oando

[Babs_O]

Originally Posted by dr.abrahamb

You 'believe'? Based on what? The promises of these guys? Emotion? Did you participate in the last public offer? Go back and pick up that prospectus and see how believable it was then.

As for when, I do know there are companies whose good cashflow took 2 years for Mr. Market to notice. The cashflow for these guys now can only be described in one word - DISMAL.

Is OANDO cashflow dismal
The bull train headed Oando into N13 today.
What do you see as the intrinsic value of OANDO pre and post rights offer ?

[dr.abrahamb]

Originally Posted by Babs_O

Is OANDO cashflow dismal
The bull train headed Oando into N13 today.
What do you see as the intrinsic value of OANDO pre and post rights offer ?

'Ololo' effects

[Babs_O]

Originally Posted by dr.abrahamb

'Ololo' effects

What do you see as the intrinsic value of OANDO pre and post rights offer ?

[goldsun2]

Originally Posted by Babs_O

What do you see as the intrinsic value of OANDO pre and post rights offer ?

take time and read the OANDO thread

[Babs_O]

Originally Posted by goldsun2

take time and read the OANDO thread

The thread is full of (hurt) feelings. There is no computation on what the intrinsic value is. Recently STERLING Bank is rated a buy based on computed intrinsic value. Years back the hurt feelings rated STERLING a sell even at lower prices than it is now. I feel OANDO has reached a low. All the greedy people that have taken a seat and ready to take more positions must be looking at a current and future worth on OANDO. What is that worth pre and post Rights issue.

[duduspace]

Originally Posted by Babs_O

The thread is full of (hurt) feelings. There is no computation on what the intrinsic value is. Recently STERLING Bank is rated a buy based on computed intrinsic value. Years back the hurt feelings rated STERLING a sell even at lower prices than it is now. I feel OANDO has reached a low. All the greedy people that have taken a seat and ready to take more positions must be looking at a current and future worth on OANDO. What is that worth pre and post Rights issue.

Oga Babs, I totally agree with you. Sentiments don enter this Oando matter, its a pity cos some of the well versed Ogas here could have done some really comprehensive analysis to help in pricing this stock appropriately.
If I have money, I would take up my rights offer on a whim and a prayer.

[emmanuel ewumi]

Originally Posted by duduspace

oga babs, i totally agree with you. Sentiments don enter this oando matter, its a pity cos some of the well versed ogas here could have done some really comprehensive analysis to help in pricing this stock appropriately.
If i have money, i would take up my rights offer on a whim and a prayer.

amen

[emmanuel ewumi]

What is responsible for the price movement of this stock? I thought the stock should be on technical suspension, until the conclusion of the right offer.

[horlads]

Originally Posted by emmanuel ewumi

What is responsible for the price movement of this stock? I thought the stock should be on technical suspension, until the conclusion of the right offer.

That na old school format. Price of stocks issuing new shares are no longer fixed on the NSE in line with world best practices..

[emmanuel ewumi]

Originally Posted by horlads

That na old school format. Price of stocks issuing new shares are no longer fixed on the NSE in line with world best practices..

If that is the case, i wont take my right. I will buy more on the floor for N12 or less.

[horlads]

Originally Posted by emmanuel ewumi

If that is the case, i wont take my right. I will buy more on the floor for N12 or less.

You sure won't be able to get it on the floor for N12 till the rights is over. There will be interests to keep the price up there so that the rights can be attractive....

[knightofdelta]

Originally Posted by duduspace

Oga Babs, I totally agree with you. Sentiments don enter this Oando matter, its a pity cos some of the well versed Ogas here could have done some really comprehensive analysis to help in pricing this stock appropriately.
If I have money, I would take up my rights offer on a whim and a prayer.

Analyzing Oando is a full time job and I sure don't have that kind of time. If 10% of the companies on the NSE do the kind of things Oando do, we will have a horrible market to deal with. Oando doesn't put all their information together in one place. You will see one information somewhere and then another one will pop up from another place just when have just finished digesting the latest shenanigan. And the problem with Oando is that they are always doing transactions and all of them are complex. The more complex the transactions the bigger the room you leave for fleecing investors, like Enron.

Nestle do things in a simple way, just like Guinness, NB and even Dangote cement. It is only Oando, that is not even in the 30 most capitalized stocks on the NSE that will be running around the world opening companies in Bermuda and reversing some mergers in Canada while at the same time listing in South Africa and issuing a convertible bond domiciled in Netherlands.

Sometimes you wonder if the managers of Oando even have time to run the company.

By the way I will be meeting with the MD Oando before the end of the week. And for the record, I will no longer discuss anything in-depth about Oando for the next few months neither will I touch the stock with a long pole.

I'd rather buy a business I understand. As for the hurtful feelings, I am not hurt by Oando because I made money from it but I am just tired of their complexities.

[overload]

Originally Posted by knightofdelta

Analyzing Oando is a full time job and I sure don't have that kind of time. If 10% of the companies on the NSE do the kind of things Oando do, we will have a horrible market to deal with. Oando doesn't put all their information together in one place. You will see one information somewhere and then another one will pop up from another place just when have just finished digesting the latest shenanigan. And the problem with Oando is that they are always doing transactions and all of them are complex. The more complex the transactions the bigger the room you leave for fleecing investors, like Enron.

Nestle do things in a simple way, just like Guinness, NB and even Dangote cement. It is only Oando, that is not even in the 30 most capitalized stocks on the NSE that will be running around the world opening companies in Bermuda and reversing some mergers in Canada while at the same time listing in South Africa and issuing a convertible bond domiciled in Netherlands.

Sometimes you wonder if the managers of Oando even have time to run the company.

By the way I will be meeting with the MD Oando before the end of the week. And for the record, I will no longer discuss anything in-depth about Oando for the next few months neither will I touch the stock with a long pole.

I'd rather buy a business I understand. As for the hurtful feelings, I am not hurt by Oando because I made money from it but I am just tired of their complexities.

Big Boiz! Abeg help us Hail Oga Wale! BTW, why are you meeting these guys, dem want borrow from the funds you manage?

[emmanuel ewumi]

Originally Posted by horlads

You sure won't be able to get it on the floor for N12 till the rights is over. There will be interests to keep the price up there so that the rights can be attractive....

Getting it for N13 on the floor is not bad.

[waaan5]

Originally Posted by overload

Big Boiz! Abeg help us Hail Oga Wale! BTW, why are you meeting these guys, dem want borrow from the funds you manage?

I think it is business as usual. KOD must have requested the meeting (and it will not be with Wale?)

Btw, I agree with the point about complexity of the business (relative to peer mid sized coys on the NSE). A positive spin for this maybe that the company has a wider vision/aspiration.

[emmanuel ewumi]

Originally Posted by waaan5

I think it is business as usual. KOD must have requested the meeting (and it will not be with Wale?)

Btw, I agree with the point about complexity of the business (relative to peer mid sized coys on the NSE). A positive spin for this maybe that the company has a wider vision/aspiration.

What is the vision of Nestle when they came to Nigeria in the early 70s? I am sure Nestle had and still has a wide vision and aspiration.

[dr.abrahamb]

Originally Posted by Babs_O

The thread is full of (hurt) feelings. There is no computation on what the intrinsic value is. Recently STERLING Bank is rated a buy based on computed intrinsic value. Years back the hurt feelings rated STERLING a sell even at lower prices than it is now. I feel OANDO has reached a low. All the greedy people that have taken a seat and ready to take more positions must be looking at a current and future worth on OANDO. What is that worth pre and post Rights issue.

Originally Posted by duduspace

Oga Babs, I totally agree with you. Sentiments don enter this Oando matter, its a pity cos some of the well versed Ogas here could have done some really comprehensive analysis to help in pricing this stock appropriately.
If I have money, I would take up my rights offer on a whim and a prayer.

To the first bolded: Oando currently has 2.274b O/S. With a 2 for 1 Rights you know what they will end up with abi? Now pick their Q2 earnings and multiply by 2, then divide what you get by the new O/S post offer.

To the last bolded: Calculate the BV for Oando. Be sure to remove intangible assets and other tax and 'non receivables' from the net assets O.

Caveat: This is a simple semi-analysis O; no be comprehensive one from a big Oga on the forum

[emmanuel ewumi]

Originally Posted by dr.abrahamb

To the first bolded: Oando currently has 2.274b O/S. With a 2 for 1 Rights you know what they will end up with abi? Now pick their Q2 earnings and multiply by 2, then divide what you get by the new O/S post offer.

To the last bolded: Calculate the BV for Oando. Be sure to remove intangible assets and other tax and 'non receivables' from the net assets O.

Caveat: This is a simple semi-analysis O; no be comprehensive one from a big Oga on the forum

You can get the figures from the right offer document. The outstanding shares will be 6.8 billion

[dr.abrahamb]

Originally Posted by emmanuel ewumi

You can get the figures from the right offer document.

Thank you Oga Emma, I forgot to mention that.

[emmanuel ewumi]

Originally Posted by dr.abrahamb

Thank you Oga Emma, I forgot to mention that.

Post right offer book value should be N21, down from the pre right offer book value of about N40.