Fortress Global Enterprises Inc - Class A FTPLF

Xylitol EPS?

[RetireSoonerThanLater]

Has anyone made a guesstimate of what the Xylitol production could mean to EPS, given that the pilot plant proves out and a full production plant is built?

Lots of unknowns but here's a kick at the can:

20,000 tonnes / yr x $US3801/ton / 14.39m shares @ say 30% margin = $1.58 / share EPS.

1.58 x an excited market of 15x P/E = $23.70/share

Margin is a guesstimate (lowest cost producer)
$/tonne is based on world market / world production...may not be wholesale price.
Google search says spot prices are $US3500 - $4000 /tonne

Seems worthwhile holding for that prospect!

[Contrarian333]

The xylitol project is a nice bonus but consider this.  At current dissolving pulp prices, currency rates, and expected production FGE trades at a 50%+ free cash yield. Even if the xylitol project only initially yields an intermediate product, it is immediately attractive to FGE and its competitors.  If you owned a bunch of mills and you could extract an incremental product from your