loan is null and void on administration. Just the outstanding debt remains. Debt forms the creditor 'share' of any proceeds. So if the debt is $10m and total debt is $20m that gives that creditor 50% of voting rights at creditor meetings.
Plus the ongoing leasing charges over 10 years
Well the $1 had certainly split the LSE chaps! Don't believe a word of it. Administrators dictate the outcome, but that does not stop them negotiating with Vitol for a $1 charge to take on ALL the company debt. How much is all? About $20m? best of lucj with getting Vitol to take that on.
It's also possible it's a windup via friendly journalist. Count nothing out when dealing with these people. Already had a suggestion on here that the articles contain a clause locking out investors. Don't believe a word of it. For the record Karstal, it's not a small group of long term shareholders, it includes mainly new shareholders too. Can't even tell the truth on that can you.
Because it would be in administration. Admin means it works for the creditors only. Shareholders come last in the food chain. Shareholders get no vote in admin. Only hope is administrator holds out for a better offer.
That should get the blood boilng over on LSE!
Is Vitol majority loan note holder? If so, they hold the cards.
Exactly my point. There's nothing for shareholders.
No news is bad news IMO. Probably negotiating a structured administration with investor. PIs will be excuded as shares will be worthless. Loan note holders have to agree and probably will.