The Investment Doctor • Sat, Dec. 13
There is research on this stock available only to PRO subscribers.
From other sites
Update: Bradken Opens Its Books For The Private Equity PartnersThe Investment Doctor • Sat, Dec. 13
- Bradken has started to negotiate a better buyout price with its private equity funds which have made an offer to acquire the company.
- This isn’t a surprise as Bradken agreed to open its books for due diligence based on a targeted price of A$6/share back in August.
- I continue to hold my shares but will sell at the right price.
- Bradken announces it received a proposal from PE companies to be acquired for A$5.10 per share in cash, which was exactly my target price.
- I’m positively surprised that smart private equity players derived the EXACT (there isn’t a cent difference) fair value.
- The investment thesis doesn’t change, as Bradken hasn’t accepted the offer and the share price is below my target price.
- Even though Bradken experienced a revenue decline, its margins are still intact.
- The attractive dividend yield of 7.25% is covered by a 15% free cash flow yield.
- I would like the company to focus on the reduction of the net debt as well.
- Bradken seems to be a BUY, and the fair price would be $4.47 (A$5.10) per share, 42% higher than the current share price.
There are no Transcripts on BRKNF.
We currently have no Breaking News on this stock.
BRKNF vs. ETF Alternatives
Other News & PR