Ann: 2022 Half Year Investor Presentation, page-77

Banks are only too happy to keep lending as long
as you put the collateral up and keep servicing your
debts it’s as simple as that. It’s no different to someone
consistently drawing down debt on their own mortgage
and spending it on whatever they want. Not a problem
when the asset value is going up no thanks to the property
owner doing anything. But when your debt hits tipping
point as your earnings keep going down YOY all of a sudden
the value of your entire investment is brought into question
by the market. If you’re in control of your own earnings that’s
fine but Mayne is not in control of it’s own earnings, hence
no earnings guidance. That should be ringing loud and clear
for investors and it is for institutions who got out a long time
ago while retails keep doubling up and purchasing ‘cheap’
shares that management won’t even purchase!!!! Adding
further weight to this argument is the shorts are rising. They
think they can beat Mayne into submission before Mayne can
make any serious coin to get itself out of its own debt trap that
it set for itself. Too much complacency at Mayne with high debt
believing interest rates would stay low forever. Well guess what?
That ain’t gonna happen. One man took on the banks in the US
by shorting them prior to the GFC. They all thought he was mad
before the whole thing came crashing down and we all know how
that ended. We have an unprecedented bull market fuelled by dirt
cheap money that is about to get tested by rising interest rates and
only the strongest survive these downturns. I doubt anyone at Mayne
has the balls to stand up to SR. If it’s too good to be true then it’s too
good to be true