honest answer is its impossible to be sure what the leasing deals will look like on the info we have right now. e.g currency, term of years, amount of capital reduction if any, interest rate, up front deposit, amount. I hazard a guess that BMO Leasing will be the service provider and world bank the cash provider but that's all unproven.
on the subject of leasing, where BE is the provider of the leased asset, the electrolyte, it would be quite normal for an outside leasing company to provide all the leasing service including credit underwriting, asset management, recoveries, payment management, governance and disposal/renewal and share the leasing profit with the vendor. in order to frame that activity bushveld could either put all the activity into a new company for the purpose and share the shareholding with the leasing company or own it outright wit a separate profit share agreement between vendor/leasing service provider.I would be very surprised if bushveld sought to create their own leasing business. most of the major product based leasing offerings are in fact provided by leasing companies and badged with the manufacturers name. usually termed undisclosed vendor leasing. gla
if I was looking at financing vanchem I would offer a working overdraft on demand rather than a term facility. the lender can demand repayment if they need to and the company pays interest on the net debt only.
could be weather related dorian or bmn holding back stock for own use for electrolyte or maybe its being shipped to china or india and not appearing in the usual places. unconcerned, watching and reading. gla
roscon - if Nedbank like the company enough to provide this facility then take it as a good endorsement all is going well. it is also an endorsement of credit worth of bushveld as guarantor. The bank will now look for trading output to be on or around budget, reviewed at monthly or quarterly intervals. it will be an on demand facility so in the event of any problems the bank could reduce or pull the facility so in that respect no changes to the facility again endorses good performance.