HGH - Heartland Group Holdings

[ziggy415]

The headline says that it may go for up to 700 mill.
Where would they get that type of money from?
Just curious

winner probably

[winner69]

t_j - more honework for you.

UDC on the blocks - Hesrtland rumoured to be interested?

Your homework for tonight - should/could Heartland acquire UDC and if so how much should they pay?

UDC a bit smaller than Heartland and a bit more profitable. Last accounts https://www.business.govt.nz/compani...CF5FF927B9B4ED

Report back tomorrow pease

(Detention for you for nt coming back on MTF ....no credits for you towards NCEA)

[winner69]

The headline says that it may go for up to 700 mill.
Where would they get that type of money from?
Just curious

WOW - on same multiples that would make Heartland worth $920m plus

About $2 a share - always knew Heartland way undervalued

Jeff should be taking note - it may be best interests of his shareholders to selll Heartland .....to unlock that intrinsic value

If that $700m is A$ than its more than $2 for Heartland

[couta1]

WOW - on same multiples that would make Heartland worth $920m plus

About $2 a share - always knew Heartland way undervalued

Jeff should be taking note - it may be best interests of his shareholders to selll Heartland .....to unlock that intrinsic value

If that $700m is A$ than its more than $2 for Heartland

Sounds like you'll be taking a position again aye winner?

[Banksie]

http://www.stuff.co.nz/business/indu...ank-mulls-sale

[winner69]

Roger - was using Price Book ratios - that $700 touted is nearly 2 times which would make Heartland worth close to $2.00

Rough figures the other way were UDC profit $57m about what Heartland going to do this year then Heartland worth $700m as well = $1.50 share

Need to Snoopy to check numbers - I recall his conclusion that UDC was a better/more efficient business than Heartland and that might account for such a ridiculous valuation

Looking forward to t_j homework answers though

[winner69]

Jeff would love to make a REALLY BIG acquisition

Punters always fronted up in the past Mr Flood said - even if he needed to get punters to double their investment?

[ziggy415]

Jeff would love to make a REALLY BIG acquisition

Punters always fronted up in the past Mr Flood said - even if he needed to get punters to double their investment?

how does it go again.....oh yeh......$1.60 by christmas ha ha

[percy]

HBL taking over UDC would make very good sense.
HBL have stated any acquisition would have to be earnings accretive.
HBL at today's $1.21, is trading on a PE of 11.32.So would they pay a PE of 9 for UDC.?That would be just over $513mil which is a long way short of the $600 to $700 mil talked about.
HBL's market cap today is $576.5mil.A large cap raising would be needed.Yet if it added up it would be well supported .
Would ANZ take HBL scrip to get UDC off their books?
Another case of a distressed business [ANZ] selling off the crown jewels?
Nice to see the opportunities coming HBL's way.
Still no decision in the MTF Sportzone case.MTF would be a great "bolt on" acquisition for either HBL, or HBLUDC.!
All of this confirms that HBL, having excess capital while the Aussie banks need to raise capital,means the correlation between HBL and the Aussie banks is wrong,and HBL's share price has been mispriced by the market.

ps.Google "60 minutes Moranbah housing",and you can understand why Aussie banks require more capital.

[K1W1G0LD]

Percy, you deserve Guru status , being overlooked on here . I see Winners getting all enthusiastic again .................beware ...................shareprice will go down again now.
toodle pip.