Q: Can you comment on the prospects for SCR in light of its recent bid for Meg?
5i Research Answer:
We have comments posted on the merger today. We doubt SCR gets MEG at the current proposed price. We think the combination makes a lot of sense, though, and even at a higher price would be good for SCR. SCR is well-run, and has been aggressive with deals. The company is growing, and is very cheap at 7X earnings. We would be comfortable owning/buying SCR with or without MEG.