yeh wrote: Might be a good idea to buy some Biosensors ($1.045) before it announces an acquisition, assuming it is a great buy and earnings-accretive.
An acquisition is long awaited. The company didn't raise US$300 million thru a bond sale in Jan for nothing. And it is paying 4.875% interest.
Does Biosensors have a history of making great acquisitions in the past?
Eg. do you think the USD51m paid for the Spectrum Dynamics acquisition is accretive? I personally can't seem to find out much details on that(no sales figures, no NAV, etc.)
Does Biosensors have a history of making poor acquisitions in the past? I hope someone can shed light on this.
Going forward, Biosensors is on the prowl for acquisitions in order to grow its top & bottom lines.
I am encouraged to learn about new revenue streams. (As an aside, companies that do good for people, especially in medicine, attract investors who are looking for more than just capital gain.)
Biosensors has developed the new BioFreedom stent for patients who face a high risk of bleeding.
Biosensors performance and growth had been pull-back by:
1) Channel inventory adjustment in China
2) Lower royalty and licensing revenues
The down-side of Biosensors share price is limited by share buy-back. Biosensors will only return back to it's growth path once the company overcome the above problems.
