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Fly News Breaks for April 25, 2017
EQS, MVC
Apr 25, 2017 | 07:39 EDT
After MVC's (MVC) largest portfolio company, U.S. Gas & Electric agreed to sell itself to Equus (EQS),in which MVC has a 33% stake,, JMP Securities analyst Christopher York says that the deal could encourage some investors and cause potential buyers of U.S. Gas to resume talks on a deal. Additionally, the analyst notes that the deal provides MVC with revenue through dividends and could enable MVC to liquidate its stakes in U.S. gas and Equus. The analyst believes that such a transaction, in turn, would enable MVC to raise its dividend and/or increase the value of its shares. He placed his rating on MVC under review in the wake of the deal.
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