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Added to YB: 2020-12-14

Pitch date: 2020-12-14

TNK.AX [bullish]

Think Childcare Group

+126.64%

current return

Author Info

Special Situation Investments focuses on event-driven trades and low risk arbitrage opportunities with short term catalysts. Sign up for the newsletter.

Company Info

Think Childcare Group provides childcare services under the Nido brand in Australia. The company offers full or part-time care services for babies, toddlers, and young children.

Market Cap

AUD 196.4M

Pitch Price

AUD 1.30

Price Target

N/A

Dividend

N/A

EV/EBITDA

N/A

P/E

24.96

EV/Sales

N/A

Sector

Diversified Consumer Services

Category

N/A

Show full summary:
Think Childcare (TNK.AX) - Merger Arbitrage and Bidding War - 100% Upside

TNK.AX: A$1.51. Two takeover bids: Alceon (A$1.35) & Busy Bees (A$1.75). 16% upside to Busy Bees offer. Strategic fit for Busy Bees' expansion. TNK outperforms peers: CY2020 EBITDA A$22-23M vs A$14M in 2019. Trades at 6.6x CY2020 EBITDA. Potential for higher bid. Downside protected by interest from credible buyers. Pipeline of 51 new centers over 3 years.

Read full article (1 min)