The RNS today made it clear the Quindell business in 2016 will look differently to the business as it is today.
We know that parts of the business are going to be sold. What we don’t know is the sale price and what is going to be sold.
It is worth at this time to remind ourselves of what others will be seeking from their investment. The following chart indicates the average share price paid by major stakeholders.
The above chart clearly indicates that should parts of the business be sold the break even point and the price required for a reasonable investment return,
This chart is a good barometer as to the minimum share price some would see as acceptable before they parted with their shares.
Those that have invested in the business in the last couple of months, in my opinion are going to quickly realise a good return on their investment.
The share price has a long way to go before it reflects the companies true value.