CREDIT SUISSE and TIDSome folks do not buy TID at the current ridiculous price but they want to see the refinancing of the debt first. Typical Herd behavior. They fear that TID might not be able to pay its debt in the current short pay back period of 3 years. They also ignore Dawson's long standing relations with the lender CREDIT SUISSE. They also ignore some other facts as below:
1) TID paid the September 2013 installment WITHOUT ANY PROBLEM.
2) The next installment is at the end of Dec 2013.
EBITDA in Q4 will be approximately $20 million which is a very good starting point.
The COURT will likely decide by then about HRT case and the ~$35 million owned by HRT to TID.
3) If necessary, TID can make a refinancing WITHOUT PROBLEMS because:
A) Walter Dawson has been working with CREDIT SUISSE for MANY YEARS.
Do you know this ? Sure, no!
Credit Suisse has financed TWO out of his three previous companies that Dawson has created and sold with a SIGNIFICANT PREMIUM to Halliburton, Precision Drilling and Weatherford.
So CS knows Dawson very well. Dawson has CONNECTIONS in Credit Suisse after 40 years in the industry. He is not a NEWBIE ! They trust and respect him! They know that he can deliver.
CS and Dawson have more than typical relations due to their long standing cooperation. They will not betray him now that he is 72 y.o. in his last company before he sells it !
Common sense folks! Think simple.
B) TID is also increasing its EBITDA and Revenue Q-O-Q and CS has another reason to support Dawson (excluding their very friendly relations), if needed.
So it is all common sense folks! IF NEEDED, the refinancing can take place at any time extending the pay back period and lowering the interest rate. This is a GIVEN but all ignore it. Typical HERD BEHAVIOR.