Hi all, Have just been looking through past annual reports & key...

Hi all,

Have just been looking through past annual reports & key recent announcements to get a sense of the companies current health and future - was hoping that a experienced follower of the business could enlighten me on a query that has sprung to mind.

It's obvious that the debt update is a make or break for the business to the point that Terra will have to start selling some of its assets or issue a lot of new capital. Happy days if they can turn that into a non-current liability, however, that won't take away the fact that there are still current trade and other payables of $106m (per 30 June 2020 financials). I understand that at the same time of that payable balance being reported they also had only $10.1m of cash & cash equivs, $48m of trade receivables and $26.6m of inventory (I presume that this is largely spare parts, etc. that aren't cash convertible, but that's just me taking a stab).

TLDR; even if they manage to succeed with the change in their outstanding debt terms, does it seem likely that they will issue more capital to deal with the other issues at hand? As I say, I am unfamiliar with the business and so it'd be good to get some insights as this isn't really something that I managed to find out within the discussions (albeit coal prices are going up, the universal acquisition looked good & their operational update was exciting). I am a fairly prospective buyer, but I can see the price being driven down further if this becomes the case.

Thanks!