RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:short interestThis is exactly what I'm thinking, and what I recently went through with Sir Royalty (SRV.UN) which is controlled by SIR Corp.
Hospitality, like office and mall reits,, have been ground zero for covid. SRV is primarily controlled by one man, similar to here, who initiated a takeunder low ball bid back in Jan 2021. That brought out an activisit investor Lembit Janes from Janes Family Foods who upped the offer and began buying shares to increase his position. I even received a call if I wanted to tender my shares, which I refused to do because all the offers were just too low.
In the end, Janes and the SIR corp settled, the dividend was re-instated and Janes is now on the board along with a few hand picked members to make sure shareholders don't get f**cked over again.
If Rai is planning something similar, I wouldn't rule out a possible acitivist coming on board. There are investors out there who make it their sole business to find under valued plays.
babybunny wrote: There IS room for an activist investor here ... but as a c**k-blocker, not as a suitor.
As I see it, the biggest risk faced by us MRT minority unitholders is the risk of a takeunder, which I more colourfully refer to as a f**kover. For example, if MRC were to offer $8 per unit for the remaining MRT units, when NAV is much higher. I personally would not tender to such a lowball offer, and I think such a bid would probably fail ... but then again, it could squeak through. I believe that this f**kover risk explains part of the price weakness for MRT units.
An activist holding just 20% of the public float could stop such an offer dead in its tracks. Rai would have to make a fair offer, or else let MRT continue as a going concern. Just by appearing on the scene, such an activist would remove the f**kover discount and drive an immediate share price increase.
A good opportunity for Artis REIT, IMO.