Sovereign risk. All mining companies in Brasil have to be Brasilian. So that part couldn't be avoided.
The other main issue IMO was the big shareholders being the big debt providers. Makes it messy if things go wrong. Similar situation IMO with CDU, where the biggest shareholder is not only the biggest customer, but also a major shareholder in the bank that provides the loan facility. So far they've avoided any conflict of interest, but the company is still struggling on atm.
MBN Price at posting:
8.3¢ Sentiment: None Disclosure: Not Held
