RE:RE:RE:RE:RE:RE:RE:ATM for MayMethod wrote: I do have compassion which is why I explained they should switch into FIRE.DB if they want to have more money than if they stick with FIRE but that's all I can do.
Debentures can also have a surprise upside. Look what is happening with 1933 Industries (C.TGIF) debentures. They have a conversion price of $0.45 and mature in Sept 2021. Stock has been trading at $0.10 to $0.12 range over the past week or so and debentures (C.TGIF.DB) have traded in the $50 range as of recent (50% discount). Just last week they proposed to re-price the conversion at $0.10 on the debentures and pay the 10% annual interest in shares instead of cash at $0.10 per share. As a debenture holder myself I am thrilled at this as my potential to make a greater ROI has increased significantly. For the company the upside is more than likely the debentures will be converted and they eliminate that longterm debt without cash. Their forced conversion price is to be reduced from $0.75 to $0.15. The only unfortuante part is dillutes the share count which impacts those holding the common shares the most.
This is actually in the process of being voted on by their debenture holders which will get majority in favor of this. Since this announcment TGIF.DB went from trading at $50 to a recent high of $71 with bids at $64 now. I assume upon passing of the vote, assuming the regular TGIF share price maintains $0.10, TGIF.DB will move upwards towards face value of $100. Good opportunity to buy in at a discount before that happens. Anyone holding common shares would be dumb not to sell them and not buy the debentures right now.
Reason I'm discussing this on Supreme's board? Something similar can happen here and be a great surprise to those who are buying FIRE.DB at these current prices of $26.50.