MaichBlack wrote:qw25041985 wrote:At ksh 80.00 the ride on cfc is over.
I don't think so! Closed at 85/= today - 2nd highest gainer! Or the ride is "over" at 85/=? Talk on Friday 16th? I'm seeing the share at 90+ then. think I'm being too ambitious?
This share is going to be a cash-cow. Research has shown that a spin-off outperforms the market in the (2-3 year) period immediately after the spin off.
The spin-off often does better than the parent company, see below:
http://www.investopedia....arents-and-spinoffs.asp
IMO to maximise returns, the options are:
1. Sell the company just before the de-merger then buy into the insurance business after de-merger.
2. Await the de-merger, sell the parent (bank), keep the insurance.
Life is short. Live passionately.