Chemtrade Logistics Income 6 50 Convertible Unsecured Subordinated Debentures T.CHE.DB.E

Alternate Symbol(s): CGIFF | T.CHE.UN | T.CHE.DB.G | T.CHE.DB.H

Chemicals Basic Materials

Chemtrade Logistics Income Fund is a Canada-based company that operates a diversified business providing industrial chemicals and services to customers in North America and around the world. The Company's segments include Sulphur and Water Chemicals (SWC), and Electrochemicals (EC). SWC segment markets, removes and/or produces merchant, Regen and sulphuric acid, sodium hydrosulphite, elemental sulphur, liquid sulphur dioxide, hydrogen sulphide, sodium bisulphite, and sulphides, and provides other processing services. This segment also manufactures and markets a variety of inorganic coagulants used in water treatment, including aluminum sulphate, and a number of specialty chemicals, including sodium nitrite. EC segment manufactures and markets sodium chlorate and chlor-alkali products including caustic soda, chlorine and HCl, largely for the pulp and paper, oil and gas and water treatment industries. These products are marketed primarily to North American and South American customers.

TSX:CHE.DB.E - Post by User

Chemtrade Logistics Income 6 50 Convertible Unsecured Subordinated Debentures

Bullboard Posts

Comment by Khersonon Apr 26, 2019 8:57pm

68 Views

Post# 29677795

RE:RE:RE:RE:Increased Position

YellowBrickRoad wrote:

Kherson wrote: When I started posting on this SH Board, the unit price was around $18, now it is $9! I am still posting about the financial mess that is Chemtrade and I still believe that the BOD will have to cut the distribution. Presently, Chemtrade units represent MASSIVE RISK!

Another way to look at it is the risk is much less now. With the lower share price and higher yield, the investor recovers their capital more quickly - only half the time it did when the share price was $18! With a share price of $18, capital recovery takes 15 years, at a share price of 9, only 7.5.

Only if they maintain the current distribution! The problem is that they do not have enough free cash flow to maintain it, hence the Market's response, resulting in the temporary high yield!
The 1st quarter results will tell the tale!
Kherson

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