Scales - SCL

[Cricketfan]

http://thecontrail.com/forum/topics/...china-resource

Another forum view, in case not sent before.

Gunny

Looks like a nutty conspiracy theory forum.

[Louloubell]

What are peoples thoughts on the intentions/likely scenario of the foreign investor; to ensure a regular supply of quality apples to their supermarkets or stage one of a full take over?

[percy]

Looks like a nutty conspiracy theory forum.

The Chinese conspiracy theory has history.
In Italy they brought up all the textile/fabric manufacturers and moved their equipment to China.
In the US they brought up machine tool companies and got their intellectual property for nothing.
I believe US military and space programs have trouble finding any American owned companies to deal with.
Next time you buy a book,see where it was printed.
In Europe they brought a steel mill.Dismantled it and shipped it to China where they reassembled it.
They take over whole industries.They need to so they can provide jobs for the millions of young people who join the work force there every year.
A few years ago a friend travelled along the Silk railway.He saw all the Chinese working their fields.He remarked,it will only be a few years before the roles are reversed.

[Gunny]

From my minimal knowledge and dealings while overseas with Chinese investors I understand they have changed the rules over the last 12 months where they encourage off shore location of Chinese firms and investment and have reduced the red tape to support this. So maybe they are also spreading their base overseas.

In terms of relocation at least it will be difficult to move the apple trees back to China. However Scales methods and efficiencies are another thing. The effectiveness of their cropping per acre is 2nd to none I understand. Although you wouldn't need to buy in to get that knowledge.

I suggest it is also important to note the percentage of possible land we have planted in crops outside of wood and dairy / beef is still low compared to others i.e. there is huge opportunity for a dramatic increase in New Zealand as a world fruit / veg etc. food bowl. How would you get into this if you were China, maybe look for the existing success stories to buy into and leverage. So rather than take the whatever back to China they may want to accelerate NZ development of volumes dramatically.

I wonder if you can graze A2 cows between the apple hedge rows with a bit of innovative fencing.

Gunny

[nextbigthing]

Quoted from another thread

looking @ SCL but they might be getting a bit heady just now I reckon

Blocky, I thought the same about AIA @$4, EBO @$11, POT @$10, TIL @ $2, the list goes on.
I guess there's something to be said for good companies with some growth prospects and good management.

[vin]

yeah I'm uncertain whether to backup the truck on this considering I sold half my AIR holding.

[Gunny]

Sold my AIR and backed up the truck already.

Gunny

[blockhead]

You backed the truck up,....but did you fill it ??

I have my AIR proceeds looking for a home, perhaps if there is a Brussels induced dip this morning there may be an opening.

Don't think Brussels will have a positive effect on airlines either.

[Gunny]

Did fill the truck, my average cost price now increased to just over $2. Have had Scales as a significant part of my portfolio for some time now, have just topped up a fair bit.

Not that I don't still like AIR just I see the upside stronger in Scales and was getting frustrated waiting on AIR (will probably break out soon just to annoy me). Having said that got out with a reasonable reward and div's so cannot complain.

Disappointed I didn't keep the faith with ATM from a long time back but back in of late at $1.81 with a few. Drat and double drat.

Good luck with finding an opening with Scales today, may just happen.

Gunny

[Beagle]

Quoted from another thread



Blocky, I thought the same about AIA @$4, EBO @$11, POT @$10, TIL @ $2, the list goes on.
I guess there's something to be said for good companies with some growth prospects and good management.

Well said. Plenty of growth to come with more acreage being harvested from FY18. Current year forecast is extremely conservative too.