Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.

Geodrill Limited GEODF


Primary Symbol: T.GEO

Geodrill Limited is an Isle of Man-based exploration drilling company with a fleet of 76 drill rigs operating in Africa and South America. The Company operates in approximately two continents and seven countries, namely Ghana, Burkina Faso, Cote d’Ivoire, Mali in West Arica; Egypt in North Africa; and Peru and Chile in South America. The Company provides Reverse Circulation, Diamond Core, Deep Directional Navi Drilling, Air-Core, Grade Control, Geo-Tech, and Water Borehole drilling services to intermediate and junior mining companies and operates a fleet of multi-purpose rigs in Africa. Its fleet stands at approximately 76 drills and is made up of over nine types, including EDM 2000 multi-purpose (qty. 6), Sandvik DE 810 multi-purpose (qty. 11), Sandvik DE 740 core (qty. 10), Sandvik DE 710 core (qty. 10), X1200 Multi-Purpose (1), X900 Multi-Purpose (17), Austex X350 RC / Grade Control (qty. 2), Austex X300 Air-core (qty. 7) and LM90 (qty. 7).


TSX:GEO - Post by User

Post by stockfyon May 09, 2024 7:18am
105 Views
Post# 36030574

GEO: Boart's 60% premium, Orbit, Foraco, Major Drilling...

GEO: Boart's 60% premium, Orbit, Foraco, Major Drilling...The companies with many rigs for the mining industry are counted on the fingers of the two hands.

On that front, Boart Longyear was recently acquired by American Industrial Partners with a premium of about 60%, according to the link below, despite the fact that it was an indebted company:

https://americanindustrial.com/american-industrial-partners-enters-into-arrangement-agreement-with-boart-longyear-for-take-private-transaction/#:~:text=American%20Industrial%20Partners%20Completes%20Take%2DPrivate%20Acquisition%20of%20Boart%20Longyear&text=New%20York%2C%20NY%20%E2%80%93%2010%20April,of%20Boart%20Longyear%20Group%20Ltd.


https://www.afr.com/companies/mining/boart-longyear-floated-for-2-35b-agrees-to-543m-takeover-20231227-p5ettd


https://simplywall.st/stocks/au/materials/asx-bly/boart-longyear-group-shares/news/boart-longyear-group-asxbly-has-a-somewhat-strained-balance



If Boart had a healthy balance sheet with a net cash position, the premium would be even higher.

Foraco is even more indebted than Boart, so the potential suitors will most likely avoid it.

Orbit Garant is indebted too.

Major Drilling has announced several acquisitions over the last years and GEO could be next.

GEO's CEO, founder and and biggest shareholder has said that he will sell if the price is right. He has been in the business for many years, and he does not seem to want to die while working for GEO.

GEO has a strong balance sheet with a net cash position.

GEO will increase its revenue and its profitability in 2024 after the exit from Mali and Burkina Faso in 2023.

After all, a buyout offer and a very good premium are on the horizon.



<< Previous
Bullboard Posts
Next >>