ALF - Allied Farmers Limited

[Vaygor1]

How does the tax will effect Alf

My understanding after discussions with my accountant:

No effect on equity.
Any amount paid now (if paid... still a decent amount of process to go through before we know) is recovered over time by equivalent amount of imputation credits.
Impact is then only on cashflow then I suppose.
ALF has the free cashflow to pay it now, but is there an associated opportunity cost for the interim period between payment (if paid) and recovery? ie Something else they could have done with the money?

[golden city]

What about on the profit and loss statement for the current year of that tax occurred will there be a one off expense for current period. Alf is a sleeping dragon that just those little things always came out to cap it in sleep

[mfd]

Not a lot of excitement in the market, but ALF are going to be able to keep that million dollars after all

https://www.nzx.com/announcements/349308

Quite handy for a company with a market cap of around 12 million. Currently trading on a PE ratio of around 6.

[kiora]

Today announced Frankton & Stratford
Online, real-time bidding at saleyard auctions! in livestock auctions streamed live and direct from saleyards. This is a hybrid of the traditional saleyard format and supports a return to confident trading.

[kiora]

On line sales popular
https://www.stuff.co.nz/taranaki-dai...day+1+May+2020

[Snoopy]

On line sales popular
https://www.stuff.co.nz/taranaki-dai...day+1+May+2020

Popular? The article said that 20 bidders attended in the flesh. But they didn't specify how many bidders registered on line. If the sale was really popular, I would have thought that 'NZ Farmers Livestock' would have released that latter figure.

480 cattle went through. Not sure how that compares to a 'normal' auction. But given this was only the second auction to be held by 'NZ Farmers Livestock' since the lock down, some of the through put could be pent up demand.

A cattle beast represents big dollars these days. Would a farmer really prefer looking through the eyes of a camera rather than eyeing up the beast in the flesh?

SNOOPY

[golden city]

Today’s announcement clear future direction mr perry is better fit and qualify for the chairman job. Hopefully he can bring some excitement into the company with some agritech acqusition opportunities

[mfd]

Big acquisition, spending up to 5 million with a current market cap of 11 million. Slightly complex structure, multiple conditions, whole load of shares issued. Looks pretty exciting, but a lack of detail this stage, presumably this will follow later.

https://www.nzx.com/announcements/361572

[Nigel]

Paying $2.5 million (in shares) for 50% of a new company that will raise $75m in an IPO. Am I reading that right? Seems attractive! And no record date announced for the cap raising, so people can still get on board... buying a portion today and then more in the cap raising at 50c once details are announced. Or maybe they'll make the record date 15 Oct, who knows. Regardless, market cap is only $11m, the company makes a profit and the PE ratio is under 10. Worth a look perhaps.

[mfd]

Paying $2.5 million (in shares) for 50% of a new company that will raise $75m in an IPO. Am I reading that right? Seems attractive! And no record date announced for the cap raising, so people can still get on board... buying a portion today and then more in the cap raising at 50c once details are announced. Or maybe they'll make the record date 15 Oct, who knows. Regardless, market cap is only $11m, the company makes a profit and the PE ratio is under 10. Worth a look perhaps.

As I understand it, they are just buying the company with the contract to manage the land owned by the company raising the capital, although it looks like they may end up owning a little of the IPOing company as well through the convertible loan ALF are providing.