TWR - Tower Insurance.

[850man]

Some decent volume trades today and up another cent...

[JohnnyTheHorse]

Chairman & CEO buying in big, large crossings happening each day at higher price each day... Am expecting this to finally get a 'Covid bounce' back to the 75-80c range.

[Antipodean]

My reading was that the cost is some sort of ongoing referral fee to Club Marine. No cash upfront. Its unclear if this referral fee is one-off as customers sign up or ongoing like banks ongoing payments to mortgage brokers. Either way it should be factored into the pricing to make it profitable business for Tower.

General insurance referral costs are typically one off, as each renewed (usually 12 month period) contract is effectively a separate product with potentially all new terms and conditions.
Quite different to life insurance with long trailing annual fees until the life insured cover contract is terminated.

If I had to guess it would be a simple per policy cut ($ or %) of the first years premium.

[Jim]

I received an email from Tower that I can get a discount of $50 on your insurance premium, but there is for new sign up.

[trader_jackson]

Certainly been some interesting trading lately... take over offer coming? I'd probably take $1.50+ if so.

[JohnnyTheHorse]

Certainly been some interesting trading lately... take over offer coming? I'd probably take $1.50+ if so.

Highest weekly volume in 2.5 years so is very very notable. Latest crossings were at 66c so I see that as the new floor price. When you see crossing each day at higher and higher prices on massive bull volume you know this has momentum and will likely keep going. It's looking like it'll break the resistance zone of 66.5c. Next major resistance area after that is 75-80c.

[JohnnyTheHorse]

And another director has picked up an extra 100,000 shares...

https://www.nzx.com/announcements/364511

[sb9]

And another director has picked up an extra 100,000 shares...

https://www.nzx.com/announcements/364511

Interesting to note, on the notice it says price paid was 62c a piece with transaction date being 4th Dec, don't think it traded at that level today at all...

[Scrunch]

Interesting to note, on the notice it says price paid was 62c a piece with transaction date being 4th Dec, don't think it traded at that level today at all...

And strangely quick to complete the paperwork, normally there is a couple of day delay between the transaction date and notification of the purchase (or sale).

[JohnnyTheHorse]

Certainly been some interesting trading lately... take over offer coming? I'd probably take $1.50+ if so.

Bain Capital is still holding their 19.99% stake, so in my view some form of takeover is inevitable at some point. The question is whether Bain see value in PE control, or whether they are shopping it around for a sale. Maybe with the EQC issue finally sorted the platform is set?