Greenheart has redeemed USD 8M of its Convertible Note (CN) due Sino-Forest for USD $9.5 Million in cash or a deal at par.   This leaves a CN balance due the NewCo of USD $17M.   This is significantly greater than the tender offer, where NewCo offered to discount the value  of its CN at USD 7.3M total (or USD 2.6M for the portion just redeemed).

Greenheart hasn't earned the money it is using to payoff Sino-NewCo (capital has been  borrowed from Bank of NZ).

The press release ends with an ominous citation of the Takeovers Code about 5% owners.

I'm not sure what is actually happening behind the scenes.   To recap the public statements: NewCo announced a tender offer to take Greenheart private at 0.58/share HKD. Total cost of the private buyout would be USD  21M.  Price and volume spiked to 0.75 HKD -- indicating some thought the tender was a low-ball and some assumed that Simon Murray would raise a competing  offer. 

The current action pays Sino-NewCo about 1/2 of the total buyout price without materially changing the controlling position SIno/NewCo has in ownership (63%).  The payout to the Bond Holders makes Greenheart more dependent on Sino, and less attractive as a takeover from a competing clique, as the cash loan possessed by the company has been raided.  The payout makes it slightly harder for NewCo to get to 90% ownership (needed for mandatory conversion of shares).

It may be that Murray and NewCo have worked out a deal to go "halfsies", and the $9.5 million cash payout is the blood money on the deal.  However, the high cash payout to the NewCo card holders  makes me think that a serious squeeze is being put on the Hong Kong gang behind the old Sino.