RE: Further on the issue of the loan facility"To my way of thinking, the security offered for the load facility tells it all. We stand to lose the entire property if something goes wrong. How much "dilution" would that outcome represent?"
Now I agree completely with this and I've thought about this for quite some time. With that said, one of the key criteria for me in any investment is respect for share structure. KDX is one of good ones in that regard. At the same time, when I read the covenants I too thought that this is no different that a senior secured note. At first that made me a bit uneasy but was willing to go along. I don't know if its my KDX goggles on if you will, but I think mgmgt may see that there is very little risk for anything to go wrong. I feel a bit more comfortable as a result.
We may disagree on what the facility means but there's no reason to be uncivil here. Let me extend the olive branch. Maybe between the both of us, we can progress the thought processes here?