ORD has the option to acquire a 10% stake in Caledon once taken over by GRAM. This is great news for ORD.
1) No risk 5 - 10% purchase of Caledon. In that ORD may take it up at anytime they choose. 2) Caledon has 4mt export @ Wiggins Island Export Terminal 2014. This is over 1/2B in Revenue. 3)ORD's stake will cost about 50m but pay no further capex/opex.
Huge deal for ORD. The ann from CCD today confirms that the takeover is progressing. Great news for ORD. Rerate in Progress.
VAN Price at posting:
9.2¢ Sentiment: Buy Disclosure: Held