Not that simple to reopen, just some food for thought when the cap raising comes around again. 1) How much do you trust the team on now to fix the issues, both from a SH and creditor perspective. From the anns it reads the fixes are unclear and cashflow implication of doing nothing the company won’t see it out to end of the year. 2) The company needs money for ongoing and any potential fixes. Given the lack of info this is a hard sale to any party. 3) The loans taken out have convenants that are likely to be breached when trading starts again. The creditors need incentive to agree to waive the convenants. It is possible creditors decide it’s easier to wipe out equity holder value with administrators. Again to the above two points, trust in management to fix this and somehow have enough money to see the company through and get the loan repaid. 4) Time is of the essence here. Kicking out TS and team at this point is a risk the new team will get up to speed and do a good job of fixing things. Poison or dagger. Good luck holders.
SO4 Price at posting:
31.0¢ Sentiment: None Disclosure: Not Held
