Robert , there is an extensive TBR thread and Mike Burry has written a write-up on it as well. I purchased it at 88, 100 , 102- sold some at 118 and repurchased at 124. I believe that the breakup will be more like the ATT breakup than the Hanson Breakup. Yes, some people will sell the small ones and hold or buy into the larger ones. But ultimately Brazil is a country with a large population, and natural resources, the government seems to be getting its act together and there is a shortage of telephones. The privatization will be a significant catalyst for the price of the shares and I believe people will be surprised by the premium that some of the properties will go for. As I am not smart enough to know which ones will go at the premium and what the when issued prices will be I am holding to my present position since I believe that the price now is a bargain, I plan to be just like Mike, be a long term holder now, and wait three years and see what happens/ Of course if TBR or the combined units go to $180 I will probably take some profits <g>.
On the tobacco side, I personally have a moral issue with investing in thses stocks, otherwise I like Loews, where I think once you factor in CNA and the drilling business you get the tobacco company for free or close to it! |
