market update, page-6

ELD's agribusiness is quite valuable in the current environment where there would be strong global interest in these kinds of businesses. So if the company does not get a decent offer for its agribusiness due to perceived debt pressures or bank restrictions, it would make sense for the company to raise equity via rights issue rather than sell this business at depressed prices (although for it to be successful a deal may have to be made with another industry player such as Ruralco or another investor willing to put up capital at the current attractive prices).

It seems raising equity would not precipitate hybrids redemption... see the following extract from the Hybrids prospectus issued in 2006:
"(Hybrid) Holders have no rights to participate in future issues of equity or debt. There is no restriction on Futuris (old name of the company) issuing further equity or debt, including equity or debt which in a winding-up ranks for payment equally or in priority to the Futuris Hybrids or Futuris Preference Shares."

There is a lot of water yet to flow under the bridge before this saga is over!!