Diversified Royalty (DIV-T) a successor to Benev Capital, has seven buy recommendations.
Diversified hit an all-time high this week. In mid-2014, Benev was under siege from Difference Capital. Difference bought enough shares (28 per cent) to give it the control block in Benev.
A couple of weeks after the board approved a $103-million acquisition of a "top line" royalty interest in Franworks Franchise, Difference, which wanted to convert Benev to an early stage merchant bank, sold its shares through a $22-million transaction.
Out of that fracas, came Diversified. At the time, Diversified also completed a private placement at $1.66 a share and a public financing at $2.40 a share. The shares closed Wednesday at $3.15. It has been a good story for shareholders, given the share price appreciation and the regular monthly dividend, says Diversified chief executive officer Sean Morrison. He says, "We generate about $27-million of revenue, about $24-million of EBITDA and pay out about $23-million in dividends." |
