So just returning to the BNBG prospectus, which says:
"so long as there is any outstanding interest or a Trigger Event subsists, Babcock and Brown cannot undertake any arrangement, reconstruction or reorganisation between itself and its members or any class of them, or between itself and its creditors or any class of them, which would have a material adverse effect on the value of BBSN"
It then goes on to say:
"However, Babcock and brown may enter into any transaction without restriction including acquiring and disposing of assetts, entering into any borrowing, guarantee or indemnity and creating and issuing further BBSN or other equity or debt securities including securities or other indebtedness ranking ahead of the claims of Holders without the consent of Holders or the Trustee."
Seems like the first part gives the BNBG holders some protection, but then the second part provides a massive loophole allowing BNB to enter into ANY transaction without restriction. This surely negates the first part doesn't it?
BNB
babcock & brown limited
