Press release from Marketwire
Marret Resource Corp. Releases Q1 2013 Financial Statements
Monday, May 06, 2013
Marret Resource Corp. Releases Q1 2013 Financial Statements18:36 EDT Monday, May 06, 2013
TORONTO, ONTARIO--(Marketwired - May 6, 2013) - Marret Resource Corp. (TSX:MAR) ("Marret" or the "Company") announces that it has reported a total comprehensive loss for the three months ended March 31, 2013 of $1.8 million or $0.09 per share. As of March 31, 2013, the Company had total assets of $114.0 million, liabilities of $9.2 million, shareholders' equity of $104.8million and a net asset value per share of $5.40. The financial statements along with management's discussion and analysis can be found on SEDAR (www.sedar.com) or on Marret's website (www.marret.com).
At the start of 2013, the Company's investment manager's view was cautiously optimistic that resource markets would be on an improving trend. The manager has retreated from this view and has added to the debt weighting plus some hedges. The recent declines in gold prices are considered to be a precursor of further weakness in the resource sectors and the manager considers the U.S. dollar strength and a change in the nature of China's growth as factors. China's GDP growth may not end up being as weak as many fear but attempts to transition their economy from investment (infrastructure & construction) to services and consumption will reduce their overall demand for commodities. It is expected that this will be a very long process and the market is likely overreacting but it may be several quarters before this becomes evident.
As a result of these views, the manager intends to pursue strategies that are more focused on capital preservation and income generation rather than NAV growth until there is evidence that the trend in resource equities is turning positive.
About Marret Resource Corp.
Marret Resource Corp. is focused on natural resource lending. The Company's business is primarily directed to investing in public and private debt securities of and making term loans (including bridge and mezzanine debt) to issuers in a broad range of natural resource sectors, including energy, base and precious metals and other commodities, and issuers involved in exploration and development, and may also include financing other resource‐related businesses and investing in public and private equity and quasi‐equity securities. The Company seeks to generate income mainly from its lending activities, while taking advantage of additional upside through equity participation in the companies which it finances.
Marret Asset Management Inc. is the Company's investment manager and is responsible for implementing Marret Resource Corp.'s investment strategy and managing its investment portfolio.
About Marret Asset Management Inc.
Marret Asset Management is an employee-owned firm based in Toronto led by Barry Allan which specializes in fixed income and, particularly, in high yield debt strategies.
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This news release includes certain information that may constitute "forward-looking information" under applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, the Company's investment and macroeconomic views. Forward-looking information is necessarily based upon a number of assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information. Such risks include, but are not limited to, market conditions and the other risks identified in the short form prospectus dated June 23, 2011 and the Company's annual information form, in both cases under the heading "Risk Factors". There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. All forward-looking information contained in this press release is given as of the date hereof and is based upon the opinions and estimates of management and information available to management as at the date hereof. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.
FOR FURTHER INFORMATION PLEASE CONTACT:
Marret Resource Corp.
Chief Executive Officer