Wellard - Macro Tailwinds, page-70

At June 2023 vessels had a net book value of around US$33m. I'd conservatively guess the distribution would be 2/3 ; 1/3 Ocean Drover; Ocean Ute respectively. The announcement is looking to distribute nigh 100% of net proceeds which suggests no real tax impacts. Regardless, WLD has plenty of tax losses (income and capital) so no tax cash flow impact from sale/s

It's certainly positive that the Ute has been sold (note contract is binding) for much more than 'scrap' ...

With this in mind, you could put a case that the Drover is worth at least US$22m if they can secure title. As noted in the last annual report, you'd need to have a view as to how hopelessly sunk Ruchira was as to how much of Ocean Drover the liquidator needs to recover ... I'm thinking maybe something between fair value and WLD's net book value is being discussed.

If I'm half right then WLD's liqiud balance sheet looks like :
Ute proceeds (net ) US$11m
Drover proceeds (net) US$22m
Cattle settlement (net, but not really confident) US$5m
Total US$28m. (~A$42m)

Last nights closing market cap A$20m... a small difference. Nonetheless, a far cry from where I had hoped it might be trading and I doubt anyone other than holders will attach any value to the Drover.

There's probably something left in the bank from trading but I'm sure it will eventually fall down behind the couch of Corporate Administration. Interestingly, the fact they are distributing the sale proceeds it suggests they don't want it in the future.

Have a great day