The path of Suncorp shares yesterday tells you something about the way the market perceives the bid: Suncorp shares jumped $1.26 to a day's high of $23.52 before falling sharply in the late afternoon to close 10c lower at $22.20. It was quite a spectacular day's trading, and all on just 7.46 million shares.And that's a further danger for Suncorp. Investors are signalling they are not convinced yet by SUN and its strategy, are worried about valuations and those 'synergies' which sometimes prove illusory. They would also be worried by the $1.6 billion or so in cash in the offer ($1.80 a share) that has to be funded.IAG shares rose 14 cents $5.74 yesterday.
Tags:
Synergies
Investors
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment