Topic: How To Invest

Q: Dear Pat: I would appreciate TSI’s advice on Superior Plus Corp. Thank you.

Article Excerpt

A: Superior Plus Corp., $11.36, symbol SPB on Toronto (Shares outstanding: 142.6 million; Market cap: $1.7 billion; www.superiorplus.com), distributes propane in Canada and the U.S. It also produces and distributes specialty chemicals, including sodium chlorate and chlor-alkali, which are used for bleaching pulp (wood fibres). The company’s propane business operates under the Superior Propane name in Canada and the Superior Plus Energy Services name in the Northeastern U.S. Overall, those operations account for 77% of the company’s revenue. Superior’s specialty chemicals business has eight production facilities in North America and one in Chile. Those operations account for 23% of overall revenue. Superior is the world’s second-largest producer of sodium chlorate. The company had a third business segment—its Construction Products Distribution operations—until August 2016. It then sold it for $325 million U.S. That business distributes drywall and other construction materials. Superior used the proceeds of the sale to pay down its debt. On March 1, 2017, the company announced it would spend $434.8 million…