CA - Chemtrade Logistics Offers A 7.2% Yield With A 48% Payout Ratio
2024-06-29 11:40:00 ET
Summary
- Chemtrade Logistics focuses on sulfur and water chemicals and electrochemicals.
- Q1 results show a decrease in revenue but strong distributable cash flow and manageable payout ratio.
- Series H convertible debentures offer a 7% yield with potential for conversion if the share price increases.
Introduction
I have a substantial long position in a convertible debenture issued by Chemtrade Logistics ( OTC:CGIFF ) ( CHE.UN:CA ), a company focusing on two specific divisions: S ulfur and water chemicals and electrochemicals. I don’t mind being a creditor of a strong company, but I definitely plan to follow up on my investments at least once per quarter to make sure I have nothing to worry about....
Chemtrade Logistics Offers A 7.2% Yield With A 48% Payout Ratio