Ben B

The key to #RE. (REA Holdings) is twofold. Is sand / stone a black hole or not? It’s becoming clear it’s not. It’s gone from self funding to free cash and now ramping. It’s a massive resource and its repeat cash flows. Annuity esc as roads always need repair and maintenance. Worth 5* - I think so. That would mean at $10k per hectare of palm the sum of parts is £1.9. Secondly is it worth $10k. Definitely as a min. If you look at yield per hectare or extraction rate of the fruit the answer is yes. It’s the same as MP Evans and AEP. That’s the tell. £1.9 is the base. It rerates from there as market looks to the end of replanting and more new that matures…ie an increase in the quantum of free cash flow (more hectares doing more with less capex) That’s the prize. Debt to Equity As ever DYOR but is a buys

#RE. Many if not all will not be interested but those on it have made 4* their money in MPE (capital and dividend) by looking under the hood. This to my fallible eye feels and looks awfully like MPE at 400p. It has more debt but also has a much stronger family holding. I think they are exactly where MPE were re replanting and new today and industry transactions occur that again validate the NAV NAV is 267p. The stock price is 83p. The discount is 70% Might be worth a look