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Dream Impact 5 50 Convertible Unsecured Subordinated Debentures T.MPCT.DB

Alternate Symbol(s):  T.MPCT.DB.A

Dream Impact Trust is a Canada-based open-ended trust dedicated to impact investing. The Company operates through two segments: Development and investment holdings, and recurring income. The Development and investment holdings segment comprised direct and indirect investments in residential and mixed-use developments, a hospitality asset, and participating mortgage receivables. The Recurring income segment comprised a portfolio of commercial real estate income properties and multi-family rental assets in the Greater Toronto Area (GTA) and Ottawa/Gatineau, a utility asset, and interest-paying corporate loans. The Company is managed by Dream Asset Management Corporation (DAM).


TSX:MPCT.DB - Post by User

Comment by InvestSmarteron Oct 17, 2024 10:46am
43 Views
Post# 36269902

RE:Debt to Asset Ratio of 74% is too risky!

RE:Debt to Asset Ratio of 74% is too risky!Look at slide 80 in the link below.
https://stockhouse.com/companies/bullboard?symbol=t.mpct.db&postid=36266982
 
The debt ratio on EAI is actually much lower than reported on EAI, as the book value is reported, not the adjusted value based on rezoning and other milestones reached. The the NAV will be adjusted upward over time as developments complete.
 
EAI is like MPCT buying stocks. If you personally buy MSFT, do you put billions of debt on your personal balance sheet? It is the same thing. MPCT is buying ownership in a project, and most of the debt is all non recourse.
 
EAI are self sufficient. MPCT at corporate level does not pay to cash flow these holdings. If the partners want to invest further, they can. But it's all well planned with the best well funded developers in the Toronto Area.
 
Zibi, Brightwater, and Victory Silos are our cash flow drag and all developments have near term plans to eliminate this cash flow drag. When each development starts building, the associated land loans are removed. We are going from a cash flow negative development REIT to a cash flow and positive REIT (and not just a little, a lot!) Over the next 12-18 months.
 
You are making up lies saying analysts are "warning" about debt. No analysts is warning this, because it is not true and they completely understand themselves.
 
You do not know what you are talking about, lying (or ignorant), and just make yourself look like an idiot. I suggest you seek a financial advisor for help. Or, short MPCT and learn the hard way.
 
And lastly, is you are invested in IVQ, a company that is defaulting on debt and calling them profitable.

Your post saying invesque is profitable.
https://stockhouse.com/companies/bullboard?symbol=t.ivq&postid=35885258

Invest diluting shareholders due to debentures being in default.
https://www.invesque.com/press-releases/toronto-ontario-september-17-2024-invesque-inc-the-corporation-or-invesque-tsx-ivq-and-ivq-u-announced-today-that-it-will-seek-the-approval-of-ho/

You are delusional and don't know what you are talking about. Seek help and stop trying to mislead people in what you do not know what your are talking about. You can cause people to lose serious money.
 
eoim2 wrote: To understand why many analysts warn about the high leverage level of MPCT  with debt to asset near 74% or more, you have to not look at the balance sheet but dig into debts in various Equity Accounted Investments. While these equity accounted debts may be non recourse upon default,  they still represent a major cashflow drag on this tiny company, paying almost $30 million in interest yearly which is triggerin.g the sell-off of most of their 100% owned commercial
properties.

I am not telling you not to buy it. Just informing you the debt information you will not see by just glancing through the balance sheet which I found misleading. Maybe this is how developers do it. For me, debt is debt and must all be reported and not magically reported as Net Asset when asset can be inflated.
 
 
 



 
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