Got a number of Shares there and was planning to to add some more. The price looks quite attractive but given recent developments I have decided to tread with caution.
Some factors to consider for anyone getting in:
1. AK's lovely cashflows are no more. Paying for access to the cables,laying their own and the aggressive acquisitions seem to have taken the the wind out of their sails. They were borrowing upwards of 400M from NIC for these. The fact that they have not yet paid div for 2008 is telling.
2. The ownership of the company is still concentrated on the Somens. My guess is that the intention of the major shareholders has been to build value momentum for the share by the acquisitions (and now the fibre) with the aim of offloading some of their holdings to some 'strategic' secondary investors.
3. Factor 2 seems to be affected by factor 1 and the fact that the company is facing stiff competition from the bigger players.
Needless to say i am watching closely in the short term to see how AK will react. The coming of the cable might turn out to be the shining pin that burst the AK bubble too soon.
If I hear any rumours of a director selling before these challenges are resolved ... then I will be Bolting before you can say USAIN.
Life is short. Live passionately.