Post Note: I just finished reading an analyst from share cafe. He implied that the drawback of the deal was that Woollies is looking to sell or spin-off its fuel business, and that would affect this deal. So that may dampen enthusiasm if people think that.
However I believe that is not the case. Both the fuel/discount arrangement AND the wholesale arrangement for food would remain in place regardless of sale or spin-off IPO according to my research. (Anyone able to refute or confirm?). ASX also has a great spin off history, S32 anyone?
So I'd kinda like to see a spin off... these big companies have lot of cred riding on good spin offs; if they spin off and screw everyone it can really hurt the parent company so terms are usually sweetheart deals.
CTX Price at posting:
$31.21 Sentiment: Buy Disclosure: Held
