I think it pays to be optimistic in this case, there are alot of separate parties involved.
Creditors, banks, Shareholders, Unions, Employees, and even the Government putting money in becomes a creditor. There is 3 billion or so shares in this Australian Company that was once part of one steel and before that part of BHP.
The Government would lose alot of credability if its sold to over seas buyers. Even the Moly-cop Business shouldnt be sold to international buyers.
Greg Hunt is talking about a Government Buy in of sorts, that would cover all the downside of ARI.
No access to the info of whats going on behind closed doors, but all those involved should be trying to do whats best for Whyalla and Australia.
Im positive on an outcome that will restore ARI to trading back on the ASX at some future time.
The Dilution or buy in of shares wont really be something new investors would want, because its exposed to fall below the new issue price. Plus there is already 3 billion shares.
There would have to be a Consolidation prior to a new issue. The main thing is getting the Company Profitable. There would be alot of eyes looking at whats going on.
Even those that have done sneaky deals would be looking over their shoulder.
They have to find a solution where there is no Losers, or else it will end up being a massive Court case with blame and Law suits sueing here and there.
Im confident my shares will restore to some value at some point and trade on the ASX. It has to or else 3 billion shares all have a right to sue and they would likely win something. Those that would likely lose would be doing all they can to prevent it going to court by creating a solution where there is no Losers.
Thats what I expect to happen, I cants see any other Probable outcome.
