AEJ 0.00% $8.00 redbank energy limited

Ann: Transfer of Redbank Debt by BOSI to Merrill , page-5

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  1. 7,263 Posts.
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    re: Ann: Transfer of Redbank Debt by BOSI to ... Daleg

    "whats your weird feeling?"

    Merrill is an unlikely buyer. They may be acting for a third party with another agenda. Who that might be and what their intentions are can only be guessed at.

    The good news is that such a party sees value in the asset.

    The bad news is that they may attempt to use control of the debt to gain control of the asset to the disadvantage of existing shareholders.

    This is just a hypothetical scenario. I see the risk not in terms of potential losses, but in potential failure to achieve the full return on the asset. So I am not losing sleep thinking about it.

    Cheers
 
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