I owned MTP a long time ago, as a dividend payer, steady, boring utility. Was aware of the Touch America kicker in the background. Sold out at a nice profit (in retrospect, way too soon) when dividend yield wasn't supportive enough.
Also in retrospect, these guys made two of the worst business decisions concurrently: they put up for sale their most valuable utility and coal operations before the big run on energy to concentrate on the telecommunications business (Touch America), the latter at or near its peak, before a steep drop. Hence, the low, low price for MTP, soon to become TA.
What does everyone see in this now? Is it strictly a case of being able to buy this asset at severely distressed prices? is it on a P/B, P/S, PEG basis, or some other valuation measure?
Details appreciated! |
