GREY:LGLTF - Post by User
Comment by
jumpth3sharkon Dec 13, 2014 12:50am
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Post# 23226909
RE:RE:LOYALIST rises above the weak too - composite hits new lows
RE:RE:LOYALIST rises above the weak too - composite hits new lows
That’s a great point Alister that not enough people are bringing up or are simply overlooking because they’re too fixated on the daily share price fluctuations – BMO wouldn’t have given Loyalist an $18.5 million credit facility if they didn’t seriously scrutinize the company’s books and ability to repay. Yes, it’s secured by first charge, so BMO would be the first creditor in line to collect in the case of a default. But I digress, the deal was executed very well and shareholders should be ecstatic over it. Loyalist got all of that money to go out and continue with its M&A activities at no expense to the value of our current shares. Even the Uhak acquisition which was slightly dilutive was done with a 24-month hold on the paper.
So kudos to management for some excellent negotiation and deal structuring. Shareholder should always be on the forefront on management’s mind, and the Loyalist team understands this.