API 0.74% $1.35 australian pharmaceutical industries limited

Initial Substantial Shareholer Notice posted by Schroders today....

  1. 2,105 Posts.
    lightbulb Created with Sketch. 41
    Initial Substantial Shareholer Notice posted by Schroders today. Have bought up nearly 6% over last month at ave price of $2.27.

    If my memory serves me right Schroders have taken positions like this before when Mayne persued Faulding (built up large interest in Faulding). I think they know the industry pretty well and have a extra keen sense of smell.

    My tip is that this signals that we will have Symbion (part of the Mayne group) putting a proposition to API shortly. Symbion will be cashed up with the sale of Mayne Pharma. Symbion and a bucket load of cash is all they will have left. I am sure they are concerned about their declining market share in Pharmacy wholesaling and will be prepared to make a reasonable offer (e.g. in the vicinity of $2.40 to $2.50).

    How the API board views the offer will depend greatly on how API has performed in the Oct - Dec 06 (the 1st quarter of their recovery phase.
 
watchlist Created with Sketch. Add API (ASX) to my watchlist

Currently unlisted public company.

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