The Investment Doctor
Long/short equity, value, debt, base metals

Why Awilco Is Not A Slam-Dunk Investment

Introduction

This article is a reaction to the Alpha-Rich article of Mr. Harry Long on Awilco (OTCPK:AWLCF). In his article, Mr. Long claims Awilco is 'the most undervalued company in the world', which makes it very interesting to have a closer look at ALL aspects of the company and not just the positive takeaways. I have been a shareholder in Awilco even before the company was listed on the OTC exchange, and sold my shares last Friday. In this article I'll also highlight the negative sides of distributing all free cash flow to the shareholders.

Awilco is currently operating two rigs in the North Sea, which it was able to acquire after competitor Transocean (NYSE:RIG) had...

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