Yup, AUD$84mill. Certainly not chump change and a figure most companies would be envious of. Will be more than enough to see completion of 4-6 smelters in its own right without help from the DSO which would be the cream on top, but I’m thinking the DSO will be used to help cover the high interest rate. The best thing about this deal other than it’s sheer size is no further dilution (at this stage (long termers know what I’m talking about)) to shareholders. The worst is the short payback timeframe and high interest rate but remember, we won’t be paying taxes for 10 years (according to previous announcements if that still stands). However, the short payback timeframe means management will be keen to move this along fast. DYOR
GMC Price at posting:
0.7¢ Sentiment: Hold Disclosure: Held
