SML - Synlait Milk Ltd

[bonne vie]

Question - in the March update the Pokeno build was on track. So at what date was an appeal to reverse the covenants decision lodged with the Supeme Court? Has that appeal been lodged, considered and upheld all within 2 months? Looks like SC worked fast in this instance??

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[winner69]

Market reaction down quite a bit

I sense the likesy of couta might be in for a quickie around the 10 buck marker when the ASX wakes up

[bonne vie]

(15 minutes and the Ozzies wake up)[/QUOTE] Looking back at the announcements there does not appear to have been one. But having said that the court decisions mondograss refers to and 2018 company updates appear to confirm building had started before those decisions were made. Tried to read them but mainly gooblygook but would be interesting to see a timeline of the Pokeno purchase - build and what SML based it's decision to begin build before all covenant issues were resolved. Extract from part 52 of 13 Nov 2018 decision "Mr Bishop candidly acknowledged that he did not obtain anylegal advice before he signed the agreement with Synlait. The agreement with Synlaitincluded an obligation on the part of Stonehill to procure the removal of the covenants.Negotiation with the previous owner of NZIPL’s land, Havelock Bluff Limited, came to nothing because they were in the process of selling it to NZIPL. In the meantime,Synlait has proceeded with construction of the plant, notwithstanding that it has notyet settled on the purchase." Looks like a commercial decision once risks/rewards weighed up.

[mondograss]

Yes, so Synlait might sue Stonehill for compensation for failing to procure the removal of the covenants or Stonehill might be required to shell out to NZIPL to get them to drop their opposition. Either way it looks like it is mostly Stonehills problem. Note that it only affects a relatively small part of Synlaits land so if they haven't built on that bit then potentially it's not a big impediment to the factory itself.

[mondograss]

Having said the above, you'd think Synlait could offer a bit more clarity and reassurance than they currently have.

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[Beagle]

Having said the above, you'd think Synlait could offer a bit more clarity and reassurance than they currently have.

So much effort goes into ensuring the communication headlines are in the right colour there's only so much intellectual horsepower left to write the content

[couta1]

You can add mind-reader to your C.V. mate as that's exactly what I was thinking.

Yeah I noticed that too, where's my pink teddy bear ?, this is so incredibly PC I am really tearing up and need a cuddle lol

Lol I'm just about to give my life like Baboon a hug that I bought back from SA, seems the manly thing to do, I'll leave the teddy bears to you. PS-I just sent you a pic of him.