Capital Power (CPX-T)

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JaydoubleU
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Capital Power (CPX-T)

Post by JaydoubleU »

I just noticed this company for the first time. It was incorporated on May 1, 2009. Trading at $19.22, well under the IPO of $23.00 Sports a yield of 6.6%. Anyone know anything about CPX?
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Post by retireat50 »

This was formerly Epcor. Epcor spun out some of its assets as CPX. I believe their main power generating station amongst other things.
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Post by Peculiar_Investor »

retireat50 wrote:This was formerly Epcor. Epcor spun out some of its assets as CPX. I believe their main power generating station amongst other things.
The timeline of their history can be found on their website, see http://www.capitalpowercorp.com/About/P ... eline.aspx
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Post by Peculiar_Investor »

More information can be found in their Q2/09 Interim Management Discussion and Analysis. Specifically,
Creation of Capital Power
On May 8, 2009, EPCOR announced its plans to create Capital Power, a power generation company permanently headquartered in Edmonton, Alberta. On July 9, 2009, Capital Power issued 21,750,000 common shares at $23.00 per share pursuant to its initial public offering (IPO). The proceeds from the IPO net of issue costs were approximately $475 million, of which $468 million was used to purchase an approximate 27.8% equity interest in Capital Power L.P. (CPLP). CPLP purchased substantially all of the power generation assets of EPCOR in early July 2009 through the following series of transactions
I don't know anything further about the company.
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Post by JaydoubleU »

Thanks. I looked at their homepage.

I must not have been paying much attention: CPX calls itself "one of Canada's largest Independent Power Producers," and I'd never heard of it until today :? But with a market cap of only 1.5 billion, one of Canada's largest independent power producers ain't that noticeable.
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Post by scomac »

JaydoubleU wrote:Thanks. I looked at their homepage.

I must not have been paying much attention: CPX calls itself "one of Canada's largest Independent Power Producers," and I'd never heard of it until today :?
That's because they keep changing the name. Buggers; this is the old TransCanada Power assets that was originally spun off about 10 years ago.
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Re: Capital Power (CPX-T)

Post by Shakespeare »

That's because they keep changing the name. Buggers; this is the old TransCanada Power assets that was originally spun off about 10 years ago.
I don't think this is Trans Canada Power. Rather, it's Edmonton Power (EPCOR), which used to (and still might) have a NOX-generating (orange smoke - NO2) gas power plant on the North Saskatchewan next to the Low Level Bridge.

Anyway, it's a JAJO that I just added to http://www.finiki.org/index.php?title=Canadian_stocks .
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Re: Capital Power (CPX-T)

Post by scomac »

Shakespeare wrote:
That's because they keep changing the name. Buggers; this is the old TransCanada Power assets that was originally spun off about 10 years ago.
I don't think this is Trans Canada Power. Rather, it's Edmonton Power (EPCOR).
One in the same, Shakes. I used to own it; Trans Canada Power became Epcor and has now become Capital Power.
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Re: Capital Power (CPX-T)

Post by Shakespeare »

scomac wrote:
Shakespeare wrote:
That's because they keep changing the name. Buggers; this is the old TransCanada Power assets that was originally spun off about 10 years ago.
I don't think this is Trans Canada Power. Rather, it's Edmonton Power (EPCOR).
One in the same, Shakes. I used to own it; Trans Canada Power became Epcor and has now become Capital Power.
Epcor is Edmonton Power. Edmonton ran its own utility - I used to live there. They might have bought Trans Canada Power, which was split off from TRP IIRC.
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Re: Capital Power (CPX-T)

Post by George$ »

Shakespeare wrote:....
Anyway, it's a JAJO that I just added to http://www.finiki.org/index.php?title=Canadian_stocks .
Just to say: " thank you", - to Shakes and all the other contributors to Wiki-finiki who are making it the excellent public resource it is. :thumbsup:
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Re: Capital Power (CPX-T)

Post by Webber22 »

You can pick this up commission free at underwriters TD and BMO. Epcor is selling $200M worth of Capital Power shares. If the price falls below the 23.55 offering, I think I'll pick some up more tomorrow. Any opinions on this stock?

http://www.edmontonjournal.com/business ... story.html
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Re: Capital Power (CPX-T)

Post by Shakespeare »

Still open at RBCDI. 100 into my LIF.
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Re: Capital Power (CPX-T)

Post by adrian2 »

Shakespeare wrote:Still open at RBCDI.
In my experience, any new/secondary offerings which are not gobbled up "instantly" are not such a good deal. YMMV.
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Re: Capital Power (CPX-T)

Post by Shakespeare »

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Re: Capital Power (CPX-T)

Post by Shakespeare »

CPX offering now closed at RBCDI.
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Re: Capital Power (CPX-T)

Post by Shakespeare »

My 100 did not get assigned, so I bought 100 on the market.
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Re: Capital Power (CPX-T)

Post by Shine »

Shakespeare wrote:My 100 did not get assigned, so I bought 100 on the market.

Don't understand what you mean by " did not get assigned"; would you elaborate please?
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Re: Capital Power (CPX-T)

Post by Shakespeare »

I put in an "expression of interest" for 100 Tuesday night. These are filled first come, first served until the allotment to the broker is reached. The allotment was reached before my order was filled so I got assigned zero stocks.
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Re: Capital Power (CPX-T)

Post by Shine »

I put in an "expression of interest" for 100 Tuesday night. These are filled first come, first served until the allotment to the broker is reached. The allotment was reached before my order was filled so I got assigned zero stocks.
How does one put in such an expression of interest at a discount broker? I assume this is for new issues by a company and this is other than a low ball bid.

Thanks
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Re: Capital Power (CPX-T)

Post by Shakespeare »

You go into their IPO section and click the appropriate buttons.
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Re: Capital Power (CPX-T)

Post by Shine »

Shakespeare wrote:You go into their IPO section and click the appropriate buttons.

Thank you.
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Re: Capital Power (CPX-T)

Post by Shakespeare »

Stock to Watch: Capital Power may be takeover target - The Globe and Mail
It’s a signal that there is a reasonable potential that this [company] gets taken out,” and it could even happen as early as the next month or two, suggested John Stephenson, a portfolio manager with First Asset Investment Management Inc. He sees potential suitors in names like Fortis Inc., Emera Inc., Northland Power Inc., Algonquin Power & Utilities Corp. or even TranCanada Corp. looking to diversify into power production.
I have a small holding but to not consider it a core stock.
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Re: Capital Power (CPX-T)

Post by mpav »

If TRP picks them up it would be a full circle as they were the ones that originally spun off the asset.
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Re: Capital Power (CPX-T)

Post by 2 yen »

Having another look at this one again.

Some questions:

I see on the website that natural gas is the main fuel for electricity generation. How do changing natural gas prices affect a company like this? This is the only really big question mark I can see - in terms of cost inputs. Thoughts?

Also, if I buy, do I sector allocate the shares to "utilities" or is it considered something else because of its variety of electricity sources? CPX also has a fair number of contracted power generation arrangements along with wholly owned facilities. Does this fact influence how I should view the company for sector allocation?

Finally, if CPX gets bought out by a firm like Fortis, which I own, how would that scenario play out in my portfolio?

Thanks.
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Re: Capital Power (CPX-T)

Post by Taggart »

2yen wrote:
Also, if I buy, do I sector allocate the shares to "utilities" or is it considered something else because of its variety of electricity sources?
Standard & Poors has Capital Power listed under the utilities sector.
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