Replies to post #14334 on Savvy Trades and Investments

[cartonet]

BRM.V from M&A just out today, see in bold:

The Company’s long-term debt is due between October 2015 and August 2016. Management expects that the long-term debt will be refinanced through cash from operations, other sources of financing, revised payment terms and extension of the maturity dates of the debt, or other methods. However there is no certainty that the long-term debt will be refinanced or refinanced at terms that are acceptable to the Company.

This is what the lender, Expansion Capital Partners has always done over the years, extend and revise the payments. No reason why they wont do it again.

Take in consideration they are not some quick penny flippers but a large private equity capital fund that invested around 3 to 4M shares at 2-3 bucks originally. When the time is right they might convert and sell BRM, not earlier IMHO

http://www.expansioncapital.com/strategy.php

Focus on Exits: the Fund’s focus on exits begins at the time a company is being considered for investment, and the Fund Managers must be able to see several clear and plausible exit paths – from buy-outs to sale scenarios – prior to making an investment. The Fund Managers draw upon a broad network of financial and strategic investors to help a portfolio company through the exit process.

[Trent Blair]

BRM.V BIRMF I'm not concerned about the shares coming because it's with a friendly shareholder that already owns most of the shares. It's a fund so any exit for them would have to be a buyout. You just have to factor in the fully diluted sharecount for earnings.