Short answer - yes.
Clearly the value of the Dairy works assets sale has been overstated - look for a $50m write down.
Banking covenants must be just about broken - that loss is going to have to be covered by more expensive debt.
They need to find at least $130m by the end of march. There was no hint in the announcement that Dairy works sale is in play. Its too late to put other stainless steel on the block for sale.
Which leaves only 2 options. Call in the liquidators. Or a capital raise at a massive discount. Which wil lower SP.
They need at least NZ$130m. Yesterday market valued SML at NZ$179.7m
I can't think of any logical reason for anyone throwing more money at this dog.
Short answer - yes.Clearly the value of the Dairy works assets...
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Last
41.0¢ |
Change
-0.020(4.65%) |
Mkt cap ! $89.61M | |||
| Open | High | Low | Value | Volume |
| 42.0¢ | 44.0¢ | 41.0¢ | $53.06K | 125.6K |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 3 | 3239 | 41.0¢ |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| 43.0¢ | 5000 | 1 |
View Market Depth
| Last trade - 16.10pm 03/05/2024 (20 minute delay) ? |
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Last
41.5¢ |
Change
-0.020 ( 3.49 %) |
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| Open | High | Low | Volume | ||
| 42.0¢ | 43.0¢ | 41.5¢ | 33929 | ||
| Last updated 15.59pm 03/05/2024 ? | |||||
| SM1 (ASX) Chart |