truth or fiction, page-20

The 77% holding under HSBC noms is held by one fund in the UK . Clearly they have agreed to the amended terms already. By increasing the conversion ratio to 3 to 1 , AZZ has added some optionality into the notes in that they are currently a debt instrument given no one would convert one note to 1 share for $2 .By effectively lowering the strike price to 66.6666, they give the note holders the option to convert the debt into equity should the price move higher than the strike price. With the stock trading at 43c , I would be ecstatic for an institution to take $14m worth of stock at 67c. For a start , my position would be 50% higher than it is today. What's going to happen IMO, is they will sell this asset , pay out Macquarie , but keep facility and end up with $200m, no debt because notes will be converted when price hits 70-80c, have $200m facility at their disposal from mac bank and the ability to issue $100m of notes to a party that has copped 10%p.a. On their previous investment and are now a very happy substantial owner of the stock. AZZwould then have a $500m war chest at their disposal to by a transformational asset and be fully funded for its development that will see the share price hit $2 12mnths after acquiring the new asset.Fairytale? Perhaps but everyone is entitled to their own opinion. I note late announcement Friday that Shroders Investment Management Australia have increased their holding from 19.5m to 24.4m shares, so not everyone shares the conspiracy theories some hold on this thread.