Quote:
Originally Posted by mikesouth
You are correct but the loan security has to have value I dont see manwins pre-loan holdings having anywhere near enough value to secure a 360M dollar loan and if somehow bankrupt multi-failure Fabian did manage too get such a loan the interest rate would be astronomical.
and seriously what could manwin possibly own that would be of any value to colbeck capital? Brazzers? i doubt it....I suspect that when its all said and done we will find that loan was secured with cash....now reckon where that kind of cash would come from and if it was secured with cash why take the loan to begin wth
Sundin might have some answers...or Bob Rice...
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I disagree. When the chance to "buy" the original manwin properties came up, they had a cash flow and that would secure the loan. As he performed with that, the more he could borrow. It was probably then turned in a securitized loan and sold off. Honestly this is how all banking is supposed to work. They help you build your business through growth and acquisitions. As you become more proven you get access to better markets/rates.
That might also explain the all encompassing security arrangement. It was made after they were a going concern and to provide a decent loan to value.