Of course it is an emergency raising - they tell you that the...

Of course it is an emergency raising - they tell you that the interest cover covenant is 1.5 and that they ended up at 1.5. They did not breach it but it was close. However interest charged for 6 months to 31 December 20924 was $2.7m - I don't know how you got your pro forma to be $3.7. Highly unlikely its at greater than 7% interest rates. Yes the banks have pushed them to raise capital and in fact have probably gone as far as saying the 35% commitments they have is the minimum. They are not allowing oversubscriptions which suggests to me TGP wants only the capital that is needed to ride out this time to get the premises fully let even if not at the best market rates.

If you don't follow your rights the only people who benefit is TGP. If it is so bad as that you believe the risk of failure is very high then you should surely sell.

Of course selling the assets whilst in a distressed state would not get the market values. However beware of that as they have a non core asset that looks like it could sell for at least book value that is the Home HQ Artarmon which for their share of fund is $3.8 million. I expect they will sell that to free up more liquidity.