I tried to dig down and estimate a cost of the expansion but could only make a rough estimate however it came in a fair bit lower than $10m. How did you arrive at that number?
In any event, I think it is likely they’ll pull back on the current dividend of ~$1.5m a year for a time whilst their free cash flow is hampered by capex. Whilst not silly, this would shake out a lot of shareholders and might bring this to true value.
KOV Price at posting:
$2.25 Sentiment: None Disclosure: Not Held
