User ebis(ARIVA): ebis: Tiger with or without future? 16:02:19 21:45# 10765Without wishing to go into the glorious past, I occasionally follow the discussion between hope and resignation. How could one imagine hopeful behavior?The senior lenders, who are both principal creditors and shareholders, agree to convert their over 9% interest-bearing loans (nearly $ 200 million) to equity or into equity. This would improve the balance sheet and the income statement. The balance sheet would have less debt and more equity, the income statement less interest, resulting in a higher profit or lower shortfall. The enterprise value would rise. Of course, the shares issued.When would the lenders agree? If you see that as a lasting solution to save their investments and achieve a similar increase in value of your additional shares in the long term as it would correspond to the dropping interest rates. The prerequisite is therefore a credible entrepreneurial perspective. Of course, with the conversion of Lenders' bonds, the number of shares increases. (the number would have to be determined by a neutral valuation report). Of course, would have to be followed by a share consolidation. this will reduce the number of shares (1: 10etc.), but the participation value would remain unchanged, ie. the value per share would be more expensive in the merger ratio, without changing the equity. This would also open new financings (for Cobalt). For this purpose m.E. no de-and relisting required.It will be difficult without converting loans into equity.
