McElvaine Value Fund on Aimia Inc.
Thesis
Aimia is an owner-managed holding company controlled by Rhys Summerton that owns Cortland, a producer of high-performance synthetic ropes, and a minority interest in Chinese outdoor advertising company Clear Media. The company also carries more than C$1 billion of tax losses that may provide future value. During 2026, Aimia sold specialty chemicals business Bozzetto for approximately C$268 million and used part of the proceeds to repay most of its expensive 9.75% notes. This left the company with approximately C$170 million of net cash by early July and materially improved its financial position. Management has also continued repurchasing shares while the stock price has barely moved, creating a disconnect between the improved balance sheet and market valuation.
“Share price has not moved.”
Key risks
- Aimia remains a holding company whose value depends on successful capital allocation and realization of value from its underlying assets.
- The share price has not responded to the improved balance sheet and asset sales, so the valuation discount may persist.