reason. As a longterm holder, albeit a slightly unhappy one at the moment, I see it as showing the market is now operating more freely than it was for a period when it seemed someone was trying to manipulate the daily closing price. It's a good buying opportunity IMO.

[Jasemc]

Agree unless there is some insider information spinning around the drop in price will be a big holder dropping holding and the panickers selling off. If there is a bad report in a few weeks time then you know inside info was behind it. IMHO. Otherwise as usual price will be determined by how well they are making progress in markets.

[GizyGold]

did this news drive A2 sp down?

http://www.stockandland.com.au/news/...t/2722804.aspx

that link refers to raw milk so dont think it would impact A2 at all as they dont do raw milk.

Possibly some guys are trying to drive the price down to accumulate more at lower prices prior to ASX listing. Must be triggering stoplosses and getting weak holders to sell. Would be great to pick the bottom. 40cents??? or is someone wanting to buy the company......strange but something brewing

[MAC]

With the major shareholders in ATM having agreed in 2012 to capitalise the company for growth and expansion at 50c, and the concurrent drop in SP with ASX listing timing, and the amount of dairy sector M&A going on in Australia, who would be at all surprised right now if ATM announced that they had been approached with a takeover offer ?

[iceman]

My thoughts exactly KW. Maybe they´ve realised that ATM has very successfully marketed their product in Australia to health aware consumers and possibly drawn a lot of previous non milk drinkers back to drinking milk. Trying to crush A2MC with silly advertising like they tried last year has probably been a complete failure for them and may even backfire.
So it may well be a case of it "better being inside the tent pissing out than outside pissing in" and then try to replicate the Australian success in other countries with an ever increasing product range.

I hope not a takeover though as I would really like to stay in this one for at least 3-5 more years

Maybe that's the end game by one of its competitors. Short the F*&^ out of it, then offer to buy it for a song. I mean, seriously, if you were a milk company in Australia and you were losing market share hand over fist, wouldnt you WANT to buy it? I'd call that a no-brainer.

[mayday]

someone traded 359 shares for four times within an hour time, can anyone explain why like that? I wouldn't be able to recover the fees paid to brokerage

https://www.forsythbarr.co.nz/market...NZX/ATM#trades

[MAC]

I think it’s fair to say Iceman that it absolutely totally backfired as evidenced by ATM having achieved 38% revenue growth in the first four months of HY15. But then, 'if you can’t beat em perhaps then swallow them'.

It may well indeed be a matter of international business maturity that ATM have, by special meeting, allocated a new spot at the board table for a new non-resident director, I wouldn’t doubt the need for that, the business is growing very fast and very successfully.

Equally that spot could make for representation for an incoming large minority or majority shareholder. Coinciding with an ASX listing probably is just coincidental, but it’s not outside realms of possibility that it could also be a matter of putting stepping stones in place.

Perhaps those with more experience could clarify as to what point takeover discussions evolve or graduate to a point whereby an announcement to the market becomes necessary. Clearly at a point an offer is made, but perhaps with shades of grey up until that time.

Typically there must be months of due diligence required leading up to any offer formation.