7936567 Canada Inc SWYDF

Metals & Mining Industrial Metals & Minerals

Stornoway Diamond Corp is a leading Canadian diamond exploration and producing company. Its principal business is the development of its flagship asset, the fully-owned Renard Mine, located in Quebec, Canada. The company intends to grow its business through the exploration and development of its mines. Stornoway also holds interests in a portfolio of exploration assets across Canada through owned properties and joint ventures. These properties and joint ventures include projects such as Adamantin, Qilalugaq and Pikoo.

GREY:SWYDF - Post by User

7936567 Canada Inc

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Comment by explmanon Jun 10, 2019 4:00pm

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Post# 29812941

RE:Well, so, is this rocket science or a no brainer?

The asset, and its performance are now secondary. The debt holders will make all the decisions. I believe that SWY are badly offside on their debt covenants, principally the debt to equity ration. The market cap of SWY is now a paltry $30M. Their debt load is many multiples of that number. If the debt holders want this asset, it is theirs, and equity holders will be left with nothing. Would I put any new money into this story? No way. Better diamond production stories out there, including MPVD.

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