START A PETITION 27,000,000 members: the world's largest community for good
START A PETITION
x
Oct 14, 2013

OCI Resource’s IPO is expected to hit the market by the end of the week and analysts at The Lexington Group are giving it a buy rating.  The company has a strong customer base, experienced management, and substantial mineral reserves.

OCI Resources is an American soda ash production division of Korea's OCI Chemical.  They are planning to rise to $100 million by offering 5 million shares in a price range of $19 to $21.  As $20 a share OCI Resources would have a market value of $400 million.  Citi Group, Goldman Sachs, Barclays and Credit Suisse are underwriting the IPO which is expected to be listed on the stock exchange on Friday, September 13. 

While OCI Resources is a new company, their predecessor had been in business since 1962.  OCI Chemical, the parent company, has a long history of strong operations, causing The Lexington Group analysts to believe that the company will continue to be stable.  Analysts at The Lexington Group have identified the company's strong management team, stable long lasting customer relationships and the cost advantage of producing soda ash from trona as well as offering $0.50 dividend per quarter as making it a suitable investment for our clients who are looking for significant yield in this low interest rate environment. 

A risk with many mining companies is that their mine will eventually run dry, but this is not the case with OCIR.  They have proven that there enough trona reserves in the ground to substantial the company for another 33 years with an additional probable reserve to last another 35 years.  The demand for soda ash is expected to increase 5% per year through 2017.

OCIR stable customer base of glass and chemical manufacturers, their substantial mineral reserves, solid management team, and projected 10% annual yield make the company a strong buy in their projected price range according to The Lexington Group's analysts.  We are recommending it to clients who can handle some risk, which come inherit with IPOs and are looking for substantial dividends.   

Visibility: Everyone
Posted: Monday October 14, 2013, 6:05 pm
Tags: group at in the weeks only resources contact lexington position IPO targets Analysts oci thelexingtongroup.com 81345209601 [add/edit tags]

Group Discussions
Comments
Or, log in with your
Facebook account:

Author

Lexington Group
male, age 28,
Japan
LEXINGTON'S SHARES
Oct
25
(0 comments  |  discussions )
\nAnalysts at The Lexington Group think that the tech sector will outperform the overall market for the rest of the year.  They are recommending Apple, IBM, Qualcomm, and Seagate.\r\nAnalysts at The Lexington Group believe that technology sector is ...
Oct
17
(0 comments  |  discussions )
\nLast year The Lexington Group invested in a number of American air carriers, which paid off as the sector has significantly outperformed the S&P 500, they expect the trend to continue and for the share prices to keep rising.\r\nIn December of 2012 ...
Oct
11
(0 comments  |  discussions )
\nAnalysts at The Lexington Group predict gold to rally strongly in the second half of 2013. Citing a variety of factors including military intervention in the Middle East, quantitative easing, and increased consumption.\r\nGold has been one of the worst...


SHARES FROM LEXINGTON'S NETWORK
No shares


MORE MEMBER BLOGS
Mar 31
Blog: How to Extend the Life of your TRIAD Boilers by Kayleigh L.
(0 comments  |  discussions ) — \\nHow to Extend the Life of your TRIAD Boilers \\r\\n \\r\\nCorlis Engine Review\\r\\nEvery user desires to prolong the life of a unit. TRIAD assists their clients in achieving this important objective by informing them of ways they can avoid problems... more
Feb 27
Blog: Dr Oz Weight Loss - The 100% Natural And Very Efficient Diet Pill by Debra S.
(0 comments  |  discussions ) — \\nYes, Dr. Oz called Garcinia Cambogia Extract (HCA) the Holy Grail of Weight Loss. He went on to say, “Anytime I see a scientist get this excited about something like Garcinia Cambogia Extract and when I looked through some of this research and... more
Blog: My Favorite Websites by krysta I.
(0 comments  |  discussions ) — \\nIFAW: www.ifaw.org\\r\\nOCEANA www.oceana.org\\r\\nPETA: www.peta.org\\r\\nEARTH 911: www.earth911.org\\r\\nANI MALs ASIA: www.animalsasia.org\\r\\n \\r\\n\\r\\n\\n more
Feb 21
Blog: testing one two three by Geoff M.
(0 comments  |  discussions ) — hello world more
Blog: Garcinia Cambogia Reviews From Actual People Garcinia Pure Extract Is A Huge Success February 20 by Dany M.
(0 comments  |  0 discussions ) — \\nGarcinia Cambogia Reviews From Actual People Garcinia Pure Extract Is A Huge Success February 20\\r\\nGarcinia Cambogia System The Dr. Oz Lose Weight Quick Process Without Having Side Effects\\r\\nHe went on to say, “At any time I see a researcher... more
 
Content and comments expressed here are the opinions of Care2 users and not necessarily that of Care2.com or its affiliates.