My take on this is that Oceania see that while MPR has an attractive long term business plan it is continually being hampered by the reality that it is undercapitalised ,which is largely due to the controlling families determination to retain that high degree of control. If they can pull it off Oceania will get 22.5%annual interest on the $1.8 million it appears to have put up plus whatever it’s 50 million shares they got for making the loan are worth.And if the high wire act fails Oceania will pick up the business for zilch and can then recapitalise it and get on with executing the business plan. Whichever way it goes they can’t lose.
MPR Price at posting:
1.8¢ Sentiment: Hold Disclosure: Held
