Quinsam Capital Corp

Good morning everyone and welcome to the second quarter conference call for Quinsom.

I'm going to assume that everybody's seen and read the press release, so I'm not going to sort of reiterate what's in the press release. We had an okay second quarter, we made some money, we retired a few more shares, which helps to tighten up the float. Not a great deal of activity on the buy side or the sell side. We have some cash ready to deploy. We have an increasing proportion of assets in the liquid portfolio, which is the goal. And we expect to see some nice moves there in the coming quarter with the expected listing of the Peninsula Capital. So, you know, the third quarter, I would say, is off to a positive, modestly positive start. We've seen some improvements in EDM resources again, in Bluemetric, in Reflex. Reflex has actually had a very nice move. It's not a big position, but it's had a very, very nice move. with nothing in particular on the negative side. So if I were to guess today, I guess we're up another 0.2 or 0.3 cents as of today. But the key factor for Q3 is going to be the listing of Peninsula Capital. It's something we've been in for quite a long time. We have a very low cost base relative to asset value and recent financings. This is the United States single family home rental business. They own a very large portfolio of single family homes, mostly in sort of the US Northwest, Buffalo, Rochester, Cleveland, places like this, the typical kind of former Rust Belt type communities where houses were available very cheaply with very nice rental economics. So that's looking to list. We thought it was going to be August. It looks like maybe it's going to be pushed to September. We expect them to come out with a dividend and an NAV of around $2.00. So the key question is going to be where it trades. That is, I think, quite unpredictable. We're carrying it at $1.45. So the thing to watch is going to be where that quote ends up relative to the $1.45. I'm hoping that it can do that or better, but it's definitely potentially going to trade below NAV because it is a situation where it's been private for a long time and they're probably sellers. The key question is what the buying side of the equation looks like. However, the asset value is strong. It's a great business. It has a yield coming out of the gate, we're led to believe. So we're quite confident in it as a holding. It will move close to two cents from the private portfolio to the public portfolio. So it's quite a big factor in that. Otherwise, we've got a few other much less important privates looking to list. A company called Pelican AI, which we've been in for quite a while. It was supposed to have listed some time ago. I think it's finally going to trade in Q3. That one wasn't a big investment. It should be a win. We have another one that's announced, Longview Gold. Again, it's not a big investment, so it's not going to move the needle very much. That's probably Q4. And a company called Bond Intelligence, which was a little bit bigger investment at around $250,000. That one, hoping for Q4. I'd say it's not certain it's Q4, but hopefully Q4. Those three we expect all to be on the positive side as far as impact on NAV is concerned. So that's, in a nutshell, the Q3 outlook. I'd say in terms of significant transaction, I would not say at this point that anything is imminent. One company that we had been having some discussions with is the Bond Intelligence that has decided to go with a kind of a conventional a shell with you know very few assets and you know that one didn't work out we didn't really get terribly far with them but it was a business that you know we feel quite good about and It's Go Public just as an aside It's Go Public has been announced at twice the valuation that we paid on that $250,000. So assuming it successfully does that raise, we would expect it to trade there or better. It's been doing quite nicely. So I would say that's the Q3 outlook.

Q2, there weren't too, too many developments.