TheGlobe.com Inc (TGLO)

[JAB15]

If you believe that the RM is the only way for the company to ultimately move forward with its vast and multiple long term objectives (despite the recent information regarding one build out at a time) then the RM should come before the FID as it is part of the Capital Investment Decision. I dont believe that Delfin will finance piecemeal the various buildouts. Needs to access and leverage new capital to spread the risk. External financing will be much easier to come by as a publicly trade company. The RM should happen sooner than later to set everything up nice and neat. Of course if they dont decide to RM then...… $TGLO

"The Capital Investment Decision (CID) is based on:
– Investment decision
– Financing decision
– Dividend decision
In practice it means that the FID will be made only when the company has completed the financing and defined its dividend strategy for the year to come.
Since the FID is attached to the financing which may have an impact on the debts level of the company and to the dividend, the FID will be made by the Board of the company based on the proposal of the Executive Committee.
The FID may be postponed until the Board and the Executive Committee are aligned.
This point takes a particular importance in large project driven by a joint venture between two or more partners.
The joint venture may have its own Executive Committee, while decisions are made the Board of the different partners."

"In the energy project context, FID stands for “Final Investment Decision”. It’s basically the point at which everything is in place for a project to say “yes, let’s go ahead”. It’s when the project execution phase begins and the big money starts being spent on project construction (i.e. often when an EPC contractor gets to work). To reach FID, a project has to have a wide range of contracts and permits in place which have allowed it to agree its investment structure and terms with its finance providers (both debt and equity)"