STU - Steel & Tube Holdings

[macduffy]

The Nuplex iisue worked out extremely well for holders but the circumstances were rather different. In NPX's case it was mainly a matter of too much FX borrowing, owing at a timewhen the NZD took a tumble. The business was sound, otherwise, and not facing the seemingly ongoing quality problems that STU still battles. A bit of a punt, still, IMO.

[BlackPeter]

The Nuplex iisue worked out extremely well for holders but the circumstances were rather different. In NPX's case it was mainly a matter of too much FX borrowing, owing at a timewhen the NZD took a tumble. The business was sound, otherwise, and not facing the seemingly ongoing quality problems that STU still battles. A bit of a punt, still, IMO.

... and didn't Nuplex come up with this amazing new coating technology everybody wants to use before its share price went stellar (http://www.scoop.co.nz/stories/BU150...industry.htm)?

Unless we assume STU have something comparable in their secret research labs (I haven't heard about, hey they must be really secret) should we probably be careful with comparing apples and potentially less desirable droppings?

[winner69]

You guys please stop picking on me

All I was trying to say was that buying after a deeply discounted rights issue (for whatever reason) is often very profitable and that Nuplex was an example of that. No doubt others

And BP that whiz bang technology of Nuplex just kept them in the game, nothing else. And the business still isn’t performing that well in NZ even under new ownership. Don’t know how rest of world is going.

[percy]

Recent research from Craigs was missing any mention of the "class action," or the "Commerce Commission" likely heavy fines.
I think this is extraordinary.

[boysy]

Well let’s see what happens to the SP tomorrow noting the bookbuild price will be not lower than $1.05 and no higher than $1.22 being today’s closing price ...

[winner69]

Well let’s see what happens to the SP tomorrow noting the bookbuild price will be not lower than $1.05 and no higher than $1.22 being today’s closing price ...

If the theoretical ex rights price was touted as $1.28 the market has downgraded STU a bit since eh

You waiting for your bonus cheque (the difference)?

[boysy]

Took up my shares and put a few quid into the insto raise, recapitalising the business at a discounted price. Assuming they hit the $25M EBIT next year amd $35-40M EBIT within 3 years this could look very cheap. That being said the really do need to be turning a corner and not get hit with a huge fine from the comcom. Will be interesting to see how this trades while the book build occurs .....

[Joshuatree]

Recent research from Craigs was missing any mention of the "class action," or the "Commerce Commission" likely heavy fines.
I think this is extraordinary.

I read it and you so right, that is bizarre and raises questions about that researcher for one. I HOPE YOU ARE READING THIS CRAIGS, AMATEURISH! We took up re half our rights in the end. Fingers crossed.

[boysy]

Plenty of turnover at these prices would lend support to the book build price being towards the closing price of yesterday one would think

[Beagle]

http://www.sharechat.co.nz/article/5...71-uptake.html

Significant vote of no confidence. Very very difficult industry to be in. I think the chances of STU meeting their future profit "guesses" (which is all they are), are VERY slim.