TSXV:NDVA.H - Post by User
Comment by
caretired1on Oct 06, 2021 10:02am
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Post# 33973062
RE:RE:RE:RE:RE:RE:RE:RE:RE:Warrant Incentive Program PR
RE:RE:RE:RE:RE:RE:RE:RE:RE:Warrant Incentive Program PRAgreed on the equity markets. We see half of the warrant holders exercise so not huge appetite for more equity. And as you point out, sundial now gets 15% on 19mm which would be like them selling at 50 cents in year 1 by feb 2022. If they sell their equity down another 5% or 6mm shares that's only $3 million more and their total investment would then be about $5mm equity and $19 debt so not much more than when they started and most of it gets them 15% interest and the company is better positioned to attract a buyer. Also, when they achieve profit and a couple of quarters of ebitda, then they become bankable in Canada so they could pay down sundial with cheaper bank debt - remember they own the building with no mortgage. My guess is that happens in q1 or 2 of next year