GREY:CNKEF - Post by User
Comment by
backabockon Oct 06, 2016 10:51am
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Post# 25316885
RE:RE:RE:RE:Why CKE is a No-Brainer for triple-digit returns (Article)
RE:RE:RE:RE:Why CKE is a No-Brainer for triple-digit returns (Article)BobTheKnob2 wrote: 5)
A) Chinook Energy should currently stand at C$1.40/share (Toronto), based on its production, reserves and NPV-10.
B) Chinook Energy should currently stand at C$1.87/share (Toronto), based on a valuation per acre method.
The article is distilled down to the above points. The rest of the article delves into how we arrives at those values. The author sums up EV as follows:
3) Total Enterprise Value for Chinook Energy's both parts: Let's sum it up:
Total EV: C$164 million + C$36 million + C$78 million = C$278 million.
Total Market Cap: C$278 million + C$24 million (in cash now) = C$302 million.
Chinook Energy's pps: C$302 million : 216.4 million shares = C$1.40/share (Toronto).
$164 + $36 = Non-Tournament assets
$78 + $24 = Tournament assets + cash
The beauty is that the Tournament assets will be disbursed hopefully by year end, and some time in 2017, it is expected it will become a public corp. The decoupling should unlock value and you will not be stuck with a private corp (hopefully).