Xro - xero

[winner69]

I think there is another story to unfold over this ASX listing thing

[Leftfield]

I think there is another story to unfold over this ASX listing thing

Care to elaborate?

[winner69]

Care to elaborate?

Speculation ....only time will tell what that story might be

When most gurus can’t see a logical explanation for it there has to be more than meets the eye....beyond the good old increased exposure and liquidity story

[mondograss]

The best explanation I've seen suggests that they want the share price supported by some of the Aus-only funds, and some of the overseas funds that would invest in the ASX but wouldn't think about anything on the NZX. Given the volatility that seems to come from the NZX shareholders freaking out at the slightest negative news, I can't blame them.

Rod and\or others might also be thinking that they need an exit strategy for some time in the future, which becomes much easier on the ASX than on the NZX.

[Muppett]

Shouldn't NZX holders be rather happy with an instant gain due to $NZD/$AUD exchange rate?

Does anyone know what’s wrong with this XRO example:
Ignoring brokerage and fees … assume the SP and Ex Rate figures which are correct at the time of posting
Buy 1,000 @ NZ$33.00 total cost = $33,000
Hold shares till 31 January 2018, when the 1,000 shares get transferred to the ASX.
Sell 1,000 @ A$30.00 in Feb 2018 with exchange rate NZDAUD .9015 à Total cost = $33,278
Profit = NZ$278

[moka]

Rohan Sundram, Citigroup Inc, Research Division - Director [14]
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Just one question. On the new debt facility, just trying to understand your thinking on the rationale given that you've got a pretty ample cash balance. Under what circumstances could you envisage drawing down on that facility such as -- is M&A still a possibility or what are the circumstances?
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Sankar Narayan, Xero Limited - Chief Operating and Financial Officer [15]
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The debt facility is purely intended to be insurance. We heard feedback from some investors that they would like to see a greater liquidity buffer, and we acted on it. The positive -- and we don't intend to draw on it. The good news is, as Rod mentioned in his opening remarks, it's a great validation for banks to put that debt facility in. It shows the growing maturity at Xero. So we're really pleased to have that, but it's purely meant for insurance purposes

https://finance.yahoo.com/news/edite...062930380.html

Some of the feedback from investors
https://simplywall.st/news/2017/10/30/when-will-xero-limited-nzsexro-need-to-raise-more-money/

When Will Xero Limited (NZSE:XRO) Need To Raise More Money?
Mercedes Harden October 30, 2017
"things will have to start changing, since its current operation is unsustainable."

[Snow Leopard]

Does anyone know what’s wrong with this XRO example:
Ignoring brokerage and fees … assume the SP and Ex Rate figures which are correct at the time of posting
Buy 1,000 @ NZ$33.00 total cost = $33,000
Hold shares till 31 January 2018, when the 1,000 shares get transferred to the ASX.
Sell 1,000 @ A$30.00 in Feb 2018 with exchange rate NZDAUD .9015 à Total cost = $33,278
Profit = NZ$278

[winner69]

Some of the feedback from investors
https://simplywall.st/news/2017/10/30/when-will-xero-limited-nzsexro-need-to-raise-more-money/

When Will Xero Limited (NZSE:XRO) Need To Raise More Money?
Mercedes Harden October 30, 2017
"things will have to start changing, since its current operation is unsustainable."

So it’s value is $2.19 ....bit overvalued at the moment eh

[Muppett]

Now I know why the share price is going south.

[stoploss]

Does anyone know what’s wrong with this XRO example:
Ignoring brokerage and fees … assume the SP and Ex Rate figures which are correct at the time of posting
Buy 1,000 @ NZ$33.00 total cost = $33,000
Hold shares till 31 January 2018, when the 1,000 shares get transferred to the ASX.
Sell 1,000 @ A$30.00 in Feb 2018 with exchange rate NZDAUD .9015 à Total cost = $33,278
Profit = NZ$278

I will take this as a genuine question , Muppet please consider the following ....markets do move.
If you purchase 1000 shares @ NZ $ 33.00 fine , what if they are NZ $ 30.00 in Feb 18 ?
Also what if the shares are still NZ $ 33.00 however the exchange rate has moved to .9500, that gives you the equivalent of NZ$ 31,589