TSX:SRV.UN - Post by User
Comment by
flamingogoldon Sep 11, 2023 5:41pm
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Post# 35630289
RE:RE:RE:RE:RE:holding strong
RE:RE:RE:RE:RE:holding strongPrem is quite the shark. A decade ago he perfectly timed selling his stake in CHR just before they cut the dividend by half. I know because I owned shares during that fall. Eventually did ok by buying the dip and holding long for the dividend to come back, like SRV. I think Prem may be waiting for KEG.UN to drop more, thereby lowering his premium to take it private.
Feb 2013 May 2013 Robsopinion wrote: The Keg is its own unique beast. The keg royalty stream is whats available to investors (just like here with SRV) but Keg restaurants is owned by Recipe, which in turn is owned by Fairfax. Fairfax has extremely deep pockets, and by taking the royalty stream private they would not only save themselves the 8% they are paying out, but also simplify many accounting processes and reporting obligations. This would be a secondary cost savings for them.
I currently hold more Keg units than SRV units, the fact that it is a restaurant company distributing royalties is secondary to me, I honestly see it as a future takeover target, that pays me 8% while they figure out what the premium needs to be.
Nedstar: feeding the trolls only keeps them coming back for more.