the company is trying to do a capital restructure and debt...

the company is trying to do a capital restructure and debt restructure.

The company i think wont come on at its present entity, as more shares would more than likely be issued to the lenders and noteholders in leiu of a demand and to hopefully place decent equity in the company.

At 1.6 cents close, this will more than likely be a very substantial offering, so that is why i have put my scenario below, of what normally happens in these complete restructures.Trying to say it will pumpo higher and stay in its current shape i think is not the case, but hey what would i know i have no F... idea bwwaahhhhaaahhahah

From my experience when a company enters a long suspension regarding debt defaults and recapitalisations the scenario is as follows.The below scenario is of course only applicable if the company escapes administration:-

A) The company enters a Debt restructure with banks and noteholders.

B) The company issues shares on a very low basis to noteholders and or lenders to satisfy a Debt or hold off any further action, ie debt standstill.(existing shareholders may or may not participate in this release, however generally existing shareholders will be offered shares post consolidation, see note C)

C) The company does a large capital consolidation and then issues shares to sophisticated and existing shareholders on a post consolidation basis.

D) the company is the relisted,however existing shareholders who do not take up their entitlement will suffer dilution to whatever degree the recap and reconsolidation is set at.

This is a simple guide of many other company recaps that have occured in similar circumstances and in no way points to events to transpire for MBN nor is this advice.

Please seek professional financial advice before making any decision either way.