TWR - Tower Insurance.

**bull....** · 15-11-2017, 11:38 AM

Originally Posted by HITMAN

If they value the company at $0.43 cents why are people paying $0.70 cents today? This share has got to dive IMO. You should be able to pick up at $0.40 in the near future, I hope I'm wrong but there current management is left wanting.

the ex price was 55c on todays price i think so thats why people buying at 72c as you can buy the new shares at 42c

amd as i was thinking they have potential to win up to 80m of the top of my head in litigation so you gotta think is that worth a punt 20 odd cents worth of share capital return?

**Scrunch** · 15-11-2017, 01:22 PM

Originally Posted by HITMAN

If they value the company at $0.43 cents why are people paying $0.70 cents today? This share has got to dive IMO. You should be able to pick up at $0.40 in the near future, I hope I'm wrong but there current management is left wanting.

The rights issue price is just a price that underwriters of the issue are pretty confident the price will stay above so they make money taking up rights that aren't purchased. It's not a valuation. A 70c price just means the rights have a value of about 14c. At 70c you are buying a future share price of 56c and a right to buy another share at 42c that had a value of 14c. The maths is simple this time as it's a 1:1 rights offer.

**trader_jackson** · 15-11-2017, 09:37 PM

Might give this a punt if I can get it for under 70c... forsyth reckon 4c dividend next year and that its worth at least 10% higher than today's closing price...

Then again they also reckon PEB is worth 85 cents

**bull....** · 16-11-2017, 08:02 AM

Originally Posted by trader_jackson

Might give this a punt if I can get it for under 70c... forsyth reckon 4c dividend next year and that its worth at least 10% higher than today's closing price...

Then again they also reckon PEB is worth 85 cents

4c div definately possible but i still reckon it wont be to canterbury claims are nearly gone , anyway i brought some for a punt

**JeremyALD** · 16-11-2017, 08:36 AM

I think there's good opportunity here, but to be truly rewarded you're going to have to hold it for quite a while whilst they get the never ending Christchurch claims out of the way

**bull....** · 16-11-2017, 08:53 AM

Originally Posted by JeremyALD

I think there's good opportunity here, but to be truly rewarded you're going to have to hold it for quite a while whilst they get the never ending Christchurch claims out of the way

the big payday is if they win the litigations , the potential money involved is enough to buy back all shares being issued at the moment

**Fatboyj** · 16-11-2017, 09:26 AM

Whens this going to court and earliest tower/aig know if they're getting a payday. And if EQC coughs up, wont the money just go to the poor shmucks that have waited all this time for their claim to be resolved?

**bull....** · 20-11-2017, 10:03 AM

last day today i believe before they go ex

**trader_jackson** · 20-11-2017, 01:36 PM

Originally Posted by bull....

last day today i believe before they go ex

Not quite...
https://www.nzx.com/announcements/310431

"Record Date for determining Entitlements: 7.00 pm, 22 November 2017"

Interesting to see after HBL not really down much despite no longer being entitled to participate in their rights issue... if Tower holds anything remotely close to 70 cents after the entitlement period, this would be most impressive!