In the Money: 5 Things to Know

Exclusive intel on InterRent takeout, Futures rip, Scotia misses, Temu owner tanks, Trump Media to buy crypto

Back after a self-imposed long weekend. My husband put in a near perfect term as a solo parent. With only four hours left on the clock, he heard a “pop” in his knee. Of course, I am sympathetic and grateful he was a soldier while I was away. And I am trying to remember that while in the midst of the worst form of solo parenting: where one does all the work as the other lays down all day.

Veteran investor Dennis Mitchell of Starlight Capital shares nearly 20 years of hard-earned insights into real estate investing—debunking myths, unpacking market fundamentals, and explaining why there is potential for serious upside in the REIT sector—if you have the discipline to wait. In this episode of In the Money with Amber Kanwar, Dennis lays out his investing playbook. He also comments on InterRent, which is in focus this morning on the back of a takeout. You can listen on Apple, Spotify or here.

In play: InterRent says it has agreed to a takeover led by company controlled by its Executive Chair. InterRent announced this morning a deal to sell the company for $13.55/unit to a newly formed entity that is controlled by InterRent Executive Chair Mike McGahan. The residential REIT is the best performing REIT so far in 2025 in part because it was believed to be in play, but the price may raise some eyebrows. It is only a 14% premium to the recent close. On the podcast, Dennis Mitchell of Starlight says the net asset value is around $15/unit and he wouldn’t tender his shares unless it was a premium above that. Recall, top shareholder Anson Funds has been agitating for a sale after confirming on our podcast they are the biggest shareholder. This now kicks off a 40-day go shop period in which another bidder may emerge. InterRent says a 6.5% shareholder has agreed to tender their shares, however this is not Anson Funds, which owns just under 10%. Exclusive: Anson is going to see how this plays out. While they would make money at the current offer price, they do believe there is room for a higher offer and told me they wouldn’t be surprised if someone else came in. They aren’t necessarily tendering here preferring to wait to see if another bidder emerges but haven’t ruled out accepting the current offer.

Kicking the can: Futures and bonds are ripping higher after the US postponed 50% tariffs on the EU to June 9th and Japan announced a willingness to alter its debt issuance program. Recall, bonds have been in a bit of a tizzy recently with yields screaming higher around the world. If Japan issues less debt, perhaps they will buy up US treasuries instead. That sentiment is driving yields lower this morning. While US stocks were closed for Memorial Day yesterday, the TSX surged to a fresh record high in a broad based rally. Nuclear stocks (Cameco, Denison Mines, Energy Fuels) rallied after US President Trump signed an order set to increase US nuclear capacity. This week we get earnings from Canadian banks (more on that below) and Nvidia on tomorrow.

Good news, bad news: Scotiabank missed earnings estimates in its latest quarter on higher provisions for credit losses but increased its dividend for the first time in two years. “While Scotia missed expectations, it was largely on the back of increasing allowances on performing loans as the economic outlook has admittedly deteriorated,” wrote John Aiken of Jefferies. He says the underlying results were solid with the international banking profit higher than expected and a higher capital buffer. Scotia boosted its dividend 4% after standing pat for the past two years under a new-ish CEO tasked with turning around the bank which has not reaped the rewards from all its international markets. Shares have lagged over the past two years (+22% vs +44% for the TSX Bank Index). We will get earnings from National Bank, BMO, EQB tomorrow and CIBC and Royal Bank on Thursday.

Shook: Shares of Temu owner PDD are plunging 17% after quarterly sales and profit missed expectations. The Chinese-based retailer has been warning that growth will slow, but the 10% top line growth was worse than feared. In the same quarter last year the company grew 130%. Trade tensions between China and the US are weighing on results as the US attempts to curb cheap goods coming from Chinese retailers like Temu.

Gold hands: Trump Media is soaring after the Financial Times reported the company plans to raise $3 billion to buy crypto currencies like Bitcoin. Funny response to a plan to dilute shareholders, but with Bitcoin near record highs investors are clearly more enamored with the prospect of holding crypto vs holding an interest in Truth Social.