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Conifex Timber Inc T.CFF

Alternate Symbol(s):  CFXTF

Conifex Timber Inc. is a Canada-based forest products company, which operates fiber baskets in North America, northern British Columbia. The Company produces lumber products and renewable energy from its sawmill and bioenergy plant in Mackenzie, British Columbia. Its lumber products are sold in the United States, Canadian and Japanese markets. It also produces bioenergy at its power generation facility at Mackenzie, British Columbia. Its lumber products include J-GRADE, 2 AND BETTER, SELECT, STUDS, ECONOMY and 3. The Company operates a two-line sawmill in Mackenzie, British Columbia (the Mackenzie Mill). Its Mackenzie Mill has approximately 240 million board feet of annual lumber capacity on a two-shift basis. It operates a 36-megawatt biomass power generation plant in Mackenzie, British Columbia (the Power Plant), located at the site of its Mackenzie Mill. Its Power Plant's output capacity is in excess of 230 gigawatt hours (GWh) of electricity per year.


TSX:CFF - Post by User

Post by dosperroson Aug 10, 2021 9:44pm
284 Views
Post# 33683077

Just listened to the replay. Impressive.

Just listened to the replay. Impressive.

My off the cuff on yahoo below. Not much to add save for execution risk is now minimal given there is negligible debt in their three secenarios. I suspect option #3 is the winner and the first two are done for the sake of the pending new owners. Sort of a "art of the possible".

I appreciated the candid take that "mill and tenure are negatively valued". That's a horrible indictment of the mgmt team but true -- and facing facts is the first step of a 12 step program.  Credit to them. The market must have seen this coming today and I expect this continues to thr $2.50+ range. Not hard to see as the investor deck is a level higher than usual and I'm sure that slipped out. Fair enough.  


****
 

Good call. A stark difference in humility. Ken using layperson numbers and doing an ad hoc sum of parts for a Q from a dude i haven’t heard before (Hugh Cooper) is a highlight. Eg the mill could sell based on facts for about $100m or $2 per share. 

 

RBC threw some shade on hedging. That’s fair. 

 

Then the pointed Q in M&A is welcome and humble. A hard “no”. Only internal. The Mac log merchandizing idea is compelling too. I see that as a smart go forward. 

 

I just wish I hit the live call to ask about a WFG SIB given cash on hand could newly buy back 50% of the equity. I’m just a jobber but hey what the heck. 

 

Conclusion?  This is rising tomorrow. Much of the risk has been excised. Winnie’s answer was sharp and confidence inspiring too.  Good show.

 

Conclusion?  This is rising tomorrow. Much of the risk has been excised. Winnie’s answer was sharp and confidence inspiring too.  Good show.

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