I’m re-reading the FT article on Xia from May 2016, questioning his, background, credentials, lies etc. The clues were all there in the article.
There was a £50m loan due back to the parent company. I wonder if it is swapping debt for equity if it includes that, or if it's a new injection of cash altogether?
Quote from: Chico Hamilton III on June 26, 2018, 11:31:53 AMI’m re-reading the FT article on Xia from May 2016, questioning his, background, credentials, lies etc. The clues were all there in the article.The "Champions League in 5 years" bollocks, or whatever it was, was all I needed to hear to set major alarm bells ringing.
Excuse my ignorance but how can you convert debt to equity?
In a debt-for-equity swap, a company's creditors generally agree to cancel some or all of the debt in exchange for equity in the company.Debt for equity deals often occur when large companies run into serious financial trouble, and often result in these companies being taken over by their principal creditors. This is because both the debt and the remaining assets in these companies are so large that there is no advantage for the creditors to drive the company into bankruptcy. Instead the creditors prefer to take control of the business as a going concern. As a consequence, the original shareholders' stake in the company is generally significantly diluted in these deals and may be entirely eliminated
Can we make this like Janet & John please? Are we looking safe from admin or not?