Post by
DaneOddments on Mar 12, 2024 9:29pm
why not IPO Tufropes?
I'm a long-term bagholder of Aimia shares, for more years than I care to admit, and have been lurking here for almost as long. I usually have nothing to say as I tend to internalize pain rather than vent it, probably not healthy, but I haven't seen this idea discussed at all so I thought to send it out into the universe...
India's stock market is on fire, up nearly 30% since Aimia announced the Tufropes deal. Aimia paid 11x EBITDA for Tufropes, but market average in India is 20x EBITDA, and small caps trade even more expensively in India vs. large caps, the opposite of what we see in the US and Canada. Why not sell some or all of Tufropes via an IPO in India? Even if they only got 15x EBITDA. Aimia has capital loss carryforwards so it would be all tax-free gains. Anyway, that's the one thing I can think of that I'd like them to say is in the works on the next conference call. I think the market would be excited by that prospect.