The volatility in the relative values of TAS and EDE continue to...

The volatility in the relative values of TAS and EDE continue to offer those trading the relative values an opportunity to profit from this continually changing relationship.

In theory the TAS SP is grossly undervalued. The change in the SP of TAS has continued to lag the change in the SP of EDE. In golf terms PAR is probably a 1 to 1 ratio over time. This continually changes. Two weeks ago PAR was around 1 to 1. Since the rocket took off for EDE the ratio has moved out to 1.2 and above TAS to 1 EDE on average and has made TAS the better buy (in my eyes).

I believe that the directors aim is to have TAS as the controlling entity and will make moves sometime to direct the value of Edencrete towards TAS. Looking at relative market caps a rough calculation suggests the value of EDE held by TAS, via Noble should have TAS with an SP 11.8c. This means that a ratio of 1 to 1.2 should be reversed with the result that you should be able to trade 1 TAS for 1.2 EDE.

There are probably valid reasons why it may never get there. There is also the possibility that the other assets of TAS could prosper and add value to TAS. The Optiblend and Hythane assets of EDE could also reflect on TAS as well. Plenty of variables to consider along with speculation of the direction the Solomons wish to take these companies.

Note; All calculations done on the back of an envelope. They may or may not be accurate so do your own calculations and make your own decisions regarding EDE and TAS. The weather is against fishing so I find myself on Hotcopper reviewing "things" and filling in time.