I know that you are already holding CR but this is for the other readers.
My contribution would be SMR - it's a telecoms play which normally I wouldn't be to hot about. Let's just say it's not my prefered sector.
What makes Smart Telecom so attractive is that Irelands telecom sector has been dominated by Eircom ( almost to a monopoly stage ) so service is slack ( trust me I KNOW 8-(..........), prices are high, the market is inefficient etc etc.
Recently though the Gov't has lifted the monopolistic barriers and so have allowed a new crew of Telecomers to enter the market. The main two being ESAT BT and Smart Telecom.
So why Smart ?? Well according to Teather and Greenwood Smart has a strong, possibly killer, competitive advantage in the Irish Broadband market. Smart can offer more bandwidth, beyond the capabilities of Eircom's network and at a better price. ESAT BT is concentrating on the corporate market whilst Smart is honing in on the consumer market and the SME sector.
Further more T&G state ' Smart has technological and innate structural cost advantages with which Eircom cannot compete directly.'
The regulator ComReg is described as a regultor with 'teeth, government support and determination.' ComReg has already implemented directives from which Smart has extracted extraordinary growth and these directives are set to continue.
Smart does not have a legacy telecommunications network and so does not have the typical capital expenditure requirements of most telcos.
Currently Smart is unbundling local loops belonging to Eircom for greater reach. Smart also has recently bought a 10% stake in Broadband Communications LTD a privetly owned fibre ring in Dublin with the option of buying the remaining 90% in either cash or paper for between Euro 7.9 million and Euro 10.5 million depending on when the option is exercised.
Smart also has signed a broadband deal with Huawei Technologies.
Look DYOR and you'd be surprised at what you'll find. T&G have a short term target of 44p but I'm expecting more than that, possibly between 50 and 60p short term.
One more important point - Smart operates on a roll out system thereby enabling further cost savings etc etc
