Few interesting points to note
1. SENS STAR this morning demonstrates value of underlying assets
2. increased governance measures
3. Steinhoff valuation less than the assets that are owned by it
4. analysts have a hold view- have not seen many calling for sell- definitely cant rate as buy due to their risk management policies
5. high volume trades consistently
6. large employee base
7. banks with vested interest that would rather see Steinhoff remain as a going concern to recoup debts rather than write off losses
8. Pension funds involvement
9. lots of public outcry and accusations on issues but the facts have yet to be disclosed. also tax avoidance is not a criminal act but tax evasion is
The above points may give one assurance on betting the house on this share.
on the 19th the probability of the banks agreeing to a rescue plan seems plausible- this may the one reason this share has not tanked to R1. I expect this share to be range bound between R9-R11 until the 18th with surge on the close of business 18th. It may be that Banks respond already by the 18th so I would hazard that it is best to get in today???
ride the share for two weeks
what are your thoughts........