Ann: Ridley Delivers a 20% Uplift In Earnings, page-26

i don't know I entirely agree, Whampoa, with your view the property assets are barely reflected in the SP. RIC is trading at 17x earnings, which is pretty good for a stock feed company, and I attribute a smidge of this to the upside in the very promising new prawn feed business they are planning.

The interesting property assets they have for sale have been on the market a while.

Dry Creek SA has not attracted a bid they are prepared to accept.

Moolap Vic has problems over leaseholds from the state government and planning delays. RIC will eventually make a motza on Moolap which deserves to be the Mayfair of Geelong, given the quality of the site - not just another crummy subdivision with a few mean-sized canal lots. If RIC can inspire the state and the planners with a bold and genuinely uplifting vision, they will wave it through and happily convert the leasehold.

As to whether all this is considered in the SP, shareholders do discount prospects more than a year or two out very heavily. If the Moolap joint venture was approved tomorrow, it would be five years before any cash came in.

I say, enjoy the stock feed business, where RIC is generating good returns and continuously improving their offering. Accumulate on weakness.

DYOR.