is boq a takeover prospect yet ?, page-7

Nandina,

Great minds think alike !
Also with BOQ ceo David Liddy retiring before the end of the year, it all hangs neatly together.... in theory at least.

But upon reflection, Im not sure it would be a good idea.

BOQ has a totally different banking model to BEN.
So Im not sure if the synergies/economies of scale that are always talked about in these mergers could be achieved.
As far as I can determine, it has NOT happened in the Bendigo Bank/Bank of Adelaide merger.In fact if anything, the opposite has occured with excess staff particularly in middle/upper management from both former entities still on the payroll, some with practically nothing to do.

BEN needs to sort out its current problems with the "inherited " Adelaide loan book before taking on more.


Free will, re due diligence.

I hope if they do look at Bank of Queensland, BENs due diligence is better than when they took over Bank of Adelaide.
What a fiasco that has been with Bank of Adelaide loan book, and still is.

BOQ must have some very troublesome loans associated with the Qld floods, and additionally the QLD real estate market is more severly depressed than Victoria where BEN mainly operates.

But in conclusion Nandina, your original post quoting BOQ SUB $7 ( not sub $8) would make it VERY tempting.

Also if it happens at any price, the scribes and ANALysts .......fresh from graduating with their MBAs, will love it.
LOL

Diclosure:
I hold BEN, but not BOQ