We expect the stock to trade lower tomorrow as results were modestly behind consensus and the reduced credit facility ($195 mm to $50 mm) is likely to take some investors by surprise. However, we believe the reduction of the facility should be viewed positively in the context that Western now has access to its facility due to relaxed covenants (which it did not before), will save $1.5 mm annually due to reduced costs and is unlikely to require borrowings for the duration of our forecast. We woul ....
28 Apr 2016
1Q16 RESULTS AND REVISED CREDIT FACILITY
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1Q16 RESULTS AND REVISED CREDIT FACILITY
Western Energy Services Corp. (WRG:TSE) | 0 0 (-5.1%) | Mkt Cap: 103.2m
- Published:
28 Apr 2016 -
Author:
Ian B. Gillies -
Pages:
4
We expect the stock to trade lower tomorrow as results were modestly behind consensus and the reduced credit facility ($195 mm to $50 mm) is likely to take some investors by surprise. However, we believe the reduction of the facility should be viewed positively in the context that Western now has access to its facility due to relaxed covenants (which it did not before), will save $1.5 mm annually due to reduced costs and is unlikely to require borrowings for the duration of our forecast. We woul ....