Author Topic: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?  (Read 102886 times)

wisowis

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #430 on: November 03, 2018, 05:39:32 PM »
"Drake says he was profiled, denied service at Vancouver’s Parq Casino"
 https://globalnews.ca/news/4627271/drake-says-profiled-denied-service-at-parq-casino/


sculpin

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #431 on: November 06, 2018, 08:44:17 AM »
"Accordingly, during 2017, the Corporation has impaired its carrying value in Union Group to its 40% share of the value of Union Group’s interest in ICC Labs Inc.  In determining its 40% share of the value of ICC Labs Inc., the Corporation applied a liquidity discount  of  30%  to  reflect  the  regulatory escrow  arrangements required under  the  rules  of  the  TSX  Venture  Exchange,  and  to accommodate  any  obligations  that  may  arise  that  would  otherwise  erode  value.    The  Corporation  anticipates  that  the determination of fair value may vary significantly in future periods, both as a result of changes in the price of ICC Labs Inc., and also  as  Union  Group  provides  third-party  evidence  of  the  value  of  its  underlying  assets.    There  can  be  no  certainty  as  to  the magnitude of these potential changes."

I think that 30% is a pretty significant discount now considering that Aurora is highly liquid (ICC transaction represents only 3.6% of shares of ACB), there is no hold period per the press release (unless there is in the agreement) and that Union Group other asset is a 5.3 MW hydropower plant in Peru (must be worth something).

What are Union Group liabilities is unclear but, I would say that if you write-off the power plant in full, that it should account for the accounting issues. The rest seems to be oil & gas land. There is no mention of debt anywhere.

So this asset would be worth (40 million shares of ICC at $1.95 held by Union Group) x 40% held by Dundee or $31.2 million. And this would be tax free since they bought their Union Group stake for $50 million U.S.

The bigger question IMO is can they force a liquidation of Union Group (they hold 40%) or force a distribution of ACB shares?

We would have to dig into the filings of Union Acquisition Corp. which is registered with the SEC (LTN on NYSE) to try to find out more about the structure of Union Group.

Cardboard

Union Group Energy sold to Polaris & closing of ICC to Aurora coming this quarter...


ICC Labs shareholders approve takeover by Aurora

2018-11-06 10:43 ET - News Release
Shares issued 137,600,910
ICC Close 2018-11-05 C$ 1.79
Also News Release (C:ACB) Aurora Cannabis Inc


Mr. Alejandro Antalich of ICC reports

ICC LABS ANNOUNCES SHAREHOLDER APPROVAL OF ARRANGEMENT WITH AURORA CANNABIS

At the special meeting of shareholders of ICC Labs Inc. held today, ICC shareholders overwhelmingly voted in favour of a special resolution to approve the previously announced plan of arrangement between ICC and Aurora Cannabis Inc. Subject to the terms and conditions of an arrangement agreement between ICC and Aurora dated Sept. 8, 2018, Aurora will acquire all of the issued and outstanding common shares of ICC. Obtaining approval from ICC shareholders is one of the conditions to completing the arrangement.

The arrangement resolution required approval by at least two-thirds of the votes cast by ICC shareholders present in person or represented by proxy at the meeting. The arrangement resolution was approved by approximately 98.74 per cent of the votes cast by all of the ICC shareholders eligible to vote at the meeting.

It is expected that ICC will apply for a final order of the Supreme Court of British Columbia on Nov. 8, 2018. Completion of the arrangement remains subject to other customary closing conditions, including the aforementioned court order and the receipt of certain Uruguayan regulatory approvals. Assuming that the conditions to closing are satisfied or waived, it is expected that the arrangement will be completed in the fourth quarter of 2018. Further information about the arrangement is set forth in the materials prepared by ICC in respect of the meeting which were mailed to shareholders of ICC and filed under ICC's profile on SEDAR.

sculpin

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #432 on: November 07, 2018, 05:59:32 PM »
Strong results & outlook from Dundee Precious Metals (worth about $2.20 per DC.A share at current prices) ...

DUNDEE PRECIOUS METALS ANNOUNCES 2018 THIRD QUARTER RESULTS AND UPDATED 2018 GUIDANCE

Metals production - Achieved gold production of 49,644 ounces and copper production of 10.3 million pounds in the quarter. 2018 production guidance increased to reflect strong year-to-date production;

Smelter - Achieved record quarterly production of 68,431 tonnes. 2018 guidance updated to reflect strong year-to-date and planned fourth quarter performance;

Near term growth opportunities - Krumovgrad 82% complete and under budget, hot commissioning to commence in the fourth quarter, as planned, with first gold production expected in the first quarter of 2019;

Exploration success - Updated Mineral Resource estimate for the Timok gold project in Serbia and commenced scoping study;
Cash flow - Generated $34.5 million in cash flow from operating activities and $25.1 million in free cash flow(1);

Financial position - Ended the third quarter of 2018 with approximately $255 million of cash resources, including long-term revolving credit facility.


Rod

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #433 on: November 07, 2018, 08:06:02 PM »
Q3 earnings release is next week. They may announce plans for the E prefs. I suppose if the plan is to convert to equity it will be done soon to save on the dividend costs.

Anyone expecting good news? The triumph of hope over experience??

Cardboard

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #434 on: November 08, 2018, 01:35:24 PM »
I want to hear about Chad's first oil by Delonex. This is key and would be phenomenal news.

I could not find anything on the Net. Would have to get info from some government office in Chad or Delonex itself.

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sculpin

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #435 on: November 08, 2018, 02:04:32 PM »
Great to see Polar buying into the common of Dundee - over 10% now. They are very good investors...


State the designation of securities to which this report relates and the name and address of
the head office of the issuer of the securities.
Class A Subordinate Voting Shares (“Shares”) of Dundee Corporation (the “Issuer”), 1 Adelaide
Street East, 21st Floor, Toronto, ON, M5C 2V9.

State the name and address of the eligible institutional investor.
Polar Asset Management Partners Inc. (“Polar”)
401 Bay Street, Suite 1900
Toronto, Ontario

As at September 30, 2018, Polar, on behalf of client accounts over which it has discretionary
trading authority, exercised control or direction over 5,997,090 Shares of the Issuer, representing
approximately 10.34% of the issued and outstanding Shares.

Rod

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #436 on: November 08, 2018, 02:05:58 PM »
I want to hear about Chad's first oil by Delonex. This is key and would be phenomenal news.

I could not find anything on the Net. Would have to get info from some government office in Chad or Delonex itself.

Cardboard

That would be great news, but wouldn't you expect a press release when any successful drilling has occured? I don't know that Dundee could just sit on the news and reveal it with their quarterly results.

Cardboard

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #437 on: November 09, 2018, 07:35:23 AM »
Delonex is private if I am not mistaken and is this being considered material event as I consider it?

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Rod

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #438 on: November 12, 2018, 08:57:45 AM »
"Drake says he was profiled, denied service at Vancouver’s Parq Casino"
 https://globalnews.ca/news/4627271/drake-says-profiled-denied-service-at-parq-casino/

Maybe Drake will buy Parq.

petec

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Re: Dumbdee - The Goodmans, The Bad & The Ugly - 30% of NAV bargain?
« Reply #439 on: November 13, 2018, 06:48:47 AM »
Was there any news yesterday? 10% down on not much volume.