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Bullboard - Stock Discussion Forum High Arctic Energy Services Inc T.HWO

Alternate Symbol(s):  HGHAF

High Arctic Energy Services Inc. is a Canada-based energy services provider. The Company provides pressure control equipment and equipment supporting the high-pressure stimulation of oil and gas wells and other oilfield equipment on a rental basis to exploration and production companies, from its bases in Whitecourt and Red Deer, Alberta. The Company's operations involve the rental of pressure... see more

TSX:HWO - Post Discussion

High Arctic Energy Services Inc > No brainer territory?
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Post by Stonksonlyup90 on Sep 09, 2024 11:25am

No brainer territory?

What's current EV here at $1.10/share? I believe there is $4M of cash on hand, so that would be about $9.8M? ... they paid $7M for the Delta Rentals business alone.. seems like it's in the 'no brainer' buying territory again (IMO). I do recall when this nearly traded down to cash value before the reorg & RoC was announced - the problem with such a thinly traded stock.

I will add once funds become available.
Comment by AVALONSHARK on Sep 09, 2024 12:54pm
I believe they haven't fully paid for Delta. The cash value needs to be discounted.
Comment by Stonksonlyup90 on Sep 09, 2024 1:08pm
There is contingent consideration of $3M as of the end of last Q. That is payable in both Cash & Common Stock over a 3 year period. Arguably, any of remaining cash consideration for Delta will be paid out of Cash generated from that business (they were disclosing $2M per year in Free Cash Flow after that acquisition).
Comment by alertmeipp on Sep 11, 2024 6:15pm
Not sure why ppl selling this name for cheap They are couple news away from a huge re rate  the tax asset alone would worth close to double the current Ev  
Comment by colourama on Sep 13, 2024 3:16pm
I've been adding here as I think investors are not being patient enough with this one, or don't have a clear picture of what is happening. Their plan for "unlocking value" has not even been implemented yet! I believe an amalgamation of sorts will happen sooner rather than later.
Comment by alertmeipp on Sep 16, 2024 9:30am
I am hoping that's why they haven't provided any guidance or update on the Canadian business yet Hoping they are finalizing some sort of deal to realize the value
Comment by colourama on Sep 16, 2024 12:37pm
Usually these things take longer than anyone expects, so I am not anticipating something happening imminently. But the business is very much humming along, and I think they do not need to rush. Just focus on streamlining the cash flow from rentals and Team Snubbing.
Comment by alertmeipp on Sep 16, 2024 4:35pm
yeah.. no rush.. but at least they should really fix up their website, provide proper presentation. If I were a potential new investors, I would probably be scared to put a dime in seeing the site in such bad state.
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