Here's that article in the BRW that sparked a rally in their SP...

Here's that article in the BRW that sparked a rally in their SP recently. Since their earnings call, when the SP was 87c, there's been a rally based on the t/o story in the press.

http://www.brw.com.au/viewer.aspx?ATL://1237257060028&from=search&title=Macquarie+takeover

Mayb its a sane decision by Macquarie Group, the parent body, who think that its time to get rid of the BA as the debt is 10 times its Ebitda. Here's how.


Operating Revenue: $148m
Ebitda: $91.325m
Total Earnings: $51.68m
Debt: $970m, Cash: $17.8m
Net Debt: $952.2m
Debt/Ebitda: 10.4x which is quite high
Mkt Cap: $792m, Shares: 542m @ $1.45
EV: $1.744b
EV/Ebitda: 19.1 times
EV/Revenue: 11.8x

Think, BA had close to 300 sites in Oz generating them the $148m in revenue, so selling BA to a bigger player would atleast get Macquarie over a billion $'s of cash in the current financial climate. For comparisons sake chk out some of the major tower owners in the US where Global Tower seems to b fighting a big battle with its so-called 4500 odd sites whilst the others have 23000+ sites.

Worth watching develpments on this front, wonder who makes a move for BA.

cheers



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