Chemtrade Logistics Income 6 50 Convertible Unsecured Subordinated Debentures T.CHE.DB.E

So if you like conspiracies

[uograd]

you may want to look at the trading in che.db.f debenture

last few days there have been at least 5 blocks adding up to almost $10,000,000 not shares

now these debenture are convertible at 7.35 so if a guy wanted to start picking up a stake in chemtrade on the qt they could start by buying these debentures and have in their pocket the conversion at a later date into trading shares and voting shares.

just saying ....

[bttmfischer]

Looks like something Brookfield would be doing. It wouldn't be the first time they used this tactic. Good observation U of O.

[CanSiamCyp]

Exactly how does the conversion of debentures to units take place? Does the holder have to submit the request to the REIT management office ... and then they issue new units from treasury at the prescribed price. Given that the debenture you are referring to is "in the money" at $7.35 and the units are currently trading above $9, what is the incentive for debenture holders to continue

[HermannHaller]

The advantage of holding in the money converts is that it gives you downside protection. The converts will trade higher, if the stock price goes higher, but if something goes really bad, you are safer in the bond. Then you have to consider if the difference between the dividend and the interest rate is worth the downside protection.