This is a mystery to me as well—asset managers are happy to preach about efficient capital allocation, yet they leave a low-risk option for building shareholder value unused.
Even though one would hope the generation of empire-builders and their hostile takeovers were a relic of the 80s boom years, it can—much like 80s music—make a comeback as a new generation measures their egos using shareholders’ money.
An overcapitalized balance sheet and a board that has grown weary of its targets are vulnerable to those making “ambitious” strategic moves. Sauli has asked several times why Taaleri isn’t attracting interest, but fresh evidence is lacking. The fear of 80s-style maneuvers is keeping investors off the dance floor.