Masthead Astonished by High Valuation
Masthead Equities Limited said today that it was astonished by the high valuation placed on Vertex by Grant Samuel & Associates.
Masthead’s Mark Stewart commented: “We are very surprised by this high valuation given the track record of this company
both in terms of its share price, which has never traded above its $2.05 listing price, and its earnings performance.
“On the face of it shareholders, and indeed Vertex’s independent directors, are being asked to believe in a lot of blue
sky in accepting this valuation. This is territory the company has never achieved before. Frankly we are struggling with
it.
“We urge shareholders to consider the fact that our offer of $1.90 a cash share is real and on the table now as opposed
to a theoretical future valuation that may never ever be realised.”
Mr Stewart hoped that Vertex’s Independent Directors would now do the sensible and responsible thing and advise
shareholders that if Masthead’s bid fails it is highly likely that the Vertex share price will plunge.
The Grant Samuel valuation is 50% to 70% above the Vertex price prior to speculation about corporate activity. “This is
truly incredible,” Mr Stewart said.