Guru, I agree with you, Cento's chances of survival has increased considerably due to present credit conditions. Banks do realize that they will lose a lot if they put Centro in Administration. I think 2 years extension is coming with debt to equity swap maturity after 1 or 2 years at the market price that time . I am holding this baby till it hits at least a dollar. I have been through enough pain, few more months to wait now. I am expecting the deal will come much sooner. We may not have to wait for 2.5 months as GR has clearly said there are no conditions to be met before next extension & market is not going to change much.
Read the following what GR said,
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Asked what would happen on December 15 this year if the company did not achieve further assets sales or organised an equity injection, Mr Rufrano said: "I would rephrase the question, what would happen on December 15 if the lending groups don't extend? We would be ... we would go into administration," he said.
Mr Rufrano noted that there was no preconditions on the extension granted today by the US lending group relating to asset sales or any other form of capitalisation between now and December 15.
"I would think their extension will always be paced upon simple logic, which is, if we take the conditions I just outlined to go into administration, what will the banks collect on their receivables administration, versus a longer term transaction with us," he said.
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