I note that there have been no corrections to my assessment and a lot of positive comment. I assume that means you think I am not missing something here?
It does seem too good to be true, but I can see the value for Luxinvest.
THE FOLLOWING IS ALL SPECULATION ON MY BEHALF.
My guess is that they saw the Secured notes as a big hurdle, holding the company back. They'll end up owning about half of the whole thing, a much stronger company than it would be without their investment and a much stronger company without the secured notes hanging over our heads. They probably said "we'll only invest if you sort out the secured notes". Then the company probably said to ASOF "we can only get investment if you help us out with the securecd notes". The ASOF vultures probably first said "stick it", which is why this deal took so long (i.e. and why it has been so long since we've heard from the company). Eventually, ASOF realised it was essential to do a deal or the whole thing would fold, so they did the best deal they could do for themselves, which was this one. This means we've now got a gorilla on our (shareholders) side, Luxinvest.
This is all my opinion and 100% guess work based around what I have read by informed and uninformed sources.
MST Price at posting:
0.2¢ Sentiment: LT Buy Disclosure: Held
