Best post today...1 Mar 2020 22:35
Bladderman - i'm sure you won't mind me reposting your 12.04pm entry, with a few edits/updates gleaned from the twitterati over the weekend.
"The market had ESL all wrong. Here is the investment case set out below.
- The Pallet Network (TPN) partnership activates on Monday (paid £44M). Incidentally TPN is a subsidiary of ESL and currently has a higher mcap - go figure!
- AXA out. Tinkler out. Poss Milt out too - RNS pending?...check james wood tweet from 10:20ish.
- Small accounts £2M accountability discrepancy.
- £800M revenue going on £1bn for 2020
- 51% bought with sticky hands at 71M valuing at £140M
- Firm long term contracts with Tesco, Amazon and several other large blue chips across the UK
- Great British brand that also haulages for infrastructure and construction projects (HS2 anyone??)
- Current MCap at 10.5p is just shy of £40m
- Tinkler offered £80m in two months ago and was turned down in favour of DBAY, who themselves have piled in with £70m liquidity
- Oversold, undervalued and misintepreted
- Wincanton, Bunzl etc likely to be sniffing strongly at this situation - the opportunity to take over a major competitor in the UK logistics and distribution sector does not come round very often.
Serious re-rate now in progress...
Main targets according to MANY respected chartists are as follows.
- The 34ema at circa. 38p
- Then 51p
- Then gap fill at 96p
Of course it will take some time to play out to the end, but strong chance it may get there later this year.
Watch for MM games tomorrow - they have been playing with AXA, Tinkler and Miton's shares upto now - that supply is either fully exhausted or on fumes.
The real fun begins this week!
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