TPG Capital and Hellman & Friedman may have walked away from Fairfax Media, but Morgan Stanley remains bullish on the publisher’s prospects.
Analyst Andrew McLeod has kept his $1.50 share price target for Fairfax, which is well above the bid of both US-based private equity firms. Less bullish are Citi’s David Kaynes, with a price target of $1.06, and UBS analyst Eric Choi, with a target of $1.
Fairfax shares dropped 10.9 per cent on Monday to 98¢. TPG had a proposal of $1.20 per share for Fairfax, valuing the company at $2.7 billion, while H&F had a non-binding offer of $1.225 to $1.25 per share, valuing Fairfax at $2.87 billion.
No formal bids were given to Fairfax by last Friday’s deadline and TPG, along with its consortiu…
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