CANEXUS CORP 6.5 PCT DEBS T.CUS.DB.D

questions on report

[philip3]

Not sure about this: "Find a strategic partner or outright sell the assets to unlock value at Bruderheim." a. What does a strategic partner bring to the table? The thing is nearly built... expansion? b. How does the sale of the asset unlock the value? What does either option do for the CUS share price?

[Nawaralsaadi]

An experienced strategic partner would contribute the following: - Help insure a proper ramp up at NATO and full utilization of other existing services (fracking fluid blending, condensate handling) - Help CUS monetize a portion of its investment in NATO and pay back debt. - Help finance the second phase of expansion at NATO (more unit trains, salt caverns.. etc)    Such a partnership

[philip3]

No so sure... I have watched companies raise billions and there share price hasn't moved an iota. Witness PWT and their sale of ~2 billion dollars of land to pay off debt. While a good strategic decision, it did nothing for the share price at all. Unless I am missing something, selling NATO and keeping the core chem business would be cooking a golden goose; no matter how much money it raises.

[ocean112]

I have been reading Nawars reports and doing my own research.  I think he's on to something. I agree - a sale of NATO without redeplying the proceeds to other growth opportunities would not be a good thing for shareholders even if it was a temporary financial windfall.  If NATO can be sold at a market premium (given the new delays with the keystone xl pipeline) - it would provide