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4.5¢ atlas iron limited

How could management be working for the bondholders? Are you...

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Peregrine

231 Posts.

11

20/07/17

17:53

Post #: 25989510
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Originally posted by eyeswideopen ↑

My guess is, as I suspect management is working more for bond holders than us , no consolidation this year at least or until bond holders have exited.

As stated consolidation isn't good for shareholders and they are the biggest shareholders.

So after expiry of options I suspect bond holders will want to see sp rising asap so they can get out, shareholding isn't their objective.

So their priority I predict will be,

Expiry of options, as debt holders don't want to commit any more funds.

Debt payment, as bond holders want their money out as soon as possible management will oblige.

Cash on hand to be increased so as there is enough for CD development when appropriate and enough to run business.

Keep accumulating cash for buybacks until bond holders are out.

As I see it best chance for buybacks as if it's left to management alone I don't think they'll be secure enough for years yet to do buyback.

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How could management be working for the bondholders? Are you forgetting that the Board is majority represented by Directors elected by the bondholders.
They are the ones controlling the Company. Management can only make recommendation.

AGO Price at posting: 1.8¢ Sentiment: None Disclosure: Not Held
1 Upvote

0 Great analysis

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