they have certainly lagged behind other REITs - trading at 3xthe lowest point and 1/10 of highest price in 1 year - compared to GMG at 4.5xlowest and 1/6 highest, MDT at 6xlowest and 1/4 of highest, CNP at 3.5xlowest and 1/2 of highest and least goes on. Based on this, should increase at least 50% to catch up, however we haven't seen any announcements since mid June, which is not a good sign given that other REITs have sold many assets during this time and tapped markets for fresh capital - it's just unclear what (if anything) Multiplex management has been doing all this time.
It has good potential but until we hear some good news (personally, I'd love a SPP to increase my holding), it's a sitting duck. Two months ago they tell us they are conducting a strategic review and we are yet to hear what that has led to. If they feel that business is sustainable and debt is their only problem, then they should ask shareholders to contribute new funds to fix up the balance sheet and move forward. In my opinion, this needs to happen sooner rather than later because once survival of the company becomes less of an issue, its share price will rise to offset any dilutive consequences of share issue.
MPF Price at posting:
6.5¢ Sentiment: Buy Disclosure: Held
