Agree with you that it would appear that the assets should have some reasonably good value, however I think it will prove a difficult sale considering the fact that RNG team were unable to mine this site at any reasonable cost and actually generate a positive cash flow.
Therefore, I think that the big question for a buyer, and certainly one that the long suffering shareholders would be interested in that answer as well, is going to be WHAT IN THE HECK HAPPENED???
Seems to me that there are two possible scenarios, there may be others as well that I have not thought of:-) ;
1)Assets are good and the management were bad (either incompetent or dishonest or both and chose to bleed the company dry), in which case the assets will be sold for a reasonable price and someone else will make a go of it.
2)Assets are bad and the management recognized this and decided to bleed the company dry until it all blows up. In this scenario, the assets will probably not be sold for anything more than scrap value if at all.
Please keep in mind that even in the best case scenario, the assets are probably only worth a few million, therefore there is little chance that there will be anything left over for the shareholders after the creditors are paid.
Just that way I see it, others may well see it differently. Best to all and don't forget to DYOR L4JG
RNG Price at posting:
48.0¢ Sentiment: Buy Disclosure: Held
