Re: Shareholder Rape
in response to
by
posted on
Mar 26, 2012 09:49PM
Crystallex International Corporation is a Canadian-based gold company with a successful record of developing and operating gold mines in Venezuela and elsewhere in South America
Bankruptcy always = Management (key personnel) staying/retention bonuses.
Also, the lender is requiring the MIP.
The amount can be debated but I would have to say it is going to happen in some form or fashion.
One thing to compare.
Last November:
49% CVR and 20% interest on $135m
Now:
35% CVR and 10% interest on $36m + 100m notes @ basically 10% **
Management was getting 10% in the deal last year as well so no surprise really. We need the judge to **stay** the notes until award/settlement or the noteholders to step up with a better offer than Tenor (assuming we shareholders stay in the game for 55+%. I believe we could see the 50 pennies some are talking about after one of two is accomplished. And, of course, dollars at award/settlement.