With a current 52-weeks $0.30 - $0.07
52-weeks HIGH/LOW, a book-value of $0.43, how much will Sam Gruppo (MADISON GROUP) be paying is the big question. Obviously not more than $0.30/share. In its March 22, 2024 financial Release, the company is reporting
: Uncertain tax position
In relation to the tax notices of reassessments and assessments from the Canada Revenue Agency (CRA), and unfavourable rulings in similar cases heard in the Supreme Court of Canada and in the Court of Appeal in 2023, the company has recorded a full provision of the $23.5-million against the carrying value of the deposits and deferred tax assets related to unused carryforward amounts and a liability of approximately $47.3-million for unpaid taxes and estimated interest for the reassessment. The total of these amounts, $70.8-million, was recognized in the statement of operations and was recorded as income tax expense for the provision of uncertain tax positions of $52.2-million and an estimated interest expense on uncertain tax positions of $18.7-million.
This step has been taken to clear the way for MADISON GROUP to buy out GLACIER MEDIA.
GVC's enterprise-value is roughly $15M.
Madison Group, already owning 70,614,494 GVC shares (out of the 131,284,523 float) would need to take up, to be tendered 60,670,129 shares from minority shareholders, which at a price of $0.20 would total $12,134,025 to take over GLACIER.
GLACIER has roughly $6 in cash.
Financial position. As at Dec. 31, 2023, the company had a cash balance of $6.6-million and $7.2-million of non-recourse mortgages and loans (which relates to farm show land in Saskatchewan and Ontario).
So, at $0.20/share, MADISON GROUP would have quite a free lunch in buying out GLACIER.
| Name | Equities | % | Valuation |
| Madison Venture Corp. | 70,614,394 | 53.85 % | 6 M $ |
| Franklin Bissett Investment Management | 8,166,200 | 6.227 % | 661 462 $ |
| | 6,891,500 | 5.255 % | 558 212 $ |
| McElvaine Investment Management Ltd. | 3,222,133 | 2.457 % | 260 993 $ |
| Maxam Capital Management Ltd. | 1,395,500 | 1.064 % | 113 036 $ |
| | 704,542 | 0.5373 % | 57 068 $ |
| | 595,000 | 0.4537 % | 48 195 $ |
| | 572,297 | 0.4364 % | 46 356 $ |
| Momentum Global Investment Management Ltd. | 519,447 | 0.3961 % | 42 075 $ |
| | 498,000 | 0.3798 % | 40 338 $ |