RE:Damage The problem is there will be questions about the fundementals. They are fantastic now, but if the pipeline is based on exposing a loophole that will likely be closed soon, it throws the whole investment thesis out the window. If the growth engine that was supposed give single digit growth disappears, you are left with a large amount of debt and legacy assets which typically decline. It would be very hard for the company to attract new money with a leveraged balance sheet and declining assets. It will be an endless cycle of trying to buy new assets to offset declines which will be hard to do given the leverage. It will take alot of time for the company prove they can pull it off (if at all they can) and could be dead or declining money for a long time.
curiousbuild wrote:
How much damage have this BO rumours done to share price past few months? I wouldn't be surprised ambulance chasers, fake longs supported by shorts, showing up soon.. I don't know how professionally this had been handled by company and Greenhill either.. what a mess.. Now how ugly it has to get before it gets better on its own fundamentals. CB