I suggest everybody to go read the Adminstrators' report, it's where the AFR got all their information from.
Now the AFR have cherry picked information that looks bad and naturally left out the information that would put shareholders at ease.
Both Big un and the secured creditor have proposed a DOCA which would result in a better result than a liquidation, but more importantly for us, also give control of the videos to the secured creditor who is bound to lease (correct word?) the videos to Big.
This effectively has extinguished the debt owed to FC capital substantially, trade creditors and employees without a capital raise or the company going under. It will now be debt free and have some cash (hopefully the parent company has some) for it to trade once again.
As for the breaches of director duties, the Administrator would of done 438D report to Asic which would include all breaches identified, and it's up to Asic to charge them from here.
This was a very well planned restructuring that has given shareholders the best chance at relisting. It still needs the approval from creditors and we better hope to god they vote for the DOCA.
Summary:
- big review basically debt free
- still has control of the video
- more likely to trade again
BIG Price at posting:
$2.22 Sentiment: None Disclosure: Held
