What is not likely now????
Securities and Exchange Commission has advised that it has no further comments on Amendment No. 6 to the Joint Registration Statement on Form S-4.
Full steam ahead..
Blue skies, nothing blue skies is all I see.
Long and strong LINN
my numbers refer only to the dividend stream present value...you have to add the market value of the shares, too, of course.....
Your point is well taken. But, the npv is a little over 24 dollars at 10% and a little over 27.50 at 8%. Annuity calculators are readily available on the web. The calculation requires the use of monthly payments...not annual.
Anyone who doesn't take the NPV of the dividend stream into consideration is revealing their ignorance of stock valuation.
BRY longs will only be looking at the respective current share prices. Institutions aren't stupid. The deal won't happen at these share prices.
When the net present value of incremental dividend stream that BRY shareholders will receive is taken into consideration, the value of 1.25 LNCO for 1 BRY, is ~$70.
The NPV of the incremental dividend stream that they will receive over the next ten years, ($3.08 x 1.25) – 0.32, discounted by an interest rate of 10% is $21.69; at an interest rate of 0% it is $35.30.
The value of the stock value component will be worth $30 to 36 share price of LNCO x 1.25 or $37.50 to 45.00.
Add the stock price of $37.50 - 45.00 plus the NPV of the incremental dividend stream, $21.69 - 35.30, the transaction is worth $59.19 - 80.30. Split the difference and the value is ~$70.
This is how institutions and mutual funds will be looking at the deal.
Rip, I sure would appreciate you saving your questions and comments until we get this bad boy pumped to $50, if you don't mind !!! :)
At the time of the announcement of the increase in the distribution it was linked to completion of the Berry deal. Its supposed to represent the immediate accretion of the berry cash flow.
LINN Energy, LLC (NASDAQ: LINE) and LinnCo, LLC (NASDAQ: LNCO)
Month Record Date LINE / LNCO
Payable Date Payment Amount Annualized
April 2013 July 10, 2013 July 15 / 16, 2013 $0.2416 $2.90
May 2013 August 12, 2013 August 14 / 15, 2013 $0.2416 $2.90
June 2013 September 10, 2013 September 13 / 16, 2013 $0.2416 $2.90
July 2013 October 10, 2013 October 14 / 15, 2013 $0.2566 $3.08
August 2013 November 11, 2013 November 14 / 15, 2013 $0.2566 $3.08
September 2013 December 10, 2013 December 13 / 16, 2013 $0.2566 $3.08
October 2013 January 10, 2014 January 14 / 15, 2014 $0.2566 $3.08
November 2013 February 10, 2014 February 14 / 18, 2014 $0.2566 $3.08
December 2013 March 10, 2014 March 14 / 17, 2014 $0.2566 $3.08
Actually they are a month late. This was from a Linn news release dated 4/25/13. When did they rescind it?
That was not set in stone and depends on factors being positive or getting done.
Right now be happy they are able to maintain the 2.90 divi.
the longer this goes.... the more I am thinking this is somewhat of a non event. Thinking Linn already made the changes...that didn't really change the end result in the reporting process. Stay tuned.
Sentiment: Strong Buy
Wait #Swinewithwings #Itsalmostover #Itsabouttime
Management plans on hosting a conference call at a later date to discuss the Company's third quarter 2013 operational and financial results. The Company will issue a press release announcing the date and time of the third quarter call once a date has been established.
I think that statement says it all....very unusual to not have conference call date in mind. There's more news brewing me thinks.
LNCO Long and strong.