(Editors' Note: Extendicare trades on the Toronto Stock Exchange under the symbol EXE.TO, with ~$CAD 900K average daily volume).
The rationale for investing in Extendicare (OTCPK:EXETF) is quite straight forward - its sum of parts valuation indicates 50%-150% upside from the current prices. The parts I am referring to are company's Canadian and US operations of senior care / skilled nursing facilities. As I will show later the market is currently attaching almost no value to the US business, which is actually twice bigger than the Canadian one and has significant hidden real estate value.
The management clearly sees this undervaluation by the market and has announced intention to separate Canadian and US businesses either through...
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