GREY:DULMF - Post by User
Comment by
miningfundion Sep 10, 2014 3:35pm
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Post# 22924524
RE:Management versus a miracle
RE:Management versus a miracleThe problem is that management drank the Kool-Aid and is probably still drinking it. What would I do (based on my assumption that DM will not find a rescuer)? I would approach Anto and the debenture holders now for an arrangement that would give Anto 100% of TMM, the debenture holders a few cents in the dollar, and leave DM debt-free with a small amount of cash and the exploration properties. Alternatively, Anto will watch and wait - if the bridge loan was repaid even at the current DM price, it would already own about 35% of DM and 60% of the project. DM will soon be unable to pay its obligations and may be technically insolvent (fortunately the debentures are unsecured). Not a great negotiating position for DM - likely to be much more costly.