FXJ 0.00% 66.0¢ fairfax media limited

News: FXJ Australia's Nine Entertainment to buy Fairfax Media for $1.6 bln, page-19

  1. 1,894 Posts.
    lightbulb Created with Sketch. 98
    Dud deal for FXJ shareholders - that is a certainty!
    Average price for FXJ in last quarter - about 75c
    Average price for Nine in last quarter - about $2.50
    So it is this ratio of 3:10 in sp that has been the starting basis for the bid.
    If the talk had happened about 9 months ago, then:
    Average price for FXJ in third quarter CY17 - about $1.00
    Average price for Nine in third quarter CY17 - about $1.50
    Price ratio of 6.7:10 in sp.
    In entering into a merge FXJ is now negotiating its proportion based on less than half of relative value that it had last year.
    Neither company has changed that much in that time.
    IMO you are being taken for a ride.
 
watchlist Created with Sketch. Add FXJ (ASX) to my watchlist

Currently unlisted public company.

arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.