UNI 0.00% $1.06 unilife medical solutions limited


  1. 4,374 Posts.
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    Rumours are a bit like lies, lies and damned statistics. You can make them up as you go, and make them say whatever you want.

    However, it's also a potentially serious subject. My feeling is that Uni could well be a target, but hostile? Doubt it, and even if it was, it would have to be at a significant premuim to garner the support of the founding shareholders, let alone others among the Top 20. Despite the attempts of some here to generate negative sentiment, I think you might find the founding shareholders and Top 20 are fairly tight unit in this respect. Post AGM, Alan Shortall will have a blocking stake and as SBVB has said, our CEO is a big numbers man. He would not give this away now when a) fair value is currently out the window b) there is no significant upside for all shareholders and c) when greatly increased shareholder wealth is just around the corner.

    Remember we have already turned down one approach at a "rumoured" 45 cents or there-abouts because it did not reflect fair value or any premium for future value. It will take more than that to attract the support of the founders etc.

    Also, given we will be listing on NASDAQ (or similar)next year, any takeover offer now would have to price in a premium for that. As with everything that he has put in place, Alan Shortall has ensured that Unilife is dealing from a considerable position of strength. We now have some of the most powerful players in the global sharps industry partnering or wanting to partner with us. This alone makes Unilife an attractive proposition, let alone taking into account the projected cash flows and profit.

    I personally think there is an enormous disconnect between the current share price and the strong position the company is in. Anybody wanting a tilt at us will recognise this as well, and have to stump up some serious numbers if they wish to succeed.

    All in all, a nice position to be in.
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