Chorus Aviation Inc T.CHR

A buyout is in the work?

[SIGG1]

Highly possible

[aerialview]

By AC?

[sergio2go]

I don't think that AC is interested investing in a leasing airplane company like Chorus. Although, the current share price is at a 65% discount to book price. Overall, Chorus remain an attractive option for a company like Enchange Income Fund since they are invested in air travel. Just saying...

[60PlusWhoCares]

Book value is $ 6.17 what would be the share price for a buyout?

[sergio2go]

An $8.00 per share would be acceptable. Especialy, their debt level is very manageable and reasonable and their recent investment is positively helping the profits. Bottom line, a 30%  price increase seems OK but anything over that price would be welcomed.

[flamingogold]

So you're saying a buyout could be anywhere from $2.78 (30% premium over today's price) to $8 ??. Can you narrow that down just a tad.

[60PlusWhoCares]

I think he took the book price + 30% so $6.17 + 30% so $8.02  I think that $6 a share would be fair

[sergio2go]

I understand that a $6, offer seems fair.This should be the very minimal offer. But ask yourself why selling at book value? There is no appeal for you to sell. On top of that, let's no forget that there may be more than one potentiel buyer. That being said, i would prefer an $8. offer or even more for that matter, This is my personel goal but at the end of the day, it will be submit to a vote

[60PlusWhoCares]

Time will tell my friend time will tell GLTA

[sergio2go]

INDEED....

[muslix1]

I think more for a divident in few quarters  Then a buy out

[sergio2go]

Re-establishing the dividend might be a bit difficult under the current profits expectations. Expectations for a yearly profit are under  0.40. At these level, there are still short from their dividend level, pre-covid. Also, even if the debt situation is well manageable, i would prefer a debt reduction as much as possible.  Especially, If there is no buyout offer. That would secure

[60PlusWhoCares]

Debt reduction is more important at this point than a dividend for sure

[Hich1205]

At this point of time, what really counts is the long term strategy. It seems like the only strategy they have right now is to sale assets and reduce debt, but that's not a business strategy, that's a business liquiditation. If the management are not able to convince and execute on a Business strategy, I preffer to get dividends that I can deploy myself. For now, the only thing that I'

[ouainouain]

At 3.5 leverage ratio plus 35M in preferred dividends yearly to Brookfield, there is no money left to do anything but reduce debt. This company was making 20% margin leasing planes in 2018, 19. Forget 2020, 21, but 22 & 23 they have barely squeaked by leasing planes because of the amount of interest on the debt. If it wasn't for AC there would be no Chorus Aviation. Maybe in 2025, they can

[ouainouain]

I think that companies that generate next to no earnings are not high on the list of buyout possibilities. The share price is low for a reason: very low plane leasing profits in a high interest environment. Another gang of suits can't change the math. It's the regional airline industry with thin margins, this is not NVidia.  They can only reduce executive pay and that comes with its

[MDawg65]

there is an appeal  to sell  $ 6 beause that is nearly triple curren mkt price,  no one else is offering to pay anywhere near $ 6 in over several years company should be buying back shares- which they do have in place a NCIB program to buy backup o 10 %  of share issue, not sure if they do exercise that opttion or bring back dividend.   during pandemic they did