If BNB goes into Administration expect short term price pressure...

If BNB goes into Administration expect short term price pressure on BBP. However ironically it will sever the relationship and management agreement of BNB which is clearly a positive. I suspect that the BNB banks are in part considering BNB's proposal because they know that there is a high liklihood of early repayment of the $375m loan to BNB and also some value for their management agreement and their BBP stakeholding.

Personally I would just like BNB to disappear and let BBP and other satellites get on with their lives. Their has been some recent talk on this site of the implications for the BBP obligations under the BNB loans if BNB should go into admin. they remain as is, i.e. due sept 2009 and Jan 2010.

I was interested in the sale announced yesterday, seems like a non event sale on the face of it however was wondering whether it was to clear the decks for a party to takeover BBP ( i.e. if the asset presented any ACCC issues for the preferred party). Does anyone have any views on this?