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I was going to call it last night but I think SIG might be on a small run up.
It is interesting that as the decision approaches the SIG price is increasing. A report I saw when the ACCC report was released indicated there were ways to overcome some of the ACCC concerns by the merged group making various undertakings.A decision won’t be made until October.
yes , me alsoThe takeover with CW is not looking good IMO, if it doesn't go through many will be holding the bag.
I closed out ages ago, it's just too much risk for me.
Looks like the undertakings cpuls very well occur and be accepted. Nicely up 23% thank you ACCC..............indicated there were ways to overcome some of the ACCC concerns by the merged group making various undertakings.
It will be the top loser too if the acquisition doesn't go ahead.
IMO the SIG shareholder has already lost ( if they are still holding )It will be the top loser too if the acquisition doesn't go ahead.
I look at it a little differently. Those who bought after the merger announcement were in effect investing in Chemist Warehouse. As I said previously, I bought when the ACCC published their non-decision in June because it left the door widely open for the merger to proceed by not making the decision.IMO the SIG shareholder has already lost ( if they are still holding )
they will effectively lose control of the company to Chemist Warehouse , however should the reverse take-over fail ...the Chemist Warehouse folk , might have a punch in the face
i exited SIG shortly after the offer was announced in detail
They're trying to take the middleman out, SIG already supplies to CW but then they'll have less competition in the areas where chemists are underrepresented. All the SIG CEO's are worried about is getting on the bigger payroll.I look at it a little differently. Those who bought after the merger announcement were in effect investing in Chemist Warehouse. As I said previously, I bought when the ACCC published their non-decision in June because it left the door widely open for the merger to proceed by not making the decision.
The ACCC report indicated that it was not concerned with the size of the merged entity. It pointed out that EBOS is larger than CW and the merged entity will not be significantly larger than EBOS. Their concern mainly cantered around CW being able to access the details of those Sigma customers who are competitors to CW. This can be easily accommodated by undertakings put in place by the merged entity.
In their last report, ACCC indicated it was happy with the legally enforceable undertakings offered by CW and would ask for feedback from the industry. As it appeared a done deal, the market reacted.
I bought on the basis of a low risk and high reward, and I have obviously bet on the merger proceeding. So in effect, I am investing in CW. If the merger does not proceed, then SIG will go back to business as usual which is growing anyway.
I've seen it happen with mining stocks a few times, where the SP goes up then the merger fails and everyone flees because they're waiting for the merger to sell.should the merger fail ( and i don't think it will collapse completely ) i will CONSIDER a reentry
to me CW converts SIG into mostly a retail outlet , and i have plenty of retail exposure ( especially as WES gobbled up my API holding )
but good luck to holders
i just don't like the current deal ( and i made some profit on the exit , so all is good , here )
i did OK with SIG ( not half as good as a trader buddy did ) , but yes i am not so happy with the current company ( if the deal completes )I've seen it happen with mining stocks a few times, where the SP goes up then the merger fails and everyone flees because they're waiting for the merger to sell.
If the merger happens the SP could go as far as $10, it's just how much risk do you want to take on board?
I'd be very careful with this company.
Former Sigma Healthcare general manager sentenced for insider trading
Published 27 June 2022 ASIC
To date, I have been concentrating on the probability of the merger completing and I am quite confident that it will.If the merger happens the SP could go as far as $10, it's just how much risk do you want to take on board?
yep ,To date, I have been concentrating on the probability of the merger completing and I am quite confident that it will.
Seeing your "throw-away" comment about the possible price @TimeISmoney I decided to go through the actual merger proposal document. A couple of things concerned me and try as I may, I could not get my head around some of those merger conditions.
I have always had the view that if I could not understand the business, I don't buy it. In this case I can't understand some of the merger conditions so I sold today and took the profit.
To date, I have been concentrating on the probability of the merger completing and I am quite confident that it will.
Seeing your "throw-away" comment about the possible price @TimeISmoney I decided to go through the actual merger proposal document. A couple of things concerned me and try as I may, I could not get my head around some of those merger conditions.
I have always had the view that if I could not understand the business, I don't buy it. In this case I can't understand some of the merger conditions so I sold today and took the profit.
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