RE:RE:RE:bond 7% Concordia Healthcare Corp. (2023) at 14.60Hi Pro - the note trading around 14 cents on the dollar is unsecured and therefore gone in the event of default and minimal recovery in the event of restructuring. The equity is worthless in either of these scenarios.
The secured is the recently issued note that is currently trading around 77 cents on the dollar. The CUSIP is C26220AA8 The secured debt to EBIDTA ratio is what I am looking at overall - same with Aimia. It gives an overall view of whether the restructured company is viable once the unsecured debt and the equity disappear. Last time I did the math - Concordia 2.0 coming out of restructuring has a P/E of 8 with the secured debt at face value taking 100% of the new equity.
Concordia is on the riskier side - but you get paid handsomely to wait things out. Less risky Canadian issues would be sherritt and Aimia notes.