Author Topic: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?  (Read 138602 times)

gokou3

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #110 on: October 03, 2017, 01:00:26 PM »
I am not a gambler but as a preferred shareholder did some "on ground research" last Saturday, i.e. the first weekend of grand opening.  I arrived there at about 9pm and the whole place was completely packed.  Let me be more specific: all the seats in the game tables and slot machines in the general area were completely occupied.  The high-limit slots / tables look pretty full too.  We tried to get into two restaurants and the wait time was each >30 min.  Minimum bet for Blackjack is $25.

The exterior of the complex is indeed not very "Vancouver-ish" - doesn't blend well into the surroundings and I can see why we see some negative online comments about that.  The inside is pretty decent.  Quite luxurious but not quite on par to the best Vegas casinos.  The number of slots / tables is limited to the same as what they had on the old Edgewater casino (btw does the DC.A joint venture own this extremely valuable piece of land?  Build a couple condo towers and it can easily be a half billion development).

Granted this was the first weekend so everyone wants to check out what's the deal, but it looks like the casino is off to a good start.


Rod

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #111 on: October 03, 2017, 01:40:52 PM »
I am not a gambler but as a preferred shareholder did some "on ground research" last Saturday, i.e. the first weekend of grand opening.  I arrived there at about 9pm and the whole place was completely packed.  Let me be more specific: all the seats in the game tables and slot machines in the general area were completely occupied.  The high-limit slots / tables look pretty full too.  We tried to get into two restaurants and the wait time was each >30 min.  Minimum bet for Blackjack is $25.

The exterior of the complex is indeed not very "Vancouver-ish" - doesn't blend well into the surroundings and I can see why we see some negative online comments about that.  The inside is pretty decent.  Quite luxurious but not quite on par to the best Vegas casinos.  The number of slots / tables is limited to the same as what they had on the old Edgewater casino (btw does the DC.A joint venture own this extremely valuable piece of land?  Build a couple condo towers and it can easily be a half billion development).

Granted this was the first weekend so everyone wants to check out what's the deal, but it looks like the casino is off to a good start.

Found this online:

ďApril 2011, Vancouver city council agreed to relocation without expansion of the existing Paragon-owned Edgewater Casino licence. The 70-year, $6 million-a-year lease with B.C. Pavilion Corp. was renegotiated in 2013 to $3 million-a-year. Construction began in summer 2014. Under an accommodation side deal, Paragon will pay Musqueam Indian Band, instead of PavCo, $8.5 million of the first $9 million in lease payments. The project is a joint venture between Paragon, Dundee Corp. and PBC Real Estate Advisors.Ē

Is $3M per year a good deal?

Cardboard

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #112 on: November 15, 2017, 12:25:21 PM »
Pretty cheap stock here with the family finally getting its act together. Many issues have been solved including the debt at HQ, lower costs, United Hydrocarbon deal closed and Parq operating.

Blue Goose/Tender Choice was a negative today but, at least they are moving quickly to fix it. I would say it is an improvement over previous behavior.

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longlake95

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #113 on: November 15, 2017, 12:33:37 PM »
I own the Pref's series III, as a chicken way to participate in DC. They are still waaay out of favour. But nice to see things improving...but slowly...might I add...

Where's Ned?

doc75

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #114 on: December 08, 2017, 10:23:00 AM »
These guys have presided over some crazy capital destruction, but they also  aren't catching many breaks.

News out recently about a big fire at the Tender Choice plant in Burlington.  Apparently the building is pretty much destroyed.  (From what I've read. Not a first-hand account.)

It'll be interesting to see if there's a big rebound in the new year.  This is a really strong candidate for tax-loss selling.   I was surprised (on the downside) with the Q3 report and actually had orders in to sell at $3.15.

Rod

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #115 on: December 08, 2017, 10:42:07 AM »
These guys have presided over some crazy capital destruction, but they also  aren't catching many breaks.

News out recently about a big fire at the Tender Choice plant in Burlington.  Apparently the building is pretty much destroyed.  (From what I've read. Not a first-hand account.)

It'll be interesting to see if there's a big rebound in the new year.  This is a really strong candidate for tax-loss selling.   I was surprised (on the downside) with the Q3 report and actually had orders in to sell at $3.15.

What specifically was the negative surprise you saw in the Q3 report?

doc75

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #116 on: December 10, 2017, 04:50:41 PM »
These guys have presided over some crazy capital destruction, but they also  aren't catching many breaks.

News out recently about a big fire at the Tender Choice plant in Burlington.  Apparently the building is pretty much destroyed.  (From what I've read. Not a first-hand account.)

It'll be interesting to see if there's a big rebound in the new year.  This is a really strong candidate for tax-loss selling.   I was surprised (on the downside) with the Q3 report and actually had orders in to sell at $3.15.

What specifically was the negative surprise you saw in the Q3 report?

The continued poor performance of the operating subsidiaries, particularly Blue Goose.  I was (perhaps naively) expecting some stabilization there but Q3 was sour and Q4 looks like it will be uglier.

sculpin

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #117 on: December 13, 2017, 07:52:25 AM »
In the grips of ferocious tax loss selling Dumbdee hits an all time low of sub $2.40 - this in striking contrast of DC's estimate of it's value per share of $11.79 in just the latest Q3 report. Yet the masterminds behind this destruction of corporate value and collapse of the share price refuse to buy back any shares to support their estimate of the lofty value of their corporation.

The gong show of the Blue Goose shut down of the Tender Choice plant in Q3 underlines the poor decision making and capital allocation still resident in Dundee Corp. Purchased only 1 year ago, the Tender Choice plant was deemed unfit to carry out its processing work and needed significant repairs and modifications. The Blue Goose President was forced to walk the plank. Then the plant burnt down....

TORONTO, ONTARIO--(Marketwired - Oct. 19, 2016) - Blue Goose Capital Corp. ("Blue Goose") ("the Company"), a privately-held, Canadian-based protein and organic food company which is a subsidiary of Dundee Corporation ("Dundee") (TSX:DC.A) today announced the acquisition of Tender Choice Foods Inc. ("Tender Choice"), a leading Burlington, Ontario based processing plant specializing in the processing, packing and distribution of meat products.
"Blue Goose is pleased to have Tender Choice as part of the Blue Goose group of companies," said Ben Nikolaevsky, President and CEO of Blue Goose, "With the acquisition of Tender Choice, Blue Goose has acquired a tremendous platform to build on the rapid growth of its poultry operations, and allows us to facilitate our growth in the industry."

At this stage it is apparent that Dundee Corp should be placed in liquidation mode over the next few years. No new investments. Sell all assets at the best available price but not in a fire sale. Cut all admin, management & Board costs to the bone to limit the cash drain. Start buying back the preferred shares at prices less than half of par to cut both the ultimate liability & save on the quarterly dividend drain.

Is this not the best way to save shareholder value??

doc75

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #118 on: December 13, 2017, 08:02:32 AM »
At this stage it is apparent that Dundee Corp should be placed in liquidation mode over the next few years. No new investments. Sell all assets at the best available price but not in a fire sale. Cut all admin, management & Board costs to the bone to limit the cash drain. Start buying back the preferred shares at prices less than half of par to cut both the ultimate liability & save on the quarterly dividend drain.

Is this not the best way to save shareholder value??


Couldn't agree more.  But I think these guys have deluded themselves into believing they are astute investors (despite all evidence to the contrary), and of course they're getting paid a good salary to do play the game.

If they tried to put some of their assets up for sale, I think we'd see some pretty significant write-downs on their fair-value estimate. 
 




SafetyinNumbers

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #119 on: December 13, 2017, 05:18:36 PM »
In the grips of ferocious tax loss selling Dumbdee hits an all time low of sub $2.40 - this in striking contrast of DC's estimate of it's value per share of $11.79 in just the latest Q3 report. Yet the masterminds behind this destruction of corporate value and collapse of the share price refuse to buy back any shares to support their estimate of the lofty value of their corporation.

The gong show of the Blue Goose shut down of the Tender Choice plant in Q3 underlines the poor decision making and capital allocation still resident in Dundee Corp. Purchased only 1 year ago, the Tender Choice plant was deemed unfit to carry out its processing work and needed significant repairs and modifications. The Blue Goose President was forced to walk the plank. Then the plant burnt down....

TORONTO, ONTARIO--(Marketwired - Oct. 19, 2016) - Blue Goose Capital Corp. ("Blue Goose") ("the Company"), a privately-held, Canadian-based protein and organic food company which is a subsidiary of Dundee Corporation ("Dundee") (TSX:DC.A) today announced the acquisition of Tender Choice Foods Inc. ("Tender Choice"), a leading Burlington, Ontario based processing plant specializing in the processing, packing and distribution of meat products.
"Blue Goose is pleased to have Tender Choice as part of the Blue Goose group of companies," said Ben Nikolaevsky, President and CEO of Blue Goose, "With the acquisition of Tender Choice, Blue Goose has acquired a tremendous platform to build on the rapid growth of its poultry operations, and allows us to facilitate our growth in the industry."

At this stage it is apparent that Dundee Corp should be placed in liquidation mode over the next few years. No new investments. Sell all assets at the best available price but not in a fire sale. Cut all admin, management & Board costs to the bone to limit the cash drain. Start buying back the preferred shares at prices less than half of par to cut both the ultimate liability & save on the quarterly dividend drain.

Is this not the best way to save shareholder value??


They canít buyback shares because they need liquidity to pay down the preferreds that are puttable. You may not like it but there is logic to it. As a D class preferred holder, I appreciate that too.
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