TSX:AX.PR.E - Post by User
Post by
SNAKEYBOYon Aug 21, 2023 6:04pm
121 Views
Post# 35598803
I dont get it
I dont get itManji loved the idea of selling hard assets for FMV or higher, and then buying public REITS cheap. He sold the most prized Toronto industrial assets for something like 400m and a sub 3% cap rate. This was always his plan. Now, he thought he could get away with only selling 300m or so per year, but now the opportunity has presented itself with the widest SP to NAV gap in the past decade across the REIT sector. Add in the higher debt renewals its an obvious play- GO ALL THE WAY.
If he can monetize all the assets and come up with $12+ share for him and his sandpiper guys, they can just buy the other 10 Canadian REITS with better assets that are being hammered just as much. If the REIT market recovers while he is doing this, then just raise the price, or have a pivot plan.