Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Quote  |  Bullboard  |  News  |  Opinion  |  Profile  |  Peers  |  Filings  |  Financials  |  Options  |  Price History  |  Ratios  |  Ownership  |  Insiders  |  Valuation

DOMINION CITRUS INCOME FUND T.DOM.UN

"Dominion Citrus Income Fund provides an integrated suite of services for fresh produce. It offers finance, reporting and insurance, procurement, international logistics, ripening, sorting and grading, packaging and re-packing services."


TSX:DOM.UN - Post by User

Post by Aspertheoldmanon Apr 09, 2013 10:39am
146 Views
Post# 21230839

What can go wrong ?

What can go wrong ?

The pref are a debt. They have priority over the common shares (100% owned by DOM.un).

In case of liquidation the preferred would be paid before the common.

Actual book value per unit is $0.10

Actual book value per pref is over $4 per pref.

As I understand it, no money may be return to unit holder unless the dividend arrears on the pref are paid.

So what is good for the units is even better for the pref.

If there is no settlement, dividend arrears and future must be paid BEFORE any money is returned to unitholders AND the pref are not delisted from TSX

If there is a settlement, the pref are fully redeemed at $2.35 in quarterly payments over 6 years (we could say 5 years, because only $0.10 get to be paid in the 6th year).

I might be wrong, but  I cannot see any problem/risk with the pref.

I would appreciate comments.

 

 

 

<< Previous
Bullboard Posts
Next >>