There are disclosure rules that Ventia has to comply with and if they failed to disclose those problems in their prospectus, they could be liable to class action claims down the track. Hopefully, Ventia has put in place enough insurance to cover them for those kind of problems. Beyond that, let’s just wait and see how Ventia’s contracts perform and their ability to renew contracts as well as winning new contracts. Also, see how much dividends eventually Ventia pay per year. You remind me of a poster in SRS (Spicers) who kept on harping of a massive potential liability from UK insurance regulator. In the end, SRS was bought by a Japanese company and the poster asked me what happened to the UK potential liability. At that time, I actually double checked this liability several times with the SRS directors. From my experience, what you are saying here could be a genuine concern but the sharemarket moves on. Problems galore in companies like BHP, Telstra, Qantas and now Ventia! But look, they are still around.
VNT Price at posting:
$2.10 Sentiment: Buy Disclosure: Held
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