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Westaim Corp V.WED

Alternate Symbol(s):  WEDXF

The Westaim Corporation is a Canadian investment company specializing in providing long-term capital to businesses operating primarily within the global financial services industry. The Company invests, directly and indirectly, through acquisitions, joint ventures and other arrangements, with the objective of providing its shareholders with capital appreciation and real wealth preservation. Its strategy is to pursue investment opportunities with a focus towards the financial services industry and grow shareholder value over the long term. Its investments include significant interests in Arena and the Arena FINCOs. The Arena FINCOs are private companies which include specialty finance companies that primarily purchase fundamental-based, asset-oriented credit and other investments for their own account. Arena consists of two main business lines: Arena Investors and Arena Institutional Services (AIS). Arena Investors operates as an investment manager.


TSXV:WED - Post by User

Bullboard Posts
Comment by blindpigon Dec 28, 2007 8:37pm
395 Views
Post# 14131295

RE: Where are we going from here?2

RE: Where are we going from here?2Speculation is a mug's game.  

If Ifire cannot be sold period it is likely that management could do a buyout of Ifire and investors would be left with peanuts because this would be done after WED paid the remaining severance to reduce costs at Ifire to a trickle.  However, the only way they could really do this is if they proved there was no other interest in the technology from other parties.  Value Ifire as zero in your valuation of WED and then anything above this will be a bonus.

There are many different outcomes and I am sure things will be all clear by the end of the Q1.  Shareholders will get to vote at the AGM on some "shareholder enhancing scheme" although this should not be hard since the shares are worth only $0.27. Management can walk away saving face that they did the best they could even though WED will likely be wound up with a balance sheet deficit of close to $400 million. 
Bullboard Posts