Ann: Chairman's Letter to Noteholders, page-150

LOL @ 'smoke and mirrors'?

There is an announcement released to the ASX that explicitly states that there is an executed sale and purchase agreement with NO CONDITIONS PRECEDENT

It was evident that
1. shareholder approval was required.
2. There were termination clauses

It is still unclear whether:
1. Any due diligence was conducted on the ability for Wade Energy Corporation to fund the consideration

The ASX requested “statement correcting the Company's previous disclosure that completion of the sale of the Assets was not subject to any conditions precedent and including in the Draft Shareholders Notice of Meeting the conditions precedent to completion contained in the Sale Agreements.”

This isn't a conspiracy - there is clearly thick smoke and a fire very close. When you add this to the reluctance of AZZ appoint an IA, the smoke thickens. And then when you add the fact that 250 other buyers failed to put in an offer, but Wade Energy Corporation was willing to pay US$250M you can smell jet fuel next to the already engulfing fire....

The conspiracy part (that is yet to be proven or unproven) is about the timing of the executed sale and purchase agreement to reset date of 31 October 2015. Had the ASX not have enforced the suspension, AZZ may very well have traded above $0.67 and noteholders may well have converted into their notes into shares alleviating AZZ's liquidity concerns (very convenient, given that 250 pre-qualified purchasers did not put in a single bid).... Add this to the fact that AZZ have previously executed sale and purchase agreements that have been approved by shareholders and then subsequently pulled out, and I'd say its a pretty big conspiracy (which could all be dispelled by the revelations of an Investigative Accountant).

The other strange part to this all is that no-one seems to know when the leases expire or how much capital expenditure is required to maintain them.

Neither EY nor the investment bank released the statement about "an executed sale and purchase agreement with no conditions precedent".