i dont think its a case of waiting for distributions to re-start. the issue with AEZ is the breach of the loan covanents, this means that the banks will want asset sales or a capital raising to get the LVR's back into balance.
the only way you will make money out of AEZ is if someone buys the assets a big discount to NTA, say around $0.20 so that they can still make money. or AEZ raises capital and reduces the LVR's.
if a bid is made then APN as the RE will have to be on side for the bid to succeed. what are the chances of APN agreeing to a takeover when they will likely lose the management fees that get from AEZ? i think it will have to be hostile rather than friendly. personally if i got a $0.20 offer for my stock i would sell tommorrow and stick it to the pathetic managers of AEZ.
the capital raising is the most likely outcome, probably at some stupid price to dilute everyone, just like the Orchard situation. that will mean the trust survives but the existing unit holders will feel it.
personally, if they do raise capital and dilute me i will be complaining to ASIC about these cowboys.
its worth buying a few hundred k of them because its worth more than $0.04 even if in a liquidation situation. the only issue is that you have to wait for the RE to admit they are screwed before you get any return of capital.
AEZ Price at posting:
3.9¢ Sentiment: LT Buy Disclosure: Held
