SGH is a mess - what a disappointment, page-24

Assuming that a DFE does in factor proceed which likely would result in the Banks then owning anywhere between 85 - 90% of the total equity on issue, My thoughts would be - $1.00. This however would be following a (minimum) 10:1 share consolidation, if not something closer to a 15:1 consolidation, in order to bring the (post consolidated) share spread back to around 200 - 250M shares. That would put the pre-consolidation value at somewhere between 6.7c - 10c. More seriously however, in order to get any type of DFE away will surely take SGH into teh realm of having 2B - 3B shares on issue which in itself would be a killer punch to the brand /reputation.

So, almost as quick as they would be doing any type of DFE, they would then be trying to then undertake the parallel share consolidation. In doing so, this would virtually wipe out 99% of shareholders except or unless, if at the same time, as doing the share consolidation, they then did an underwritten share top-up.

No matter which way this goes, for those proponents of a DFE, about the only way in which this is likely to then succeed is with the following sequence - DFE, share consolidation, share top up /underwritten.