What I'd like is more clarity about the comment on dividends (I'm assuming we won't get this). The announcement says somewhat cryptically that the company has agreed "not to declare or pay any dividends". There is no end date on this agreement. I would assume that this commitment would run to the end of the term loans (the pack implies but does not say that this is end of FY20).
This is also predicated on SGH meeting the repayments and deleveraging at the planned rate without taking on more debt than it has already. Last half's operating cashflow was funded entirely from debt. That needs to be turned around as well.
SGH Price at posting:
50.5¢ Sentiment: Hold Disclosure: Held
