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The AU business will likely see its fee income shrinking to around $200M p.a. and even being generous and guessing that it can achieve a profit margin of 5-10% my view is that it will struggle to pay off the loans it has now been saddled with.

What is noteworthy is that since Anchorage have taken over (March 2017) they have had to repeatedly extend lending , make capital payments and capitalise interest payments that the S&G group cannot meet.

Note also the extending lending facilities Anchorage granted to S&G in the sum of $40M in May 2017 and $50M in August 2017.

By year end December 2017 the new lenders could very well have injected circa $150M, plus their own costs of acquisition of approx. $20-30M. Then add on their purchase costs of the distressed debt (at 20 cents in the dollar) of circa $120-150M.

So total outlay by Anchorage on this project by December 2017 will be in the region of $300M (£182.7M GBP). Possibly more.

An incredible sum of money to have invested in this sector of the UK economy given the forthcoming regulatory changes.