RE:Loosely Connected ThoughtsHi 20,
It was just over 5 months ago that Fairfax invested $11.8 million to increase their ownership stake in B shares to 40.6%. This wasn’t an averaging down strategy. They will prevail in privatizing Torstar and those who wait on the sidelines will kick themselves. At the current price and with the dividend paying a very reasonable return I see this as a very low risk opportunity.
News gathering from credible sources will always have a place in society. A better managed Torstar would have a much higher share price because investors have lost confidence in their ability to navigate the current challenges.
Fairfax clearly believes in the future prospects for Torstar as evidenced by their recent investment. I continue to accumulate shares because this is an opportunity too good to pass on. Patience is required, but it will be rewarded. No guarantees of course, but that’s what makes it interesting.