I have been watching the great exhibition of irrationality that is germane to the ASX once every now and then. All the town criers are extolling DEBT is bad . And down goes the SP of all infrastructure stocks and REITs. Very few if any took the time to differentiate between stocks.
Take MAP as example. Its SP was driven to $2:20 (bye the way thanks ….as they say profit from it) All and sundry including the Paris Hilton of scribes Michael West were say the model is broken and laden with debt. Well today MAP shows us a way through this : 1. Maps debt is long term and hedged 2. Map is selling part of its Copenhagen and Brussels to another MQG vehicle in Europe at mark up prices of 50%...yes I say again 50% mark 3. So MAP has validated the book value of its assets. 4. This is massive wealth destruction. You will not see this again 5. Asset revaluations. Ignore this say the experts.. 6. Assett depreciation…this has happened in MAPs books…no expert has commented…it is OK to report a loss it seems 7. Anyway I say thank you
Watch for MIG
MAP Price at posting:
0.0¢ Sentiment: LT Buy Disclosure: Held
