AW.UN

The situation has changed quite a bit for A&W if this deal goes through. It goes from a defensive top line royalty company in which it solely benefits off the revenue growth off the underlying restaurants to a company that is fully exposed to input costs, staffing costs, taxes, etc of the restaurants.

Ultimately, A&W is a pretty well run franchise so I am bullish on this to a certain extent but I also need to see some detailed financials of the underlying restaurants and how they've performed.

Regardles, it is a big premium to Friday's closing price, highlighting how discounted this company was. For those who were patient and accumulated at lower levels, it's a nice payday. As the deal gets more concrete and more news comes out, I'd expect AW.UN to trickle closer to that $37 payout price.

It will likely be removed from the Bull List, and if we like what we see in the new structure, we will add it back on as the new corporation.