So what are R86 + 1/2 a Bhati share worth? This deal is so complicated that it will take some time to unravel. The ride could end up going either way. Hope the sponsoring brokers on MTN's side has a ***** hot dealmaker on their side or the cool $100 mil spend on them could cost them some more over the longer term.
I calculate $14 billion for 49% of issued MTN shares (1840015741 shares in issue) = R115.94 + half a Bharti share = R31.55. Therefore total of R147.50. BUY! BUY! BUY! (Confirmation, anyone?) The R86 was from the May offer. (The article is rather convoluted; I may also not be reading it correctly...)
Skaaptjop. If I buy on the rumour and the deal doesnt go through I can see R100 for mtn. Will problably drop right through a stop loss. 25% drop on a ssf equals a very bad weekend. Buying on rumour and it goes through we will problably see 135-140 on the price. Think there is more risk to the downside than profit on the upside. Anyone share or differ from me.
Some truth both ways. However trade the price and my model says buy so I am stalking an entry to see what happens. Wont hold past tomorrow afternoon unless there are very strong reasons for it. Like you say a bad week-end could be a 25% drop monday morning...
Thanks Platsak ,if i cannot get mine right i'll contact you again,as the one i use for the installment discussion is supposed to be free,except that the web owners carry their ads there.I've also protested about some dubious ads. seems better now.