If this company goes into distress, the con note holders will end up owning 100%. Can't see why they wouldn't take that pathway, it'll stop their losses at a much higher value than just keeping 46% and continuing to pay management.
This is just a bedding chemicals supplier making a few million in annual revenues. It doesn't need the board of directors and top level management - 10 directors and executives leeching $1.5 million dollars each year to raise a few million in revenues!
The most efficient way to manage this company's assets is placed within a large chemical corp where the existing board and management can pay a single line manager $200k to do the exact same job. In the end, markets usually gravitate towards the most efficient arrangement and that is where AJX is headed.
Paying those clowns is lost $$$, there's just no justification for it.
AJX Price at posting:
11.0¢ Sentiment: None Disclosure: Not Held
