spp price. discuss, page-4

It's interesting that USD 20m in debt funding was provided to AWD on the back of pretty questionable reserves located in a place with astronomical soveriegn risk issues (not speaking badly about Ukraine but the fact that Russia mucks around with that country would put most financiers off backing projects in that part of the world).

This is the sort of debt funding I was talking about a while back. I agree with ComeonAussie when he was saying traditional debt would not work for AKK at this stage (by traditional funding I assume he was talking about non-recourse project finance) however some form of Mezzanine debt for USD 5.0m would be a bit of a no-brainer. Anyway, what would I know? This is why I am pretty dissapointed with the management trotting out the issue of shares and a SPP to raise capital. A pretty soft option and from what I can tell very poorly executed (I heard RBS was in the mix doing this deal). A smarter move would have been going to any number of mez debt players in the states and tapping them for a debt facility. Anyway ... what's done is done - although if the SPP is unsuccessful that will probably make Mez debt very difficult (why would a debt provider back a company that the shareholders were not prepared to back with the SPP)?