Great Canadian Gaming Corporation (GC)
Q: Hi,
The last answer on GC wrt holding or selling was "We would suggest keeping this at least into the new year, as a relatively low risk cash proxy. If in a gain position this will also defer taxes a year. "
I had accumulated 2800 shares over the last several years which today equates to $121,800 @ a current stock price of $43.50. A gain of approx. 6% in an RRSP account.
Given the buyout transaction will not officially close until Q2 (when in Q2 I am not sure, do you know the specific date?), at max I can only make another 3.3% (another $1.50/share), ie at buy out price of $45.00 it equates to $126,000, assuming nothing changes wrt another bid. I assume Brookfield will not counter-offer?
If I hold until Q2 and accept the $45/share, this money is basically not working for me for another 3-6 months! Does it not make more sense to sell at the current market price (at a reduced offering price) and purchase some of your more recent top recommendations/suggestions?
This may sound like FOMO but is it not better to have your invested money working for you?
Cheers,
Steve
Q: With the news of a higher bid. Would you sell your shares into the market or just wait till the end.
And why?
Thanks
Sheldon
Q: Hi 5i team,
Looks like you guys were right (again) on GC. They negotiated a new price of $45 over the weekend. The original proxy was due today. I did not vote as at the time the major shareholders opposed the deal. They now all support it as I read the news release, so I would support it as the game is over. Proxy voting is extended to Wednesday. I just want to confirm that whether or not I vote has no bearing on my disposition of the shares. If I get lucky with a takeover, I tend to let it run a bit but sell before the closing date, which I think is 2nd Q, 2021.
Thanks again.
Dave