Big sell off by someone saying 'I can't handle this anymore' and running screaming from the building. We shall soon see if anyone else shares their view.
It is all about the refinancing. The time delay from the CR til now is evidence of the difficulty replacing the restrictive covenants and high interest rate on the Global Finance Facility. Goldman Sachs can probably do one or the other. IFN has plumped to remove the covenants - correctly.
Yes, we would like a low i rate too. The market is not providing both.
In time, the new finance facility will in turn be replaced, I expect at better i rates. Meanwhile, IFN has a useful destination for every spare dollar of the large cashflow it currently throws up. Perhaps Cherry Tree will be project financed separately. If both Bodangora and CT are separately financed, IFN can choose which facility to pay down. The most expensive, of course.
Ash
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