Not sure I understandSale of 62.5% of the Clark lease to...

Not sure I understand

Sale of 62.5% of the Clark lease to investors for USD10m......it then says Site will retain 37.5% of SGH

It then says that Site will repay Punta (the USD 6m) with an equity issuance in SGH of 32.5%

Does that mean that Site shareholders end up with 5% of SGH? So shareholders have 'sold' the lease for ~USD16m effectively

This SEEMS like asset stripping of Site by connected parties (executives & a major shareholder) with little upside for Site shareholders.

Looking at the Dec21 accounts:
- Current trade payables of ~7.6m
- Non Current trade payables of ~5.6m (this seems to be related to commissions payable if DET pay Site)
- Loan of ~9.6m (Punta & Armada)

So the business will get ~AUD13.5m (USD10m) to extinguish the trade payables and the loan and end up with ~AUD3.5m in Cash, 5% stake in Clark and the training business (not profitable)

This agreement seems much much worse than what was proposed in Aug (~USD12m for 51% of SGH).......that arrangement valued clark at ~USD23.5m while this is ~USD16m.....hence my comment