RE: Buy Out31 Aug 2022 12:47
"I assume it will be very difficult to reach a good return on their investment given their average." I doubt that. We are talking about a hedge fund full of clever analysts and market strategists. They don't make a punt, they invest based on good research. All we here can do is best guess what their average is, as no one here can say with certainty as no one here works for Polyg, ...I assume? According to Polyg's annual report, they managed to renegotiate their borrowing at a pretty attractive rate, especially given current market conditions. That tells me that the investments our hedge fund friends hold are not viewed by their lender as disastrously high risk. Their liabilities, of which SNG holding is one, has not scared the horses. That is why they got an attractive market rate. If a writing down of their investment in Synairgen was on the cards, I doubt their lender would have extended their borrowing at such an attractive rate. As always my opinion, DYOR and GLA.