I disagree. 23 Mil is all most half of BLK market cap. If blk was SO bad then there is a risk of going into admin if the future forecast could be 50/50. Fund managers don't work like that. What protection do they have if it all goes to shit. Nothing they will be lucky if someone bails BLK out so just like any business investment there is always a risk so if they were going in blind why 23 mil why not a lower amount to see how things track. OR they know something, seen something to make this a sizable investment. there not in this game to make 10% there here to move funds into shares and hold a sizable weighting into this stock.“What protection do they have if it all goes to shit.”
Its like CBA coming out and saying we have a 25% weighting into BLK but at this stage Lind has it within the balance sheet. I would guess when they start buying this stock by 3rd parties they will move the debt into stockchris, please read the deal in it’s entirety and research what is a Convertible Note’ is, if you already don’t know. The risk to Noteholder is negligible in fact non existent. Take off your holder glass and you see how the shit deal this is. In fact, this deal can kill the entire company and current shareholders might get zilch if the company not able to perform as it should do.
This deal is the worst deal I ever witnessed.
terms are
7.5 mil load at 9 mil face value (20% interest)
Monthly instalment payment @90% of share. (Short it and cover by share payment).
Issue of 50 million collateral Shares that will be credited at the end of the Funding Agreement.
I will closely watch if there will be any moment to averaging down or up, but until then I am in the sidelines.
Good luck
