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Alaris Equity Partners Income 5 50 convertible unsecured subordinated Debentures T.AD.DB.A


Primary Symbol: T.AD.DB Alternate Symbol(s):  T.AD.UN | ADLRF

Alaris Equity Partners Income Trust (the Trust) is a Canada-based private equity company. The Trust, through its subsidiaries, provides alternative financing to private companies. The Trust’s operations consist primarily of investments in private operating entities. The principal objective of the Trust is to generate stable and predictable cash flows for payment of distributions to unitholders of the Trust. The Trust offers a range of services, which include services, healthcare services, industrial services, professional services, information technology services, and construction-related services. The Company’s investments are made through a wholly owned Canadian corporation, Alaris Equity Partners Inc., and its American investments are made through, Alaris Equity Partners USA Inc. (Alaris USA) and Salaris USA Royalty Inc. (Salaris USA). The Trust also has a wholly owned subsidiary in the Netherlands, Alaris Cooperatief U.A. (Alaris Cooperatief).


TSX:AD.DB - Post by User

Post by mickeymouseon May 06, 2021 7:04pm
414 Views
Post# 33149021

cash flow and payout ratio and USD

cash flow and payout ratio and USDProjected cash flow for 2021 is 1.78 per share - if the dividend is maintained at .31 per quarter or 1.24 annualized that equates to a current payout ratio of 69.6%.

If PFGP resumes full distributions it results in an annual bump in cash flow of .11 - so if full dsitributions from PFGP resume in July as they seem to expect then would add another .05-.06 in cash flow for the remainder of the year or about 1.835 per share - 1.24/1.835 = 67.5%.

Impact from US dollar depreciation was a bit of a suprise as in the past IR has told me that their hedging "goalposts" were 1.25 to 1.35 - right now the CAD to USD is 1.2156 so expected to have the USD dollar hedged at a minimum of 1.25 which would have mitigated some of the impact of the depreciation.

Distribution looks quite safe and would not be suprised to see a small bump when Q3 results are announced particularly if PFGP restores full distributions and they have more capital deployed over the next few months - even if there is no bump a 7.3% yield is pretty decent.


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