Napoleon had many good officers. So when he was appointing generals, he asked, “But is he lucky?”. He knew the importance of chance in his success and at his last battle, Waterloo, his luck ran out. But as one of the generals who defeated him said, “It was a near-run thing”.
The question buyers of CapLand on Tuesday should be asking is whether the mgt of CapitaLand are lucky? Two days after anncing a US$2.2bn China property deal, http://atans1.wordpress.com/2010/01/19/capland-getting-it-very-right-or-very-wrong/the Chinese authorities ordered a serious of credit tightening measures including ordering some commercial banks to stop lending for the rest of January. Global equity markets fell.
CapLand mgt could be lucky. Markets have a habit of shrugging off China fears. Remember the recent falls and recoveries?
But for the moment the seller’s mgt must be considered “lucky”.