Htran...the fact you are even asking this question must mean you...

Htran...the fact you are even asking this question must mean you have a niggling suspicion of the answer.

SGH have been given time...time to get NIHL monies, time to implement their PIP, time to make a large number of staff redundant, and time to gain market traction.

The last financials clearly show that, if anything, the business is in an even worse state now....primarily due to the loss of confidence in their business model......by financiers (selling debt and insisting on recap), staff deciding to bail (anecdotal evidence of them leaving) and clients leaving and/or not signing up in the first place (as indicated by the company itself and in the poor Aust result).

They are not going to hit pay dirt, aka SIR. They are not suddenly going to vastly improve their market share. The chances of the escrow money being available is years away, and then only maybe. They can't sell assets without considerably reducing the size of the business, and who would buy them at the moment anyway.

And in addition, the bank's goodwill is the only thing keeping them running. They have enormous cashflow issues.

So to answer your question, in my opinion (although I'm not sure anyone can put a case against it based on the evidence we have), extending the loan is not going to allow SGH to survive because the business is just not profitable in its current form, and is highly unlikely to be in any sort of foreseeable timeframe.

Milesy