Incitec Pivot Ltd T.IPL

RE:RE:RE:RE:nice march higher

[mrbb]

by the time u get the BPIC shares, ipl might be over $20. Plus there is a cap how how many bipc shares allocated for conversion from ipl shares.  Good luck

 

marketsense wrote: Very interesting arbitrage.   Convert  IPL to BIPC and sell BIPC at current price,  $94.43

netting $1.50 for each IPL share converted.

Then,  you have the option to buy back your IPL shares at $17.95(current price)  or even
$18.   That gives you a profit of $1.50 on the trade.  If you choose to buy back your IPL 
shares you could also use your profit to add to the purchase thereby increasing your net 
IPL position.

Now given all that,  could you prepeat the process all over again before the offer term expires.
The question of timing is critical in doing the conversion,  then selling,  then rebuying.   The 
other variable of course is the arbitrage numbers have to still make sense as both stocks,  IPL 
and BIPC are volatile.

Has anyone done this yet?  If so would like to hear from you.