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CI First Asset U.S. Tactical Sector Allocation Index ETF T.FUT



TSX:FUT - Post by User

Comment by BayWallon May 25, 2012 8:45pm
136 Views
Post# 19948609

RE: i wonder......................................

RE: i wonder......................................

Here's that sales of the processing division (mentioned in the Jan 4, 2011 news release). Non-arm's length transaction. That means not sold to insiders, directors, etc. So how are they going to buy back. Need lots of money. They received $855,000 cash for the division.

 

Maybe part of that $550,000 financing in March 14, 2012 will go towards repurchase. Plus money from operations. Now we know why it's so slow at the moment with no sign-ons. All cash is being directed to the re-purchase?

 

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From the Jan 4, 2011 news release:

 

The Company sold the Processing Division for $8,000,000, less transaction costs of

approximately $245,000 in an arm’s length transaction. The purchase price is

comprised of $855,000 in cash to be paid in two installments of $679,500 on December

31, 2010 and $175,500 on March 31, 2011, and the remainder via promissory notes due

December 31, 2018.

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