From my reading its now a race between management cutting the debt via sales & prospective buyers like sceptre who want to take over the lot and flog off for profit the bits they don't want.
If management wins the race - we'll see around 2 bil knocked off the debt which will see any chance of an S&P downgrade muted for the foreseeable future - once the debt is not an issue then the sp re-rates as the market then focuses on what Santos has and what the future will hold in regards revenue - the big scare wasn't so much the poo as it was the debt but the lower poo made servicing the debt harder..and the threat of a future downgrade like what happened to Origin who felt compelled to CR at a low point..
My money is on STO management winning this battle - they only need to shave something around $1.5-2 bil off the debt and projected revenues will take care of the rest going forward. If they keep say 10% of the png lng that's good - if they keep all of their glng operation that's good - if they sell off Asia and WA & some of png lng then they might raise $2bil to $3bil the market will like it especially 3 bil and they won't need to do a CR so that threat would be gone as well and it will re-rate then the likes of sceptre will be looking at a Santos SP of well North of $7 and that will mean they will need to offer even more to make it attractive.
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$7.89 |
Change
-0.030(0.38%) |
Mkt cap ! $25.62B |
Open | High | Low | Value | Volume |
$7.87 | $7.94 | $7.86 | $44.13M | 5.590M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
3 | 25085 | $7.88 |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
$7.89 | 39733 | 1 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
3 | 4415 | 7.870 |
1 | 1600 | 7.860 |
11 | 158039 | 7.850 |
4 | 17868 | 7.840 |
1 | 20073 | 7.830 |
Price($) | Vol. | No. |
---|---|---|
7.900 | 41268 | 5 |
7.910 | 9067 | 1 |
7.920 | 35172 | 7 |
7.930 | 29230 | 2 |
7.940 | 82658 | 3 |
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