RE:RE:RE:RE:Brookfield needs to swoop in...TheBridge wrote: BSdetector is absolutely correct in his comments on Brookfield's conditions if they interested in accumulating shares of AQN and possibly taking it over. However, my personal observations of some of Brookfield's methods in the past and if they were interested is that they would take a cheap foot into the doorway but it's not going to be above the $9 mark. And yes, they would discard the current management. And then again, there just might some interest from Onex who have the expertise in taking over companies that have gotten themselves into significant financial difficultly, providing the capital, experts and strategic organization necessary to refloat a company and then selling it for a substantial profit eventually.
Lots of interesting possibilities here and they are just starting to unfold, with the usual drama that it brings. Good luck to those struggling here in making their decisions on what to do.
Algonquin doesn't have financial difficulties.
As to Brookfield taking over, it would be rejected. The value of the parts held by Algonquin are far greater than book value (and current share price).
It's currently taking a plunge due to revised EPS, reduction in the dividend. However, the share price is already low compared to that lower EPS and the forward cashflow.
For 2023, they have $800M USD in revised cashflow to the shareholders, which is about $1.55 CAD per share.
It will take some time for the market to "witness" the turnaround as they deal with their capital needs without diluting further and then they'll be back in a favorable position.