MWY - Midway Limited

@finicky, looks like gross margins dropping below 40% was the key, combined with a slide in revenue its not a pretty picture!

Potential speculative purchase for me. Assuming China doesn't place tariffs against the wood chip industry, there is definitive growth. China's preference for Vietnam is no surprise, and has been an on-going competitor since 2011.

I like there approach on carbon credits, carbon related offsets are gonna become more and more prevalent over the coming 5 years. Especially with the presence of teel candidates and others of the sort in parliament.

Additionally the woodchip industry is not slowing... and MWY looks quite undervalued to me. A small parcel if I do make a purchase, one I will be watching closely over the coming weeks.

I am choosing Midway for September 2024 tipping comp.



What a jump!

Here the link to FY24 Results Announcement

EBITDA-S $14.2 million
NPAT $2.0 million
Total Comprehensive Income $23.5 million
$20.5 million in net cash position
Special dividend 14.5 cents per share to be paid 4 October

No wonder it jumped today.

Faramir said:

No wonder it jumped today.

Click to expand...

Highlights
• Midway Limited has entered into a binding Scheme Implementation Deed with RCM BidCo Pty Ltd an entity owned and controlled by funds managed and advised by River Capital Pty Ltd for the acquisition of all the shares in Midway by way of scheme of arrangement.
• If the Scheme becomes effective, Midway shareholders will receive $1.19 cash per Midway share under the Scheme which is inclusive of a partially franked special dividend expected to be paid of $0.38 per Midway Share. The cash amount payable by River Capital will be reduced by the cash amount of any such Special Dividend. Midway shareholders may also elect to receive their consideration in scrip or a combination of cash and scrip (subject to minimum acceptance thresholds).
• The Cash Consideration represents a 56% premium to the undisturbed closing price of $0.765 per Midway share on 13 November, being the final trading dayprior to Midway’s announcement that it had entered into a binding SID with River Capital.

I picked this stock two months too early.