Well said – The shares are ‘effectively’ pledged (both of Dystar and Kiri) as it is litigation financing and the Private Creditor of Singapore would not lend money without the ability to sell the shares in case the loan is not repaid by Dec 2025. RBI does not allow pledging to foreign lenders so ‘encumbrance’ is used but effectively it is pledged. This makes it very risky now if money does not come by Dec 2025. Then Kiri is at the mercy of the Private Creditor to allow extension and not invoke the shares. It is a high risk gamble on part of the promoter to borrow now vs patiently wait for a year!
Very low likelihood but nonetheless, what if court case is extended beyond Dec 2025 due to some gimmickery of Senda (and say Private Creditor is working with Senda/LongSheng) Private Creditor invokes the Dystar shares and passes it on to Senda – black swan event but a risk nonetheless)
I don’t intend to FearMonger but just adding a remote possibility esp. as this case has taken so long already that anything looks possible here and so market will not believe this situation unless money comes in the bank account.
Disclaimer – Invested small % of pf and understand this is almost binary event now esp after this latest aggressive financing event!
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