Fact - Lind now fear for their money and want it tomorrow.
Fact - we cannot do that.
All the writing is on the wall there in the RNA for all to see and it is an interim announcement to break the bad news, with no soft soap from the BOD as has been their m o of late - till this RNA. And if a positive spin on Bennetts exists, plenty of other lawyers in Perth- let's hear it.
Just an observation here but if the BOD did not have a clear plan of action then they would have asked for more time or a revised proposal to Lind. We will know tomorrow what that plan is but I expect a lot has been going on behind the scenes while we have been in suspension. One thought for you though, everyone keeps telling me that LO and Core are linked, then why on earth would LO be going ahead with the rig purchase (see RNS) if we were going out of business, they would surely wait and buy them off the receiver.
You have to think from Lind's point of view. They lend money to PLCs and get paid shares at a discount to sell in the market. That is mode for payment. Now that they can't get paid and have no certainty, because Chinese can still pull out or shareholders don't approve and that is too long away, meanwhile, the company is burning cash with salaries, expenses etc.
The quicker they move, the more cash they will get back. Purely business.
I hope nothing bad will happen to this too. It is not game over yet. This is just a demand in line with the default provisions which if isn't met by Range, it will give Lind the right to call in receivers. I am guessing it would be one business day to pay up.
BOD wants to write to them to ask them to wait for Core money but that is months away. I said before unless the Chinese can give them certainty, Lind will not wait as their position becomes worse. I am guessing negotiations have been happening but Lind (thinking like a normal lender) will want certainty and will not wait so they issued demand to ratchet up the heat. They are not buying the Chinese Jamorrow.
Ball is still in Chinese court. Chinese can still pay up. RRL's future lies in their hands but it has just taken one step closer to the brink.
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