Tenaz Energy Corp ATUUF

NAM Report - an acquisition of NAM offshore is coming!!

[BERationale]

From NAM...
“It's expected that the activities related to the small offshore fields and the associated assets and liabilities will be transferred to this company later in 2024. In 2023, the interests to be incorporated into NAM Offshore BV were put up for sale…although the scope for investing in small fields is limited, NAM will continue to consider and implement promising investment opportunities. NAM wants to make these investments in close consultation with stakeholders. It is expected that more clarity will become clear about a possible sale in 2024.”

[LouManheim]

What are your thoughts lately?  Still own? Hearing anything good about the AGM next week?

[BERationale]

Yes still holding and adding. Should close the small acquisition in Canada in the next few weeks which was great timing given where gas prices are at. Assume we will get an update on M&A at the AGM. A deal is near I am told. 

[Windsor10]

Should be one of decent size given the high transaction costs, advisors for business expansion and hiring they've been doing 

[YutesandGrutes]

@BERationale are these Namibia Offshore that you are referring to in NAM Offshore BV??? Which assets offshore Namibia are expected to be added in?

[BERationale]

Not Namibia - Dutch North Sea. https://northerntimes.nl/shell-and-exxonmobil-in-talks-to-sell-nam-raising-concerns-about-earthquake-liability/

[copperplay]

This looking like a Q4 deal 

[BERationale]

Here it is. LFG https://www.newswire.ca/news-releases/tenaz-energy-corp-announces-agreement-to-acquire-nam-offshore-b-v--861175170.html

[BERationale]

This is a $10.00 stock! There are only 27mm shares outstanding = $270mm mkt cap + $30mm debt at close ($300mm EV). $150mm proforma FCF = 2x. Still will be the cheapest stock on the street.  

[largeone]

I should add to that, $900 million aftertax NPV, 22 year RLI 10% declines, fully funded no share issuance required.  Worth at least $10 here to start.  

[farml1234]

The ride is just starting. Jmho 

[BERationale]

Still believe it is the cheapest stock on the street - especially now with TTF over 40 vs back in July when this call was made.