History tells us that TSI has the support of its bankers to be able to raise debt. The question with the new EBITDA number is whether that includes the new ATM's under an operating lease or whether these will be funded by a term loan (makes a large difference)? We will need a set of financials to work it out eventually. TSI ran through demonitisation, was able to raise and reorganise its debt to better terms without a single cent from us or CX Partners. I find them to be quite savvy financial operators. Maybe the $4.1 m we gave them in the raise was enough to satisfy the leveraging ratio to get new debt to fulfill this contract.
Cheers
VOR Price at posting:
2.9¢ Sentiment: None Disclosure: Held
