Transurban (TCL) is offering to sell to current shareholders one new stapled security for every 18 they currently hold for $9.60. This price represents a discount of 8.65% on the current market price of $10.51.
The funds are to be used to acquire AirportlinkM7 (which connects Brisbane Airport to many parts of Brisbane. Although Stock Doctor rates the financial health of TCL as “Distress”, the returns achieved (including dividends) for the past 1, 3 and 5 years are impressive: 31.4%, 25.8% and 21.4% respectively.
As always, you should consider your cash flow, your portfolio balance and your individual risk profile before deciding whether to invest.
Should you have any queries, please do not hesitate to contact me.
General Advice: Please note that any advice given in this blog is of a general nature only and should not be relied on, as it does not take into account your personal circumstances. If in doubt, please contact your own financial adviser.