How'd you like to invest in a company and triple your return in four years? It takes money to make money, and it looks like Toronto's Onex Corp. might be close to a big payday for its stake in Husky Injection Molding Systems Ltd. Boyd Erman breaks down the numbers in his Streetwise Blog on the Toronto Globe & Mail's web site. According to Erman, if the proposed $2 billion deal with Berkshire Partners LLC takes place, Onex will roughly triple the $620 million that it invested in Husky in 2007. Sounds nice -- and consider that when the deal closed in 2007, that was right when the global credit market went into a tailspin, and it was just prior to when the worldwide plastics machinery market hit bottom. Check the link for his math -- there are debts and dividends involved, but it's not too complicated. Not many investors were willing to jump into the plastics machinery sector in 2007. It's great news for the market that Onex's investment appears to have paid off.
Can Onex triple its investment in Husky?
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