27% profits every 20 days?
This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.
- Flowserve Corp (NYSE:FLS) has agreed to acquire Velan Inc (OTC:VLNSF) in a transaction valued at approximately $245 million (C$329 million).
- Founded in Montreal in 1950, Velan is a manufacturer of industrial valves with a strong presence in the nuclear, cryogenic and defense markets. Velan is a family-controlled business with a team of 1,650 people and manufacturing facilities in nine countries.
- The deal value includes the purchase of Velan's equity for about $209 million (C$281 million) and the assumption of about $36.3 million (C$48.9 million) in outstanding gross debt as of Nov. 30, 2022.
- Flowserve will also assume Velan's $31.4 million (C$42.2 million) of cash and cash equivalents, also as of Nov. 30, 2022.
- Flowserve expects to realize approximately $20 million (C$26 million) of run-rate cost synergies within two years after close. The transaction is expected to close by the end of the second quarter of 2023.
- Flowserve expects the deal to be accretive to its adjusted EPS in the first full year following close.
- Upon completion of the transaction, Velan will become part of Flowserve's Flow Control Division (FCD) segment.
- Flowserve ended the year with approximately $435 million of cash and cash equivalents.
- Preliminary Q4 Results: Flowserve expects Q4 2022 bookings of $1.1 billion, revenues of approximately $1.0 billion (consensus $992.76 million), and Adjusted EPS of $0.59 - $0.63 (consensus $0.44).
- It expects 2023 revenue growth of 9% - 11% and adjusted EPS of $1.50 - $1.75 (consensus $1.69).
- Price Action: FLS shares are trading higher by 6.59% at $35.99 on the last check Friday.
27% profits every 20 days?
This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.
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