fair value for WPL

[modandm]

problem with WPL is that if the US starts exporting LNG to Japan LNG prices will fall. That and costs of production in Aus are high.

[soulman]

What's going on with WPL today. Up $1.00 on a beaten up market? Any thoughts?

[macduffy]

Possibly a reaction to the Iraq situation and the firming oil price?

[soulman]

Possibly a reaction to the Iraq situation and the firming oil price?

Ahh...keen eye. Dead on. Most producers all up today with the likes of COE, SXY, BPT and DLS.

WPL was always a value since their dividend payout ratio was adjusted upwards last year. Now the value has been truly recognised.

[RRR]

Woodside buying back 9.5% of Shell's stake at a discounted price of A$36.5! Shell selling another 9.5% to institutional investors at market price of 41.65! I think shareholders have got a good deal. Debt will increase but manageable.

[zigzag]

Taking Shell off the share register has removed a big overhang. I don't hold, but do find the oil/gas sector an addictive distraction. Currently hold OSH, OEL and NZO.

[soulman]

Woodside turns out to be an income play for investors. Nice yield and solid outlook. The best div yield in the producer oil/gas sector.

Still have uncertainty about the shares Shell holds. But maybe BHP might make a tilt at WPL.

[Joshuatree]

The sale of BHP's energy assets to Woodside(WPL) have been approved with BHP holders getting 1 WPL for every 5.5340 BHP shares in the form of an in specie divi, fully franked. But us Kiwi investors cant make use of the franking component and will get less WPL shares.Can anyone confirm this and how much would we miss out by?, thanks.
Re 917 million WPL shares will be issued and it will list in the uSA.

[moimoi]

The ratio is the ratio ... A franking credit or lack thereof shouldn't affect this...imo.

[Nor]

Sell BHP before the record date to an Australian who can use the franking credits and buy BHP and/or WDS after the record date? Would expect prices to be favourable especially as WDS expected to drop some.
Note question mark - not a financial advisor.