As soon as someone lobs a bid, they fall over each other accepting it. DUE is a good ongoing business. They pay out a dividend yield of 6.6% (unfr). If there is a reason to sell, other than the time-dependent SP premium, the directors should be compelled to tell us, the owners of the company, why.
Are the directors so cynical and full of self interest that they believe a "premium" to the current SP is worth selling the farm for? Sure, people will go for a bit more money sooner every time, but is that actually in the best interests of shareholders? In the long term (maybe even medium term) I think not: we are fast approaching a time when there will be precious few solid companies for Australians to invest in; they'll all be owned by foreign interests.
The $3 is seductive, but I do hope shareholders vote against the proposal. Fat chance, really, as the institutional investors will just grab the money and run with not a nanosecond of moral reflection.
DUE Price at posting:
$2.93 Sentiment: Buy Disclosure: Held
