Worth reading today’s Malcy’s blogs published today28 Jun 2021 23:02
“ I cannot understand how the board have got into such a state that they are prepared to go to court with a decidedly dodgy set of facts that the company has to wipe out 95% of the equity base. A positive oil market, success at P-6 or even geological re-evaluation that disappeared in the mysterious CPR cannot be ignored and was not by the Judge.
The Judge said ‘ In other words, to retain 100% of the equity in Company that is continuing to trade, with a realistic prospect of being able to repay the Bonds in due course, is to my mind a better position than immediately giving up 95% of the equity with a prospect of a less than meaningful return as to the remaining 5%’. The 30 page judgement handed down today is worth analysing as all aspects and views are well assessed.
This is a long and considered verdict from the Judge which does no favours to the Hurricane Board or its General Counsel and they should, along with their wayward attempt to bully the bondholders be returned to the box from which they emerged.
There are plenty of high quality alternative options for the equity and bond holders that could offer vision and potentially substantial upside in the share price in due course, may this pitiful part of their history be erased. Crystal Amber believes that this board’s actions have beaten down the share price from 15p and like me, sees huge upside, perhaps with a restructured board combining the best of the technical achievements that started all this and the financial engineering which leaves it where we are, right now at least the investors have a choice.”
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