Given the ongoing Credit crunch, I wonder if anybody has got their eye on Filtronic's mountain of cash ?At end of August this was £110.3mhttp://www.filtronic.co.uk/news_latest.php?storyID=284Since then we've had 2 disposals£2.5m for US Defence business - http://www.filtronic.co.uk/news_latest.php?storyID=287£5.8m for Waterfront, Saltaire property - http://www.filtronic.co.uk/news_latest.php?storyID=291for a total of £118.6mForecast P/E is a reasonable 16.9 given rapid growth in Point-to-Point business, and Market Cap just £131.2m, with a forecast of profitability this year (http://www.filtronic.co.uk/investors_prelim_May_07.php).They were planning to return £53m to shareholders, which according to Yorkshire post was held up due to... product liability obligations to Powerwave which would expire in October and the need to reach agreement with the trustees of the company's pension fund on the size of a cash injection into the fund. Cazenove puts the pension deficit at £7m. If and when this is agreed, Filtronic will be a company with two small, niche businesses and a cash pile. It would not be drawn on whether it would use the cash to make acquisitions to give it critical mass as a public company or on whether it would then be a tempting takeover target. So ... will Christmas come early, or are we waiting for the January sales !?
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