Stockhouse.com uses cookies on this site. By continuing to use our service, you agree to our use of cookies. Cookies are used to offer you a better browsing experience and to analyze our traffic. We also use them to share usage information with our partners. See full details.
I Agree
×
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

Privacy Policy | Disclaimer

Sign In

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

or

Privacy Policy | Disclaimer
Please Try Again {{ error }}

Send my password

Return to Login
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

Alaris Royalty Corp ALARF

Industrials Conglomerates
"Alaris Royalty Corp is engaged in investing in operating entities. Its operations consist primarily of investments in private operating entities, typically in the form of preferred limited partnership interests, preferred interest in limited liability corporations in the United States, loans receivable, or long-term license and royalty arrangements."


GREY:ALARF - Post by User

Alaris Royalty Corp > Trading below book value
<< Previous
 Bullboard Posts
Next >>
User Avatar Image
(62)
•••
Comment by Capharnaumon May 10, 2018 10:05pm
114 Views
Post# 28015891

RE:RE:RE:RE:Trading below book value

RE:RE:RE:RE:Trading below book value
Aspertheoldman wrote: The objective of AD buying buying its own unit at a price below  book value is not to support the price on the stock market..
It is rather to create value for the remaining unitholder.
Reducing the number of units increase the book value of the units.
Once eliminated, AD do not have to pay distribution to these units anymore.
It is the same as if AD was buying an investment earning 10.4%.
If AD can borrow at 5% to invest in its own unit earning 10.4%, it makes 5.4% profit
Nice !


They can invest money at 14-15% which is better than 10.4%.
<< Previous
 Bullboard Posts
Next >>
Dealroom for high-potential pre-IPO opportunities