MET - Metlifecare - one for the fundies?

[BlackPeter]

My gut feeling says this thing is a done deal at $7 and will go through at that in due course without obstruction.

Well, yes - I wouldn't expect enough shareholders to reject the bid. However ... there might be a better offer. Who knows?

[Oliver Mander]

7.00 / 6.80 for five months gives a 7.2% annualized return which is not remarkable given that there are a few hurdles to be jumped through for this deal to proceed.

I think the market at this price is saying that a superior offer is quite possible.

I admit that I was one of the sellers at $6.80. Actually think Beagle might be right - but mine was only ever a short-term trading position, and I can recycle the cash elsewhere. If it was in my investment portfolio, I would continue to hold - 7.2% annualised is still 'ok' to wait for 4 months, and thats a minimum return (6.80 v 7.00). Its quite likely that more offers will be flushed out by this.

Happy New year all!

[Beagle]

And to you mate. I have plenty of the folding stuff so no need to sell and happy to wait and see if a better offer is forthcoming.

Interestingly, volume today is already about 3 x the normal average.

[Bjauck]

I admit that I was one of the sellers at $6.80. Actually think Beagle might be right - but mine was only ever a short-term trading position, and I can recycle the cash elsewhere. If it was in my investment portfolio, I would continue to hold - 7.2% annualised is still 'ok' to wait for 4 months, and thats a minimum return (6.80 v 7.00). Its quite likely that more offers will be flushed out by this.

Happy New year all!

Happy St Sylvester’s day to you! I will probably continue to be an investor until flushed out by a compulsory takeover. Certainly at the current market price it makes sense.

[NOCASH]

I am missing something here? the price is at $6.80 but bidder is willing to buy share at $7.00. Is the catch buy at $6.80 now and hold for 4 months for the take over at $7.00 to be executed?

I know there is couple of hurdles to jump over. The reason why the share price is at $6.80 at the moment is because buyers and sellers don't have faith it will go through at $7.00 in 4-5 months from now?

[winner69]

My gut feeling says this thing is a done deal at $7 and will go through at that in due course without obstruction.

Agree Couts

One thing this has proved is that RATIOS mean diddly squat eh Couts

Company touted around the world and the combined wisdom of the market says MET is only worth net asset value ....when others overs in the sector have better RATIOS

[King1212]

No...some people don't want to hold 4 months for extra 20c.....some see other shares have more opportunities in 4 months...with all due diligence n fees for pro advises....the deal will go ahead...

[NOCASH]

Thanks - understood.

Now it's thinking time, either cash now and move the funds elsewhere or wait for 4 months and get paid out at $7.00 - now that is a done deal at $7.00

[Joshuatree]

Nearly a 3% yield for 4 months thats 9 % yield yearly equivalent, take off your brokerage.

[King1212]

It is depand on how many shares u hold...if 1000 share...the difference is $200..in 4 months...plus...don't pay broker fee plus dividend....