Apologies for the extra text on AVB but is needed for context.
Centro was an opportunity sitting for anyone with $10m to throw at it, AVB Directors knowing the resource (Mottram, Phillps prior involvement etc ) possibly clearing its purchase with OZL (talking for 3 years) and knowing their own personal end game, they just used the cash they had, it was never surplus cash! and you would never use it here without some cash plan, no wonder they appeared blasé on this spend. The plan ended with the key negotiations with Vale (for two years) to acquire Pantera 100%, in January 2018 AVB announced the acquisition of 100% of Pantera and hence performance targets hit, AVB Directors bail and hit a personal jackpot, OZL has all its targets met, Pantera is some prize too!
Still, smart work by OZL should never have been this easy to take a solvent company at a good price, but no one (certainly not Andrew) ever forgets how this went down, OZL may need some labour in the short term. Andrew and the OZL team will completely rejuvenate the Brazilian management over the next couple of years, earlier if a few cashed up existing Directors want out of the jungles.
From my OZL standpoint it has been a very big win which should add great value to OZL over the next few years.
All IMHO of course.
Cheers
Phil.
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