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Investment Q&A

Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.

Q: Hi 5i Team - I have sold my shares in Score but am interested in investing in a company in the same space. Am considering buying Penn and am just wondering if this would be a good strategy. Also are there any companies similar to Score that you would recommend - Canadian or U.S, any size of market cap but small and mid cap are preferred. Thanks.
Read Answer Asked by Rob on October 12, 2021
Q: Hi,

I own SCR in my TFSA account and pleased with the recent acquisition announcement. However, I am not sure if I will receive Penn shares or Exchangeco shares when the deal finally closes.

I am assuming I would receive Penn shares as tax is not a consideration while holding this security in my TFSA. Is this a correct assumption?

Also, would I have to make an election prior to the upcoming special meeting on October 12th or would 'no action' allow the process to unfold as recommended and I end up with cash and Penn shares in my TFSA.

Thank you again for your insight.
Read Answer Asked by Rob on September 30, 2021
Q: What is the "Exchangeco" company? Does it makes sense to take the option of exchangeco shares?

From the circular:

Eligible Canadian shareholders will be able to elect to receive shares of Exchangeco (“Exchangeable Shares”) in lieu of the Penn Shares to which they would otherwise be entitled. Each whole Exchangeable Share will be exchangeable for one whole Penn Share, subject to adjustment.
Read Answer Asked by Robert on September 21, 2021
Q: Greetings:
I know because it has been mentioned countless times that you are not tax experts, but perhaps you can help. When does a section 85 form need to be filed and when not? In the case of IPL, PWF, Uranium participation by Sprott Uranium Trust it is necessary, but not with score media and Penn. Perhaps it depends if it is a merger or acquisition, and what determines this. Perhaps the rules have changed in the last months. Thanks for your help.
BEN.
Read Answer Asked by BEN on September 14, 2021
Q: Hi 5i,

In response to John's question today about the takeover, could you expand on time to sell. The discount is roughly 15% in cad compared to current prices. Do you feel the takeover will face any competition or rivals? Is it worth the wait to realize discount, assuming PENN goes up by Q1 2022 projected settlement date?

Thx
Read Answer Asked by Christopher on August 05, 2021
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