Olive Resource Capital Announces June 30, 2024 NAV of C$0.063 per Share

Rhea-AI Summary

Olive Resource Capital announces an estimated, unaudited Net Asset Value (NAV) per share of C$0.063 as of June 30, 2024. The company’s share price at the end of June was C$0.025. Despite the NAV per share decreasing by 3.7%, it outperformed the TSXV Materials Index, which fell by 10.1%. Olive’s portfolio includes investments in Black Sheep Income Corp, Guided Therapeutics, and various public and private equity investments.

In June, Olive repurchased 2,030,000 common shares under its Normal Course Issuer Bid (NCIB) and now holds 3,030,000 shares in treasury pending cancellation. Currently, Olive has 109,174,709 common shares outstanding. The NAV value is a non-GAAP financial measure, calculated as the value of total assets minus total liabilities divided by the number of outstanding shares.

Positive

• Olive's NAV per share of C$0.063 as of June 30, 2024.
• Outperformed the TSXV Materials Index, which dropped by 10.1%.
• Repurchased 2,030,000 common shares under NCIB, holding 3,030,000 shares in treasury.

Negative

• NAV per share decreased by 3.7%.

Toronto, Ontario--(Newsfile Corp. - July 8, 2024) - Olive Resource Capital Inc. (TSXV: OC) ("Olive" or the "Company") is pleased to provide investors an updated, unaudited Net Asset Value ("NAV") per share. Management has estimated the NAV of the Company at C$0.063 per share for June 30, 2024 (Table 1). At the end of June, the Company's price per share was C$0.025.

Table 1: Olive NAV Breakdown

Name	Ticker	Value	Value per Share
Black Sheep Income Corp.	Private	$1,265,936	0.012
Guided Therapeutics Inc.	Private	$386,574	0.004
Working Capital(1) and Liquid Investments(2)		$2,149,240	0.020
Other Public Equity Investments		$2,067,143	0.019
Other Private Equity Investments		$783,469	0.007
Other Merchant Banking Investments		$81,598	0.001
Total		$6,733,960	0.063

 

1. Working Capital is calculated as cash, adjusted for management's estimate for known liabilities and is subject to change with future estimates or financial reports.
2. Olive defines Liquid Investments as investments whose position can be liquidated in less than one day's average trading volume for that security.

Samuel Pelaez, the Company's President, CEO, CIO, and Director stated: "Metals prices retreated during June, consolidating the gains of the previous three months. Oil prices rebounded into the very strong seasonal period. Major resource equity benchmarks declined, tracking the moves in major commodities. The junior resource complex also declined. Olive remains well deployed into both the larger and the junior resource space as the current weakness appears to be a short-term consolidation on an otherwise strong resource market uptrend."

Derek Macpherson, Executive Chairman stated: "Despite bright spots within the portfolio, Olive's NAVPS, was down 3.7%, which compares favourably to the TSXV Materials Index (down 10.1%) and was roughly in line with the XGD Gold ETF (down 3.0%). We view this as a short term consolidation and believe that Q2/24 reporting could be a key catalyst for commodity related equities, particularly for gold and copper, as the high metal prices seen throughout the quarter are anticipated to be reflected in the reported financials."

Normal Course Issuer Bid ("NCIB")

During the month of June, the Company repurchased 2,030,000 common shares pursuant to its NCIB. As of the date of this release, the Company holds 3,030,000 common shares in treasury pending cancellation.

As of the date of this release Olive Resource Capital Inc. has 109,174,709 common shares outstanding.

Use of Non-GAAP Financial Measures:

This press release contains references to NAV or "net asset value per share" which is a non-GAAP financial measure. NAV is calculated as the value of total assets less the value of total liabilities divided by the total number of common shares outstanding as at a specific date. The term NAV does not have any standardized meaning according to GAAP and therefore may not be comparable to similar measures presented by other companies. There is no comparable GAAP financial measure presented in the Company's consolidated financial statements and thus no applicable quantitative reconciliation for such non-GAAP financial measure. The Company believes that the measure provides information useful to its shareholders in understanding the Company's performance, and may assist in the evaluation of the Company's business relative to that of its peers. This data is furnished to provide additional information and does not have any standardized meaning prescribed by GAAP. Accordingly, it should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP, and is not necessarily indicative of other metrics presented in accordance with GAAP. Existing NAV of the Company is not necessarily predictive of the Company's future performance or the NAV of the Company as at any future date.

About Olive Resource Capital Inc.:

Olive is a resource-focused merchant bank and investment company with a portfolio of publicly listed and private securities. The Company's assets consist primarily of investments in natural resource companies in all stages of development.

For further information, please contact:

Derek Macpherson, Executive Chairman at derek@olive-resource.com or by phone at (416)294-6713 or Samuel Pelaez, President, CEO & CIO at sam@olive-resource.com or by phone at (202)677-8513. Olive's website is located at www.olive-resource.com.

Neither the TSX Venture Exchange Inc. nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange Inc.) accepts responsibility for the adequacy or accuracy of this release. The TSX Venture Exchange Inc. has in no way approved nor disapproved the information contained herein.

Cautionary Note Regarding Forward-Looking Statements: This press release contains "forward-looking information" within the meaning of applicable Canadian securities laws. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, identified by words or phrases such as "believes", "anticipates", "expects", "is expected", "scheduled", "estimates", "pending", "intends", "plans", "forecasts", "targets", or "hopes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "will", "should", "might", "will be taken", or "occur" and similar expressions) are not statements of historical fact and may be forward-looking statements.

This news release includes forward-looking statements that are subject to risks and uncertainties. Forward-looking statements involve known and unknown risks, uncertainties, and other factors that could cause the actual results of Olive to be materially different from the historical results or from any future results expressed or implied by such forward-looking statements. All statements contained in this news release, other than statements of historical fact, are to be considered forward-looking. Although Olive believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to: past success or achievement does not guarantee future success; negative investment performance; downward market fluctuations; downward fluctuations in commodity prices and changes in the prices of commodities in general; uncertainties relating to the availability and costs of financing needed in the future; interest rate and exchange rate fluctuations; changes in economic and political conditions that could negatively affect certain commodity prices; an inability to predict and counteract the effects of COVID-19 on the business of the Company, including but not limited to the effects of COVID-19 on the price of commodities, capital market conditions, restriction on labour and international travel and supply chains; and those risks set out in the Company's public documents filed on SEDAR. Accordingly, readers should not place undue reliance on forward-looking information. Olive does not undertake to update any forward-looking information except in accordance with applicable securities laws.

This commentary is provided for general informational purposes only and does not constitute financial, investment, tax, legal or accounting advice nor does it constitute an offer or solicitation to buy or sell any securities referred to. The information provided in this recording has been obtained from sources believed to be reliable and is believed to be accurate at the time of publishing but we do not represent that it is accurate or complete and it should not be relied upon as such.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/215702

FAQ

What is Olive Resource Capital's estimated NAV per share for June 30, 2024?

Olive Resource Capital's estimated NAV per share for June 30, 2024, is C$0.063.

How did Olive Resource Capital's NAV performance compare to the TSXV Materials Index in June 2024?

Olive Resource Capital's NAV per share decreased by 3.7%, outperforming the TSXV Materials Index, which fell by 10.1%.

How many shares did Olive Resource Capital repurchase in June 2024?

Olive Resource Capital repurchased 2,030,000 common shares in June 2024.

What was Olive Resource Capital’s price per share at the end of June 2024?

Olive Resource Capital’s price per share was C$0.025 at the end of June 2024.

What is the total number of Olive Resource Capital’s outstanding common shares as of the latest update?

As of the latest update, Olive Resource Capital has 109,174,709 common shares outstanding.