RE:BUY D.UN TODAY!Well said SNAKEYBOY! I think we'll be in very good shape so long as we don't end up with a massive amount tendered by Artis/Sandpiper/DAM. I think the recent Artis asset sales mean Artis won't feel they are under pressure to tender units. Dream Office was discussed a bit at the most recent Artis Annual Meeting and I was not led to believe Samir was unhappy with his investment to where he would want to tender.
I'm guessing Dream Unlimited/DAM might tender maybe 4 million units based on the comments Cooper has made about how everyone could tender 25% of their investment and keep their same proportional ownership in the REIT because 25% of units were being cancelled by the SIB. Dream Unlimited has some badly beaten down REITs such as MPCT and DRR that they might want to prop up with proceeds from selling a portion of their Dream Office investment. Dream Unlimited stock is equally as beaten down as Dream Office so they might want to do some buybacks there. Plus, they discussed on the Dream Unlimited conference call about how important they were viewing having additional liquidity as being and there is no better liquidity than some extra cash.
I would be pretty happy if we ended up with 4 million units tendered by insiders and 8.5 million units tendered and cancelled from the public float. I think we have around 900k units left to buy with this year's Dream Office NCIB. The NCIB can be renewed this August and should be good for another ~2-2.5 million unit buybacks over the next year.
SNAKEYBOY wrote: DAM- "As of May 8th, we hold a 40% interest in Dream Office REIT"- 20 million/ 50 million shares
Artis/Sandpiper own about 6.5 million shares.
37.5 million shares post SIB - 26.5 = 11 million shares for trading.
Thats not going to be very liquid and with a NCIB running you will probably get a major short squeeze at some point especially if REITS take off again. Like a squeeze that can take D.UN to $30 in 6 months.
Alteratively Artis and DAM team up and scoop up those 11 million shares for $18-20 and privatize it.
So many options post SIB that its hard to see a D.UN underperforming and flopping back down given the takeout nature it is setting up for.