The $120 mil Fortress Capital debt facility is an interesting thing. If the GCL deal $120 Mil ( is it really just coincidence that it is the same amount as the debt facility !?) does not happen in time LNC will need access to a new debt facility to roll over the fortress capital line of credit (or as you say raise some capital).
We should find out today how much draw down on the debt facility occurred in the 2nd quarter. Obviously they will only have to repay what they have drawn down and as per the 31 January announcement they can pay it out any time if a deal of some kind goes through. The idea was that oil production increases will take over the role of cash funding next year but payout probably hinges on GCL or Teresa transaction.
What is the ERG suit this morning? What are you on about there? Are you confused with last year when the deal was on again and off again?
LNC Price at posting:
52.5¢ Sentiment: Buy Disclosure: Held