administrators are needed, page-7

First 7 Last

Share
Profile

Follow
kirsty78

568 Posts.

22/01/15

17:48

Post #: 14625725
Share

Originally posted by dubspec ↑

Says who? You?

I bet the banks dont see it like that. They paid $84m for that asset.

Ands if the government tighten the screws on Fee Help and make getting a job in the industry a requirement for part payment release (as was a recommendation put forward as a way of stemming the rorts), do you think this type of education provider is going to benefit. I doubt it. How many people do the Tui Na Massage course or the Acupuncture degree and end up working as a waitress (ie, not in their field of study). I would say plenty.

A fire sale of this asset, as may be forced by the banks, as well as sales of the other assets, may just get the banks their money back (in the acquisition notice, the debt facility was increased to $120m - I have no idea how much is drawn). Do you actually think the banks care whether there is something left for the shareholder? Ummm, no.

ps: in the acquisition notice (when Endevour was purchased) it said that no government funding was provided to this training centre. Well, this has now changed looking at the Endevour website. VET just couldnt get enough of that government gravy. That, IMO, will be their downfall.

Expand

Nup the banks will end up with their money and shareholders nada...nothing! The co had 21m cash and all this was from the draw down of 41m facility...Endevour 84m in cash and ALL debt funded... all up prior to Endevour the co purchased over 200m in goodwill!! with approx 5% in 'hard' assets now....with over 80% of their revenue from Govt funding the co is hitting a brick wall and fast!!

VET Price at posting: 25.0¢ Sentiment: Sell Disclosure: Held
Upvote

0 Great analysis

Reply

Top Stories

The Altcoin Landscape (Part 1): Key alternative cryptocurrencies to watch

What each US election outcome would mean for Australian companies & investors

Aussie inflation seemingly hit a 3 year low. So why's the ASX200 red?

'We're looking': Nickel-rich Indonesia sounds graphite warning to Aus producers

MKT

The ASX can overlook its Telecomm small-caps. Here’s one diversified brand with an international footprint

Making money: How many microcaps should be in an investor's portfolio?

Week 44 Wrap: Relatively boring week ahead of US election; HotCopper's most watched; Oz inflation at 3.5%

Bitcoin hits fresh record as instos pile into BTC ETFs – and Trump helps, too

MIN

Movers and Shakers: Zip Co, MinRes, Kuniko, more – The week's top ASX gainers

Palladium's the newest geopolitical hot commodity. But ASX exposure is limited