Ebos Limited EBO

[macduffy]

I think it is very positive to have capable directors who have their own money invested in the business.

Of course it's a positive for directors to have a stake in companies in which they are their directors. That's not the issue here, rather it's one of a potential conflict of interests between those of the company that EBO was seeking to buy and one of its suppliers. Entirely hypothetical of course.

[percy]

Of course it's a positive for directors to have a stake in companies in which they are their directors. That's not the issue here, rather it's one of a potential conflict of interests between those of the company that EBO was seeking to buy and one of its suppliers. Entirely hypothetical of course.

Of course,I never thought otherwise.!!!!!!

[winner69]

Percy - not putting a halo around the chairman are you? .... maybe with rose tinted glasses?

Experienced director .... yes and no doubt about that. Probably pretty clever as well and no doubt the Queen will recognise him one day

But this does not always make the companies he is associated with successful or a great investment .....ask the ;ong suffering shareholders in THL or WFD

Maybe in Ebos's case it is the calibre of management rather than the Board ... interesting thought

[percy]

No halo,I lost money on Advantage Corp.He would have had to use all of his experience when he recently had THREE major shareholders as directors.From Jamie Maddren days to present time EBO have always had a strong board.Even Philip Burdon rose to the chellange.!!
Calibre of management , Mark Waller's leadership,Experienced board,have driven the company.

[karen1]

There have been some very interesting postings since I put up the link re Masterpet yesterday! My tuppence worth:

Like others, I was surprised by Ebos’s recent acquisition, and despite wanting to top up my very small holding will now sit on the fence to see how the pet business folds into their human business.

Granted, the pet business is doing well in general atm, (Mark Waller said Masterpet was well positioned in one of the fastest growing global business sectors), but I have to wonder, given the current climate, how long that will last. I often drop in to our local Animates store with grandchildren, just to drool over puppies or kittens, and I notice a lot of shoppers (less over the last year) are buying pet trinkets, not staples. Even with the Animates club membership, I believe actual pet food can be bought more cheaply elsewhere, and for true pet lovers there is now an Auckland based vet with a website offering raw meat meals for pets, along similar lines to Ziwi, from what I can see. Possible competition down the track for Ziwi.

Having spoken with numerous people over the last two weeks and finding a great deal of them have spent far less this season than previously, it is obvious that spending is definitely tightening up, and this will likely affect what is spent on pets.

Nevertheless, Ebos has long been a very sound company, and as Macduffy noted back on 17.09.10: A nice, quiet achiever, this one. He also pointed out in that post: EBO up to $6.90 today.

So, today it sits at $6.55, not having shifted either way over the last few days, and I am wondering if other investors may well be doing what I am, fence sitting while this latest acquisition gets digested, and proven, or not.

Let’s hope that EBO continues to be that nice, quiet achiever.

[percy]

I notice Animates web site is done by our "good friends" eastaronline.com ,no wonder it is excellent.

[percy]

Well looks as though the market likes the Masterpet acquisition with the share price motoring through the $7 barrier pretty quickly.

[karen1]

I should have prefaced my previous post with "L plate still in place"!

Glad to be proved how little I know, and chuffed with the uphill climb.

[percy]

With your well thought out and helpful posts Karen1 you have long since lost the right to preface your posts with "L plate."
What we did not know was whether the Masterpet acquisition would be seen by the market as positive or negative.If the market thought it was out left field and would not fit ,EBO share price would have lost ground.What has happened is the market likes the acquisition.I expect some brokers,fund managers etc have analysied it and rate it a buy.The buying depth would appear to confirm this.

[winner69]

The way analysts think ..... prior to announcement EBO was at about 7 times forecast EBITDA .... they say Masterpet will add another $20m EBITDA .... 7 times that is nearly $3 a share .... so shareprice heading to $9 when things become more official and the results start coming through .... pretty logical eh