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Quarterhill Inc T.QTRH

Alternate Symbol(s):  QTRHF | T.QTRH.DB

Quarterhill Inc. is a Canada-based company, which is engaged in providing of tolling and enforcement solutions in the intelligent transportation system (ITS) industry. The Company is focused on the acquisition, management and growth of companies that provide integrated, tolling and mobility systems and solutions to the ITS industry as well as its adjacent markets. The Company’s solutions include congestion charging, performance management, insights & analytics, analytics, toll interoperability, mobility marketplace, maintenance, e-screening, tire anomaly detection, multi-modal data, intersection management, and others. Its tolling includes roadside technologies, commerce and mobility platforms, audit and enforcement, and tolling services. Its safety and enforcement comprise commercial vehicles, automated enforcement, freight mobility, smart transportation, and data solutions. The Company’s wholly owned subsidiary is International Road Dynamics Inc.


TSX:QTRH - Post by User

Post by mrmoribundon Oct 20, 2021 10:41pm
307 Views
Post# 34030801

Comment on financing

Comment on financingBit of a disappointment that the halt was just due to a convertible sale.

This strongly suggests that a 2nd platform acquisition is coming soon. And the numbers must be pretty big because I'm sure Quarterhill management would have preferred to just do it solely with more bank financing--avoiding all dilution. Probably the bank insisted on Quarterhill taking on some junior (to the bank) debt in order to get the bank participating further.

I guess I'm pleased that they were able to do a conversion price so high as $3.80. In return for that high conversion price the company had to accept a 6% interest rate.

The fact that this was done right now suggests that we shouldn't hold our breath for an Apple settlement. Obviously an Apple settlement at reasonable terms would have been desirable to Quarterhill management because it would have allowed them to move forward on the next acquisition without bothering with term sheets and so forth. Or dilution.

This should increase volumes on the common stock as it will open the door for arbitrage between the shares and the convertible debentures.
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