Post by
nozzpack on May 24, 2022 7:35pm
Non Capital Loss Tax Pools
An ignored but significant asset that makes a business an attractive buy is non capital tax loss pools.
Those can be used to offset taxes on operating profits .
KUB has non capital loss tax pools of $29.4 million US or about $38 million in CAD.
Only infrequently I have seen explicit value for such tax pools in any takeover .
Rather, these tax loss pools add implicit value to the takeover price.
In the case of any company buying Kub's Ukraine assets.....NAFTA in particular..those tax loss pools will protect many years of operating profits.
KUB had suffered through 5-6 years of scanty working capital which has limited its development of the RK gas field.
If it stays, it has the cash to fully develop the latent value of RK.
Vermilllion ...surprisingly to me..has extensive interests in oil and gas in Europe particularly central and Eastern Europe.
Natural gas has a very right future in Europe .
Comment by
JustforFun7 on May 24, 2022 9:47pm
Ha better bend over Nozzie. Sounds like someone (Tim?) is about to have their way with you. JFF7
Comment by
nozzpack on May 25, 2022 5:52am
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