Q: I have done very well with this Company and continue to hold their shares. Following your guidance of letting your winners run!
A recent announcement is that "Shawcor sells its Shaw Pipeline Services Business to a material services company". Is there anything that is concerning about this transaction? Is this a Company you would continue to hold?
Thank you Gordo.
A recent announcement is that "Shawcor sells its Shaw Pipeline Services Business to a material services company". Is there anything that is concerning about this transaction? Is this a Company you would continue to hold?
Thank you Gordo.
5i Research Answer:
SCL changed its symbol to MATR this week. The intention to sell the division was previously disclosed. We would have no concerns but terms were not disclosed on this deal. Momentum is good, the stock remains very cheap and good earnings growth is expected over the next 24 months. Even without any benefit from the sale the balance sheet is quite decent now.