Sharechat Logo

Fencemaker's testing time

Shoeshine

Friday 14th November 2003

Text too small?
A lot of ingenuity was expended this week working out theories on who's behind the appearance of Tru-Test-bashing coverage in the media and why.

The issues are old ones. First, the company didn't live up to the 2001 information memorandum ebitda (earnings before interest, tax, depreciation and amortisation) forecast of $18.3 million for the August 2002 year.

That's disappointing for everyone but in the context of a rocketing exchange rate, low beef prices for Tru-Test's customers and the Australian drought, it's scarcely surprising.

The Neuronz purchase has also aggravated some shareholders but, like the company's financial performance, that was known before last year's annual meeting, at which, apparently, no questions were asked.

The theory getting most traction is that someone is trying to unsettle shareholders and turn up the gas on Tru-Test's board and management to smooth the path of a takeover.

The natural candidate for the bidder is Skellmax Industries, whose largest shareholder, Axa Asia Pacific, has 5.67%.

It's a small country. Axa is also one of Tru-Test's shareholders.

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

12th November 2019 Morning Report
MARKET CLOSE: NZ shares gain, retirement villages buoyed by Auckland housing market bounce
NZ dollar rises, shrugging off US-China trade war woes
Long-serving ACC investment chief calls it a day
Institutional investors continue to shun Fonterra
Card spending stalls; dearer petrol crowds out other goods
Abano directors cave to takeover by scheme of arrangement
Fletcher dismisses subcontractor claims as vague
11th November 2019 Morning Report
Odds favour a rate cut but it's a line ball call

IRG See IRG research reports