BBI 0.00% $3.98 babcock & brown infrastructure group

sum of parts valuation

  1. 14,882 Posts.
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    Fundamentals mean zilch right now but here are the sum of parts valuation as per ABN Amro in August.

    Powerco 288M 12c
    IEG 264M 11c
    Cross Sound Cable 33M 1c
    NGPL 634M 27c
    Aust ET & D 352M 15c
    BBCT 507M 21c
    PD Ports 836M 35c
    Euro Ports 379M 16c
    Westnet 205M 9c

    So currently the "market" is pricing all of BBI at 18c.

    If you want to discount the values above by another 20%, you still have BBI being valued by the market at the same value of ONE of their assets.... BBCT.

    In effect, buying BBI at 18c means you are buying all the other assets for free. Amazing what a panic driven sell off will do.

    Fundamentals mean nothing right now, but one day they will.
    In the meantime, we either buy more or hold what we've got and ride through the pain barrier.
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