Long Run Explor Ltd Ord WFREF

RE:RE:RE:RE:RE:the guy looked tired

[wilwal]

With only $1/2 billion in market cap, a full takeover by MIE would be problematic, if not impossible. They just aren't a big operator.  

You will note that Maple MIE's new holdings will be in the low 40% range. Had they breached 50%, they would have triggered the debs for payout and $70 million would come due on a debt that is scheduled for payout January 2019.  At this point in time with cash at a premium in the oil patch, nobody wants to pay out long term debt, especially when they are struggling with short term debt problems.

This deal has obviously been well thought out.  You can be sure the financing is not as tenuous as it appears but investors aren't buying it until it is assured.  As you say qwqw, the sharp decline in oil prices opens up a new can of worms and financing may be suddenly more difficult.  The break fee of $25 million is at least a noteworthy consolation prize.