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Slater & Gordon - shareholder wipeout within weeks? Heads Must Roll

By Tom Winnifrith, The Sheriff of AIM | Sunday 31 January 2016


Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.


The Sunday Telegraph is reporting that Aussie poltroons Slater & Gordon (SHG) has called in experts to look at a restructuring of its borrowings as the problems caused by the £600 million acqusition of the fraudulent operations of Quindell (QPP) mount. This should come as no surprise to ShareProphets readers - I explained HERE on November 21 2015 exactly why S&G was a ZERO. The shares - A$8 after the Quenron purchase are already down to 62.5 Aussie cents. The fact is that with a market cap of A$222 million but debts of A$700 million it will be out of cash - unless it defers debt repayments - by mid year.


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