Telesystems Wireless (TIW.TO/TIWI)

Looks like Telesystems Wireless is getting one step closer towards making first liquidation distribution. The value of the Toronto traded stock was highlighted as having a value of around Can $ 19.90-20.00., and now still trading at 19.40. Supposedly the first distribution to be made will be to the tune of Can $18.80. Thus could be a nice return of capital in a very short time frame.

On the US security (trading under TIWI), things become a bit more complicated due to currency transaction (company and assets are really in canadian dollars, not US). Nevertheless mabye value of the assets can be translated into US $16.35-16.50 per share. And paper trading at 16.10 or so. Seems like similar liquidation upside in the US shares as in Canadian ones.

Needless to say when we first looked at this in late July, the US stock traded at 15.90.. the canadian stock traded at the same Can $ 19.40. We noted at the time that the translation of Can $ into US $ favored an investmetn in the US assets given undervaluation.

The 20 cent upward movement since in TIWI seem to have given us right. the canadian stock has not moved anywhere.