Agreed, Hanlong could walk away from the deal and it would be very hard for us to find legal recourse in the international arena. However, we have more protection than we think and that comes in the form of mutually assured destruction. Hanlong are our biggest shareholder and it is not the fear of the break fee but the fear of losing 100+ million dollars which is likely to stop them losing resolve....( I know they loaned the funds, but it would still be a horrible outcome for them).
Although, shocked at the SP of late, I find solice in that the recent cap raising was to institutions and they would definitely have done their homework before dropping 40 million on SDL. HOLD
SDL Price at posting:
30.5¢ Sentiment: Hold Disclosure: Held
