ok lets get to some serious business and posts some facts here..
1. the company is in a precarious position
2. Company needs cash as its technically insolvent. Sell all its most liquid assets( besides stake at Star africa), its stake in Kap
3. Next trying to sell the automotive division ( imo this will take some time and may not even be sold as number of questions will arise once due diligence is done - can that company's accounts ever be correct and trusted? not a chance imo)
4. Sieffert/Lsw case..makes out of court settlement. Probably make full payment as required by Sieffert.( any bad for the PC)
Monies from Kap sale will be used as settlement. Talk here of sweeteners to be paid to creditors again hogwash. Creditors not here to play a game. They want whats in their best interest and if it does not come their way , they may aswell fold up the PS now.
5. Extension of LSD or whatever u call that and reason in my opinion is you going to have a number of creditors objecting to sale assets). Also creditors wont approve until and unless they know the full impact of the PWC report. So extension asked as details of report to be slowly released to creditors. If i was a creditor i surely will want to know what the f@ck is happening to this company before i approve any extension of my loan.
6. and now latest sens says dates or goalpost has been moved again for the afs...Why?? As per sens out
“The track and trace process required to ensure that all appropriate adjustments and journals are audited at each subsidiary and sub-consolidation level, however, is proving to be far more complex and time consuming than expected.”
Whats complex? If accounting irregularities , you can reverse those entries easily and recover from third parties. hahaha ( love this hahaha)...Read between the lines what they saying guys. If you dont you going to be in real pain with your investment. Ask yourself why would a company with pepco, coco and milo showing +30% increase in turnover in last 3 or 6 mnths with as some say here nav of E4.6 and debt of only E9.4b still be in this precarious position? Are no alarms bells still ringing in your heads?
Does any sane person think auditors will give a clear opinion without LSD being agreed by creditors.The acceptance of creditors goes hand in hand with the contents of the PWC report. IE how deep is the pain in this PC.How much more write offs? If LSD not agreed. this company is technically insolvent and auditors will give a qualified opinion or withhold an opinion..and this may doom the PS immediately. So the most important factor for now and for this PS to survive , its all in the hands of creditors. They can make or break this company within the next 2 months..Forget about restructuring , pepco, coco and milo...Thats totally irrelevant now. So my take PS totally in hand of creditors. The quicker that LSD agreement is signed , the greater the chance of survival , be it survive a year or 2....but for now , sign now is the crucial part for it having any remote sense of hope to survive. Note : singing now does not stop the auditors from still expressing a qualified or no opinion for whatever reason they want. So thats another hurdle to overcome.
and again do youll really think new dates given for audited afs will be met? If you say yes you still dreaming and lying to yourself of all those holidays this PC is going to make for you.
Good luck....I expected a bounce towards R4 and as Leo told me damn you being too charitable...Will never see that price .Maybe he was right and i was wrong as price continues to dribble down.
