Timing of Pipestone Sale Closing
The closing date for TWM's sale to Altagas (ALA) of the Pipestone facility will be interesting. ALA's next quarterly dividend payment date is December 15. If the deal has closed by then TWM will very quickly collect a divident payment of almost $3.5 million (around 12.46 million shares at 0.28c) payable at end December. In addition the share price today is around $27.50 or approx $1.40 above the $26.07 pricing of the ALA shares in the deal, amounting to an additional $17.5 million value if the shares are sold at today's price.
TWM has not been very forthcoming on its plans for the ALA shares, but I assume they will not hold them for long. In any event, if the ALA share price holds up at today's level through December and the deal closes before mid-December TWM should collect close to $20 million over the announced deal value.