Ann: Change in substantial holding - Thorney International PL, page-3

Well, I would not read too much into the participation in the capital increase. Without Thorney committing to participate fully, the company would probably not have gotten the capital increase done. Whether Thorney participates would certainly have been one of my first questions.

The recent on market purchase, however, is a different matter and is bullish. The counter argument is that Thorney has been very, very wrong on this company for a long time. They bought stock in size when share price split adjusted was in the high teens, low twenties and have paid more for their position than the entire market cap. Ok, happens, so what? Well they also bought right before Christmas 2019 and in the run up to many unhappy events. Tough to look at their track record and conclude that they have a lot of insight into the trajectory of this business. The cynic in me would say they are trying to bolster sentiment through on market purchases for relatively modest absolute dollars in case the business needs another capital increase, but that maybe my own biases speaking. In any case, not someone I would coat tail, but you do you.

Someone acquiring the business is pretty unlikely I think. Given the track record of the company, it would be tough for a buyer to get comfortable with the contracts. Same goes for other distressed contractors, which is why these businesses fold so frequently rather than being bought on the cheap.