Even if they get some board members they still wont have the voting power. They would also be sued for breaking fudiciary duties to GSL. I don't see them doing it this route. I still see them purchasing the whole company back at a reasonable price though.
Well you have to figure net debt would be 420-75 mil of cash. So 216 + 345 mil of debt ~ 560mil. Remember though they have like a ~850 mil obligation of future charters to GSL so it might just make sense for them to buy us out.
Interesting. I think the public shareholders of GSL would agree to an 8.00 / share buyout by CMA CGM. So they already own 20.5 mil shares and they can by the rest (27*8) for 216 Million and cancel the charters.
No your math is off. There will be no required amortization of debt now. Int exp is around 20 million now but will go to 42 million if they keep this debt. Debt was around 360 mil before this so they will prob have around 50 million to play around with besides existing cash of 25 million. Now they have:
qtr revenues : 36 mil
op ex: 11.5 mil
depreciation: 10 mil
g & A: 1.5
operating pro 13 mil - 10.5 int exp = 2.5 qtrly income.
Doesn't make sense but hopefully they can refi this brutal debt.
Thats kinda why they are doing this, more financial flexibility and no required amortization of debt. They should declare a divy within a qtr if they close this new debt.
I think you were close. I would say nat gas = 13 mill and oil = 7 mill for 20 mil approx. well see.