GREY:COLUF - Post by User
Comment by
WeKnowEnergyon Dec 18, 2013 4:31pm
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Post# 22019965
RE:RE:RE:Notes
RE:RE:RE:NotesThe wording is strange I agree but when I talked to the company previously much of the discussion was based around the fact that if financing in place, us noteholders want to stay in, but new money won't finance with noteholders in front.
So I assumed already that there would be some kind of comprimise. Similar to the linked coupon I think the haircut will be linked to the degree of equity backstop protecting the notes.
Depending on the details I think we could make out pretty well from here, like you said if the haircut is very steep then we are better off taking the mine and selling it off. If the haircut is reasonable w/ accrued on top and balance sheet reinforced then we will be looking pretty good. Hopefully the change of control terms are favorable as well since the co looks to be going the sale route.
Guess we'll find out soon enough!