$35 CVRR equals over 5.1 billion market cap for CVRR. That is well over $30,000 per BPD refining capacity. Most other refiners trade at $15,000-20,000 per BPD. Icahn knows this so I think it is likely that he will sell another 10-20% of CVRR out to the public and then have CVI issue a special dividend to cash out.
Or maybe he just plans on holding this forever and collecting the dividends so he doesn't really care about trading the rich current valuation of CVRR? If CVRR goes to $38+ i don't think he will be able to resist.
Where do you get $30,000 per barrel. They produced 147k bpd last 3 month in the shoulder season. For the year figure 600k bpd. Current market cap is $4800 M. I get $8,000 per BPD. Am I missing something???
I think CVRR between the two refineries has in the neighborhood of 160,000 BPD capacity. so with CVRR $5 billion market cap, that is about $30,000 per BPD. VLO MPC AND PSX are at around $12,000-$20,000. WNR is $20,000. HFC is about that. DK is under 20,000.