BGA - Bega Cheese

[Gringotts Bank]

Can't find anything on their website. Anyone know who'd handling the float? Or any other info? I'm after a prospectus. Thanks.

 

[Silhouetteau]

Re: Bega float

Hey mate,

Found this, looks like more will come out after Easter:

"Bega is being advised by boutique adviser Kidder Williams and is expected to appoint an investment bank after Easter to help with the initial public offering, the report said."

Source:

http://www.businessspectator.com.au...-report-pd20110421-G56G6?OpenDocument&src=hp5

 

[Gringotts Bank]

Re: Bega float

Thanks silhou, will keep my eyes on their website and newspapers after easter. Might be a good one to get in on.

 

[Liar's Poker]

Re: Bega float

Thanks silhou, will keep my eyes on their website and newspapers after easter. Might be a good one to get in on.

Hey GB,

Commsec have the IPO listed on their site.

-Liar-

 

[ROE]

Re: BGA - Bega Cheese IPO

Had a quick look
Too little information on fundamental
Balance sheet look weak
Too expensive

too many EBITDA word and when I see too many of those I usually run.

I stay away

 

[Tyler Durden]

Re: BGA - Bega Cheese IPO

Yes I spotted it on the comsec site too.
My concern is Coles and Woolies making their own cheese and competing with Bega, like they have already done with bread and milk.

 

[skc]

Re: BGA - Bega Cheese IPO

$2 a share with equity value ~$254m, debt ~$95m, EBITDA ~$46.6m, Net profit unspecified but probably ~$26m.

EV/EBITDA = 7.5x
P/E = 9.8x

It certainly isn't expensive but compared with WCB those valuations are quite generous.

Liquidity could be a problem with only 15% free float.

News here.
http://au.news.yahoo.com/thewest/business/a/-/national/9870690/bega-launches-350m-ipo/

 

[Tysonboss1]

Re: BGA - Bega Cheese IPO

Yes I spotted it on the comsec site too.
My concern is Coles and Woolies making their own cheese and competing with Bega, like they have already done with bread and milk.

I can't see coles or woolies getting into the dairy infrastructure business.

Offcourse they already have generic brand cheese on the market, which is just cheese that is packaged under licence by another producer.

 

[So_Cynical]

Re: BGA - Bega Cheese IPO

Yes I spotted it on the comsec site too.
My concern is Coles and Woolies making their own cheese and competing with Bega, like they have already done with bread and milk.

Coles and Woolies do not make there own milk and bread (besides there onsite bakery's)
Coles and Woolies get contractors to package bread and milk etc in their packaging to their specifications etc.

I know for a fact that Dairy Farmers in Sydney (now National foods) pack Milk for Woolies.

 

[Miner]

Re: BGA - Bega Cheese IPO

Since I saw BEGA IPO in Commsec :

I have been asking these questions myself putting myself in supermarket :

• I have Bega cheese, Kraft Cheese, Coon Cheese, Mainland cheese, Mainland Coles Cheese, heaps of unbranded cheese in coles and Woolies, so many varieties within the same brand .
• Health conscious people have started reduced amount of cheese.
• What is the shelf life and what market share could Bega will be attract.
• How much free float?
• is dairy a profitable business
  Is Bega a premium much sought after brand ?
  Did I enjoy Bega Taste ?
  Did my kids enjoy Bega Taste ?

with such a high competion?

Further how many IPOS Commsec has been able to launch with a price more than face value ?
After studying so many ifs, I will wait the share to list in the market and then I will make a decision and hold the fire from investing in IPO.
Please DYOR and I am more likely to be wrong

 

[RandR]

Re: BGA - Bega Cheese IPO

had a quick glance at the prospectus the other day ...

once i read the words "money raised by the float will be used to pay down debt and pay down the cost of the float" i decided not to look too much further.

I will keep an eye on it once its listed though, I do have a penchant for agri stocks

 

[So_Cynical]

8 months after the Float i reckon its time for an update.

BGA is now trading at a 17.5% discount to the $2 float price of just 8 months ago, paid a maiden FF dividend of 3 CPS recently and formally executed a 5 year supply agreement with Coles to produce Coles branded cheese, they have also completed a merger with Tatura Milk Industry's so now have a Victorian production facility...and they own 15% of ASX listed (WBC) Warrnambool Cheese & Butter.

So for anyone that thought (Like me) that the $2 float price was a bit rich...hows a 17.5% discount sound? i imagine a merger with WBC is on the cards somewhere down the road thus making BGA an Aust Dairy powerhouse...certainly the #3 player behind Parmalat and Nat foods...in a market where there are only 5 or 6 manufacturers of any significance.
~

 

[bowseruni]

Anyone have any information on the recent increase? good profits over the last month

 

[chops_a_must]

Asia pacific cheese and butter prices have been going gangbusters.

 

[bowseruni]

Asia pacific cheese and butter prices have been going gangbusters.

I did hear a rumour the Chinese were buying a heap of stock

 

[bowseruni]

Can someone interpret todays announcement for me?

 

[Country Lad]

Can someone interpret todays announcement for me?

I assume you mean the Form 604 Notice which seems fairly straight forward where Bega Cheese Limited have advised that they have increased their shareholding in Warrnambool Cheese and Butter Factory Company Holdings Ltd from 16.1% to 17.1%.

Cheers
Country Lad

 

[Country Lad]

I did hear a rumour the Chinese were buying a heap of stock

Better check your source to see what he means by "a heap of stock". Just having a "rough, can that be true", type look at the numbers, I doubt that rumour.

The average daily turnover is about 110,000 over the past year. The average daily turnover for the last 30 days is about 148,000. If the difference is Chinese buying then it will take them nearly 2 years to get 10%.

Doesn't look right does it? Didn't get it from HC did you?


Cheers
Country Lad

 

[Country Lad]

A tale of 2 cheeses. I sold out of BGA when it was obvious the price was going to fall and didn't consider WCB as its price was not looking flash at the time.

Only recently looked at both again and set buy points with the off chance that BGA would take over WCB as had been rumoured for years.

Well WCB certainly broke out today, up about 30% based on the long awaited takeover by BGA. Too late.

Cheers
Country Lad

 

[Miner]

8 months after the Float i reckon its time for an update.

BGA is now trading at a 17.5% discount to the $2 float price of just 8 months ago, paid a maiden FF dividend of 3 CPS recently and formally executed a 5 year supply agreement with Coles to produce Coles branded cheese, they have also completed a merger with Tatura Milk Industry's so now have a Victorian production facility...and they own 15% of ASX listed (WBC) Warrnambool Cheese & Butter.

So for anyone that thought (Like me) that the $2 float price was a bit rich...hows a 17.5% discount sound? i imagine a merger with WBC is on the cards somewhere down the road thus making BGA an Aust Dairy powerhouse...certainly the #3 player behind Parmalat and Nat foods...in a market where there are only 5 or 6 manufacturers of any significance.
~

Looks like history repeated with BEGA even for different reason. Massive slump once again Mr China drove the race to south.
When we have a back up risk management knowing Chinese marketers change colour every week.
Do not hold BEGA nor eat their products but feeling sorry for those who lost money.
No wonder for 3 years no one posted any thing on BEGA - all got disillusioned.
My fear is now for A2M - how that will fall apart with so much milk overflowing in WA and others.