The only caveat is that, as part of the deal, Elixir II will require fin­an­cial assist­ance, and this will come from the shares that Wil­lowglen is get­ting in Elixir II, which will be pledged to a bank as a share charge, as will the shares of Elixir I.
This assist­ance will help Elixir II bor­row S$35mil to help pay for the trans­ac­tion. Share­hold­ers will need to scru­tin­ise and weigh whether this deal is good for them, as this share charge will remain in effect until Elixir II has fully settled the bank­ing facil­ity, after which these shares will be released to Wil­lowglen free of encum­brances.
But what hap­pens till then? What bene­fits can Wil­lowglen reap from this deal?