the story so far, page-14

Hi Pelm,

just in response to:

"Interesting piece of this part "an acceptable settlement had been reached" As per the next paragraph. "the restructuring of priorities between existing securities".. What that means is just a guess, at the moment all securities are equal I thought ??

Is it something to do with the unquoted options.. there are about 48 million of them..

Maybe as I wrote before "some" are being changed to non voting."


I think you are confusing their use of the word "securities" with shares/options etc. I think the "securities" being referred to are securities over PLVs assets in exchange for loans (i.e. the assets are being used as security to obtain a mortgage). We know PLV are in te process of obtaining a $24m loan, presumably the financier wants security for that loan. ICA is already a secured creditor. Usually there are tiers of creditors such that in the event of liquidation the creditors are paid back in order of importance. My guess is that there was some tussling over who's debt was ranked above whose.