If the deals between ANS with SDL do not succeed, there is no problem with SDL since noteholders will own 68 per cent of SDL and SDL will be free from debts (it is clearly stated in the announcement).
The assets value of SDL in the balance sheet is around $167 million and soon it will be free of debts either the deals with ANS/WAPRC or noteholders.
ANS needs high grade of SDL iron ore mine tenement in Congo and Cameroon since presently ANS does not hold any assets/iron ore tenement
ANS and noteholders believe that the share price of SDL will go up to above 0.02 (the strike price of options is set at 0.02 which is four times higher than 0.005).
Theoretically, the share price of target company will go up. In this case, SDL is the target company and ANS is the acquirer.
SDL Price at posting:
0.6¢ Sentiment: Hold Disclosure: Held
