Transpacific Industries

About the author:

Author name:

By Nathan Lead

Job title:

Senior Analyst

Date posted:

11 November 2013, 11:57 AM

Sectors Covered:

Infrastructure, Utilities, Banks

Transpacific Industries (TPI) is a leading recycling, industrial services and waste management provider.

In our view, the sale of the NZ business offers upside to what the current share price factors in. TPI will lose diversification benefits, but will have a de-leveraged balance sheet capable of funding growth opportunities in Australia.

We increase our 12-month target price to A$1.30ps and upgrade our rating to Outperform.

If you are interested in Transpacific Industries (TPI), please contact your nearest Morgans office.

Disclaimer(s): The information contained in this report is provided to you by Morgans Financial Limited as general advice only, and is made without consideration of an individual's relevant personal circumstances. Morgans Financial Limited ABN 49 010 669 726, its related bodies corporate, directors and officers, employees, authorised representatives and agents (“Morgans”) do not accept any liability for any loss or damage arising from or in connection with any action taken or not taken on the basis of information contained in this report, or for any errors or omissions contained within. It is recommended that any persons who wish to act upon this report consult with their Morgans investment adviser before doing so.