Rod

I picked out from todays' news release that Dundee owns about 1 share of Reunion Gold for each share of Dundee. At about $0.20, Reunion is worth watching to get a more up to date fix on NAV Dundee Corporation Acquires Further Interest in Reunion Gold Corporation TORONTO, Feb. 13, 2019 (GLOBE NEWSWIRE) -- In accordance with regulatory requirements, Dundee Corporation (TSX: DC.A) (“Dundee”) announces that its wholly owned subsidiary, Dundee Resources Limited, has acquired 14,350,000 common shares of Reunion Gold Corporation (“Reunion”) pursuant to a private placement at the price of $0.15 each for aggregate consideration of $2,152,500. Immediately prior to the acquisition of securities described in this report, Dundee owned indirectly 52,838,838 common shares and 3,730,769 warrants representing an approximate 16.48% interest in Reunion on an undiluted basis and a 17.45% interest on a partially diluted basis. Immediately following the transaction that triggered the requirement to file this report, Dundee owns 67,188,838 common shares and 3,730,769 warrants, representing an approximate 16.48% interest in Reunion on an undiluted basis and a 17.24% interest on a partially diluted basis.

The geographic footprint of the lower mainland in BC features an ocean to the West, a border to the South, and mountains in the North and East which all limit expansion. New construction features high rises these days in an effort to house more people on the same amount of land. It’s land values therefore that have become valuable. And while there is lots of talk in the press about the new speculation tax there is less discussion on things like Strata legislation changes. Changes in strata legislation now means winding up a condo building no longer requires a 100 per cent vote from owners and the City of Vancouver has seen a flurry redevelopment applications. High demand for the land and relatively fixed supply. But the supply is not so fixed if you consider that people have options--they can move to much cheaper Canadian cities.

It seems the BC and Federal gov'ts have done what needs to be done to end this bubble. I hope they have the guts to let it die. I expect the boomers will be agitating soon...

I can't judge the price received unless I can see the balance sheet. There may be some debt there.

I think what you’re describing is called the recency effect. Any asset that has been down and out for years can be affected by it. It’s almost always better to prospect for investments in the bombed out areas. So I think you are on the right track. I’ve also found that when nobody likes your idea and thinks “You’d have to be crazy to buy ____” you should get excited. But you still have to do the work. You need to be different and right, not just different.

Yikes! Seems like a rather odd detour in life for Howard. I liked him a lot better when he was a farmer. Playing GI Joe at his age is a little troubling. But I wouldn’t judge him. It may all make good sense.

To the extent that casino capacity has been built out to handle the money laundering then I think there could be some serious problems for the casinos in Vancouver as the crack down continues. Between River Rock and Parq, maybe Vancouver ex money laundering only needs one not two.

I don't do your due diligence for you. I just rattle cages, to make the money flow ;D Speaking of cages, if a wall is built that would presumably be bad for the makers of child cages. Any short candidates?

The only investment strategy I know is buy when you find a compelling bargain. If you don't find it, don't buy it. Or as Will Rogers said: "Don't gamble; take all your savings and buy some good stock and hold it till it goes up, then sell it. If it don't go up, don't buy it."

Does anyone have an up to date estimate of book value? I'm thinking if I could get in at 1.3x or less, I would do it.

I wonder if the drop in the prefs isn't simply due to a drop in stocks? If you look at a 5 year chart comparing a pref ETF like CPD and XIC the correlation is very close. Maybe it's just fear. Prefs rebounded sharply with the market in the last few days too. What would that have to do with interest rates? I bought some Brookfield Office BPO.PR.P early last week at $15.50. At that price and with a 5 yr at 2%, it would reset to 8%, which struck me as entirely too high.

Well, I did worse than any of you: -9.1%. Being almost entirely in small cap Canadian stocks didn't help this year!

What you need to do is find a really, really bad loan and take the other side 8)

I solve this problem by never averaging down. I realized it's too fertile a ground for psychological biases to take hold in. These days I set a maximum position size when I first buy a stock and leave it. If I'm wrong I know the max I can lose. I don't con myself into buying more and more all the way down, which is VERY easy to do. After all, if you invest for a long time, you will eventually find a stock you love that is going to zero!

It's hard for me to see value coming out of Parq at this point. Even if they start to improve it the ongoing losses to get there will pretty much erode any equity value. DPM is promising but anybody could buy that directly. So should it be valued above market? I don't believe so. I guess Chad is where the real potential is. But there must be risks between here and the promised land. How did Delonex get it for a comparatively low price if it is such an obvious winner? And where is the insider buying? Anyway, it looks like there will be lots of announcements to come. I'm still waiting it out in the B/D prefs until the E pref is dealt with and Parq and Blue Goose are restructured. And until the insiders start showing confidence in the stock with some purchases.

Looks like a repeat of Q2. Parq still losing money and showing no sign of ramping up. Little in the way of asset sales and losses all over. No meaningful developments that I can see. Might hear something more significant on the conference call tomorrow.

Maybe someone got a margin call.

I couldn't find any news. Q3 release is in two days. It's possible that information has leaked about the results and its not good. Or maybe someone just wants out before the results are announced. It seems a little desperate to crash the price to do so, but we will know in two days.

Maybe Drake will buy Parq.

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.

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??

Your right, it's a negative development for those who thought Parq might produce significant value to Dundee. It's a positive for those like me who had already given up on that and just want to see them contribute less cash and get out of it.

It's good to have someone else contributing capital and shouldering part of the risk. But we don't know the terms of the loan. It could be quite extortionate. But I agree it's a modest positive.

I agree. If you are going to invest in small caps you need to do your own research. I don't think I've ever bought a small cap stock that I read about anywhere else. There are plenty of ignored ones, and that is where the really great opportunities are.

I think everything flammable has already burned, so we are probably safe on that score.