Management / owners have an excellent track record of delivering on M&A. They would not investing multi-millions of incremental family wealth if they did not feel very sure they could deliver. Negative share price reaction has been accentuated by the fact the share price was (wrongly) frothy with dreams of potential bid spec. I grant that this is not as satisfying as a quick exit. But long term I think this is a smart move in terms of economies of scale / diversification: negotiating power with the studios (you may have heard that Disney are squeezing operators on the margins they will earn from the new Star Wars), procurement, etc. Yes, US has been more impacted by Netflix, but frankly that risk is endemic to the industry. You either believe operators can overcome or not. Personally I see this as one of my core LT holdings. ROCE has consistently been in double digits. Not a Fevertree or an IQE but a lovely LT holding. Personally I am giving mgmt the benefits of the doubt and have topped on the dip. If the bid is abandoned the share price will rally. And if not it actually will make for a stronger business in the LT. all IMHO
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