GREY:AIIFF - Post by User
Comment by
KevinGSon May 15, 2015 6:20pm
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Post# 23734920
RE:RE:RE:RE:Confused about what is going on here
RE:RE:RE:RE:Confused about what is going on here Writing this off and moving on is probably the rational thing to do. After seeing the financial results, I'm a little surprised that Brookfield even proposed "the transaction" -- it might well be throwing good money after bad.
I'm also a bit puzzled by the tactics of the senior note holders (or their "Ad hoc committee", which is probably comprised of some of the larger holders). I would have opposed the motion for the Brookfield transaction just to get a better negotiating position. I'd like to believe that they have a larger plan, having bothered to engage legal counsel and all, but I am skeptical. The other possibility is that the senior note holders now beleive the situation to be hopeless and are writing off their investment. But, it seems the worst case scenario for opposing the transaction would have been some legal fees and having Brookfield take the assets when CCAA protection was lifted after no compromise agreement was reached.