OTCPK:ICPVF - Post by User
Post by
zalmonellaon Feb 12, 2021 3:06pm
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Post# 32555005
Not a good deal for many
Not a good deal for manyI only averaged down a small amount in March because I was already pretty well weighted with IPL, and there were other good deals then. I't san RSP, after all - no reason to go heavyweight in any one stock. So six years of divvies against my average PP of $21 means an offer of $16.50 gives me a total return of -7% for my investment since 2015. I won't be voting for this one.
It looks like the historical 3- and 5-year shareholdings by institution and mutual funds is about 40% of outstanding. Their averages may only be a little lower than mine - say $19-20. They won't want to give up their total return either. Of course, they trade in and out and play options to lower their ACB so there's no telling what price would boy their loyalty, but I'm hopeful there's enough leverage there to cause Brookfield abandon the attempt.
RBC, of course, knows this, so I'm sure they've set the price pretty carefully. I'm not optimistic that there will be much of an increase - and of course any increase is simply plays into Broofkfield's hands when they walk away from their with a nice profit. Capitalism as it is, not as it should be.
Incidentally, I own no BIPC, though I like the company - I feel it's overvalued, not under, and I think people are trading heavily on the cash it produces and the deals it makes. Like their (now former) property REIT it can fall as quickly as it rises if conditions change.