TSX:DIR.UN - Post by User
Comment by
SargeXon Oct 14, 2021 12:03pm
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Post# 34005423
RE:RE:Another new issue....this one at $16.50
RE:RE:Another new issue....this one at $16.50Hey CSC
How she go these days?
DIR is definitely an interesitng REIT. On the one hand, I'm not sure what to make of all this dilution. From my research, this is the 5th money raising event of 2021 - Jan 20 - $259M bought deal, Apr 15 - $201M bought deal, May 20 - $287M subscription receipts, Jun 10 - $800M debenture offering, Oct 13 - $250M bought deal.
This sort of seems troublesome but on the other hand, they always seem to put the dough to good use. Also, the share price seems to bounce back really quickly. It's even more interesitng on this as the stock price was $16.50 on Tues so it's like this offering didn't even cause a drop.
I guess the bottom line is that DIR has done incredibly well so they have earned my trust and they sure look like they know what they're doing. :-)
Take her easy
Sarge
CanSiamCyp wrote: Right on, Felix!
The other thing to note is that - despite the DIR.un unit price rising by 2.4% today (which is amazing in and of itself) - the offering price of $16.50 represents a discount of only 3.2% relative to the day's close of $17.04. I have never seen such a low discount on a secondary offering of REIT units - usually in the 4-5% range. This demonstrates the intrinsic value recognized within this REIT. Cheers!