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

Td report this morning, $1.60 target

[chiefie]

TD Investment Conclusion We view the acquisition of Canexus by Superior Plus as a positive for Canexus shareholders, who are able to obtain a significant premium to the shares' recent trading range and to our view of fair value of the company. We believe that shareholders would be well-served to vote in favour of the transaction.

[rustyblades]

The TD report also states "While we believe that the agreement with Superior Plus will gain both shareholder and regulatory approval, if the transaction does not close we believe that there are other interested parties (both strategic and financial) that would be interested in acquiring the company." The section on comparable companies shows that SPB has the lowest EBITDA margin in a

[rustyblades]

I made a mistake in typing. The EBITDA margin of the company next lowest to SPB's 8.0% is at 12.1% not 18.8% (which is the average) Also a small pont but the TD target price was calculated at $1.58 but rounded up to $1.60.

[timebuster]

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