Temple Hotels TMPHF

Post Rights Offering

[DanielDarden123]

With NAV/sh. Now ~ 50 cents and using MRC, MRG.UN, and MRT.UN as a template (they all trade at large discount to NAV/sh.) does TPH trade down to 40 cents? Seems like only operational improvements will work to prevent that.

[Ikarus]

Sure yeah, come July/'17, .40 pretty easily baked in the cake here. This last tranch was not enough... two more easy in 2017.  You should only be holding 1/3 of your prospective final position IMHO at this point - even then, I'd suggest splitting commons with debs. Lots of debt on these books, which I've previously pointed out. As far as insiders... they too have to follow the

[undervalue]

National bank has the NAV per share at 90 cents post the rights offer. Sahi has used rights deals to gain control of companies in the past. The Federal Industries spin out of the White Pass gave him control of TWC. At TWC,there has been a small minority of shareholders that has done well. (not been screwed) With TPH, he has bought control of a business at the bottom of its trading range, meanwhile

[DanielDarden123]

The challenge with predictions is always the difficulty in foretelling the future. Many stars will have to align here because of the debt situation. With respect to National Bank, they were the Managing Dealer for the Rights Offering. Often a research report will follow which justifies their involvement and their fee. What assumptions were used? IFRS values, cap rate, NOI growth? Using Q3 with a

[undervalue]

They used a 9.5% cap rate, 7 times 2017 e AFFO. The Nav is 97 cents, and they discounted down to 90 cents for purpose of est target price. And, what is the point of investing if you are not attempting predictions. The Sahi track record is excellent.

[robbie80]

Could you copy the national bank report? Thanks

[undervalue]

Hi, just send me an email and I will forward.