19 no's, page-10

mjgol2

Not discounting the risk it is real, however lets look at the reality.

The debt holders have bought greater than 60% of the debt for an amount of between 60 to 80c in the dollar. So they will book a gain by getting this back. There is nothing to write off as it doesn't exist only in the eyes of Alinta.

TPG is not in the business of making losses, they are set up to make significant returns on plays just like this. they will flip this for a profit thah should be in the shareholders pockets not theirs they wouldn't have bought in unless they could make a profit > than 30%

Any asset that is up for sale is negotiable and in any takeover (this being similar to one) the first bid doesn't necessarily mean its the last bid.

If Alinta goes into administration then TPG will break even at best and have nothing to show for their efforts. This is not what they want so they do need to listen to shareholders. If the debtholders bought 60% of the $2.8b in debt thats $1.68b at a 25% discount thats $420m they have to play with.

Yes there is a real risk, but there is also the real issue that neither party both shareholders and debt holders wants Alinta in administration.