SML - Synlait Milk Ltd

[whatsup]

Heading lower again today @ $1.38, will it hit $1.00 !!!!! yeaks !!

[Leemsip]

these high debt companies need to raise capital. Getting absolutely taken behind the wood shed for high debt , no profit. Reminds me of my favourite train wreck MPG.

What do you raise at here though? $200m at $1... gosh.

Sell the best assets? Not great either.

I would participate in a raise at $1...

[whatsup]

these high debt companies need to raise capital. Getting absolutely taken behind the wood shed for high debt , no profit. Reminds me of my favourite train wreck MPG.

What do you raise at here though? $200m at $1... gosh.

Sell the best assets? Not great either.

I would participate in a raise at $1...

Yeh, but even at $1-00 would you participate ?

[Leemsip]

I would if they used it all to pay down the debt and tabled a credible plan?

Interesting to see this play out eh

[carrom74]

Some brave fund/company just bought 5,842,690 shares at $1.40 … was it A2?? the cornerstone saviour?

[Lego_Man]

Some brave fund/company just bought 5,842,690 shares at $1.40 … was it A2?? the cornerstone saviour?

That is a massive crossing. 2.5% of the company.

[Baa_Baa]

deleted .....

[silverblizzard888]

Market's treating Synlait bonds like junk bonds, a nice 15.25% yield!

[Leemsip]

Market's treating Synlait bonds like junk bonds, a nice 15.25% yield!

. Wow can buy Dec 2024 bonds for 85c on the $1 and 4% yeild. Thats a $150m bond issue

Didnt think it was this bad.

[silverblizzard888]

. Wow can buy Dec 2024 bonds for 85c on the $1 and 4% yeild. Thats a $150m bond issue

Didnt think it was this bad.

For the bond holders it really isnt that bad, because at its worse if Synlait were to be sold for scrapes theres enough to pay back the debt, so the fear driving this is giving any buyers a very large premium for what is relatively moderate risk.