Don't see the point in selling, my shares are worthless anyway. Either they recover or I'll go down with the ship with them.
If they sell for say $20m privately, I wouldn't care. It would be better than nothing (I'll write the remaining loss off)
Palisade deal 50/50 so they'd own $25m in assets + 2-4% p.a + management fees Brickworks deal 50/50, $10-12m in asset value + management fees The Energy retailer is doing $20m in revenue, profitable since derisking and they own licenses for the WEM & NEM. These are not easy to obtain and it would be worth a decent amount for an energy company wanting to expand into a retail division. Additionally Palisade could expand on it and turn it into a good business as a 100% Renewable energy retailer, they have access to a large energy portfolio of solar and wind. YVW deal, The deal is fine if you have the capital which Palisade do if they took over the company. An additional benefit of the deal is the 2yr management fees of $7.3m.
Additionally, their knowledge, expertise and experience is worth a lot. Very few in Australia are building these large Bioenergy plants, I personally have only seen small plants they build along side landfills like LGI. The large ones are much better and way more profitable but not everyone has the knowledge to deliver them like DEL.
DEL Price at posting:
3.2¢ Sentiment: None Disclosure: Held
