Choclit - The existing debt facility was too arduous, requiring large amounts paid back quickly and this was choking TAP. There was a previous press article stating that TAPs rating recommendation had been reduced to "sell" for this reason! Hence killing off any institutional investment interest and leaving the field wide open playing into the hands of the opportunist (Risco).
The new debt facility with Macquarie Bank was supposed to free up and defer the pay back obligations until late 2016. This is what I'm waiting to be confirmed, as this combined with the lower debt level should eliminate previous negative comment and re position Tap as a "hold" or buy "option"
Tap could then be marketed as a company with reduced risk and sound fundamentals going forward.
Unfortunately they still have CY is creating a bad smell in the back ground, Gee that pisses me off.
TAP Price at posting:
24.5¢ Sentiment: Hold Disclosure: Held
