I have been watching from the sidelines. The following made no...

I have been watching from the sidelines. The following made no sense at the time:

1. If you now own a large stake in QPN why would you then throw the rest of the basket at VIL.That didnt make sense. I also couldn't see the benefit of selling it as it is a free carry with option to increase stake. So it wasn't costing anything to Pass.

2. Why now do another deal with VIL with your cash and the rest to end up with a 35% stake. Why not just take your bundle and gain control of QPN and merge there you end up gaining as a group complete and utter control with few other assets to cloud the issue. Why end up as a whole lot of minorities and why not just repay cash to shareholders holding back enough to finance all your projects. You transfer the cash if you intend to become a player or if the underlying value in that company is much higher than cash. Thats a big call if you know what we all know about FP - Virtually nothing if truth be told. How can you decide that cash is worth less than a VIL share unless you know a lot more about FP. So what does Pass know about FP.

3. As I read it GGP are operator and I am not sure you can just change that. So the only issue is that you will have more influence and under certain conditions be able to replace the operator. Clearly this hasn't been on GGP's main focus at present and they are happy to go slowly especially with other irons in the fire. Will that change if now the one other voice is 72% what's different to having two voices wanting a move on. They surely collectively have as many rights together as a consolidation holds.

4. GGP and Pass have tried the wedding and it couldnt be done. So there must be more in this for Pass and to hang that all on this one asset is strange IMO.

The conclusion I come to is that with VIL the issue is that they have no cash so that they wouldnt marry Pass without the transfer of cash. That both know a lot more about the asset FP than we do so we will rock up and vote in favour because we know it has cash issues. The sweetener for VIL is the number of other little bits we get and the expertise as well. I think Pass gets an asset at a discount and listed shares. The directors then took up the equity in the spp because this was concluded late in the month.

Anyway thats my opinion