Last time I made a statement let me turn it into a Questions. MT K is this big unknown as far as what they are planning to do. they have the ability to sell more stock than typically trades in a Week very Quickly. Though I know little about TA it seems to me a penny stock with a single holder that wants to recover cash from what so far has been a poor investment cash makes TA of limited value.
Poor investment When MTK did this deal other REE companies were paying 5 to 6% interest. Mt K provided funds at a very low rate expecting a nice gain on warrants for stock. Since then they collected the interest for about 2.5 years. For the last 1.5 years it has gone into restricted cash not MtK or been deferred with no interest till 2020. With the recent price rise, Both sets of Warrants. and conversion price being lowed to 10C there is the possibility that this will be one of the best deals they ever did. Looking only back in time this has been a very bad deal for MT K
Always know when you have little to contribute you go after spelling and grammar to fill in the gaps. So your first point is I misspelled bond, Interesting. Fortress never realy took over MT K they did a partial merge of some funds all unspecified and contributed 175M because the MtK funds werehaving serious withdrawals and they could not meet the withdrawal rate. You do not seem to get funds be they simple mutual funds or Private hedge funds. The managing company does not own the assets. The fund owners own the assets. The fund company just manages the assets and collects some very nice fees. In case of private hedge funds the fees are large even when they lose. When Two fund companies merge they cannot merge funds. They may chose to liquidate one and give share holders of that fund a discount in purchasing another. Some times this can even be done without tax liabilities. Depending how they are set up many funds cannot even vote the shares they hold. I like the way you bundled the mount K funds and made it all one. there were four separate funds with in MTK the management company
– Mount Kellett Capital Partners (Ireland) II Limited 138,238,006
– Lantau Overseas Master Fund II LP 4,572,282
–Lantau Overseas Master Fund II-A LP 3,151,876
–Vista Asset Funding (Ireland) Limited 4,037,836
When Mt K had their home page up you could see objective for each fund and what the requirements were to invest in them. MTK did not provide the $225M to Lynas the owners of the funds bought shares in funds and the funds provided the money. MTK is only the manager.
Comment on – Mount Kellett Capital Partners (Ireland). This is a partnership! Partnerships are usually set up by the general partners who each put in Cash. They then invite in many limited partners who individually put in much smaller amounts but collectively much more than general partners. Limited partners get no vote. If things go bad the general partners do ok the losses are born by limited partners. Funny thing about owning something with no say in how it is managed.
You also bundled the other three holders Fortress is
– FCCD Limited 17,500,000
– FCCO DAC 7,500,000
Again these are private funds.
People can look up the rest they are all there.
LYC Price at posting:
12.0¢ Sentiment: Hold Disclosure: Held
(20min delay)