MEG Energy Corp T.MEG

Meg buybacks for May

[CJInvestor]

I don't see anything posted for Meg for May yet on stockhouse but I do for other companies. Did they not do buybacks in May and that's why the share price did so poorly?

[aaaaaargh]

Sometimes they do share buybacks.....sometimes they buy back senior notes (debt).   In May, Meg bought back 37,175,000 worth of debt....

[ztransforms173]

- MAYBE (?) they PAUSED NCIB as crude oil prices DECLINED - BUILDING UP CASH BALANCE to EXECUTE further 2027 7.125% NOTE BUYS as they BECOME AVAILABLE in the BOND MARKET * the 2027 NOTES are INCREASINGLY DIFFICULT to BUY as the BOND POOL CLASS becomes SMALLER - in the NEAR FUTURE, they will have to SWITCH to BUYING the 2029 5.875% Notes {USD 600 million} as the REMAINING 2027 Notes

[ztransforms173]

better now: - in the NEAR FUTURE, they will have to SWITCH to BUYING the 2029 5.875% Notes {USD 600 million} as the REMAINING 2027 Notes 'MIGHT' NOT BE FOR SALE z173

[Tothemoon2]

As far as bond purchases go, Meg has to pay over par price by 1.5% roughly if they call the 2027 bond and it looks like market purchases are around that price too.  ON THE OTHER HAND the last trades I see for the 2029 bonds are trading below par value (97.5% to 96% in April) and can be bought saving even more.  I say wait to call the 27 notes until Feb 25 and then pay par and start

[jleer42]

Yes, they can retire the 2029 bonds for now. In February they can look at rolling over all their notes. Veren/CPG just reissued 5 and 10 year notes, the 5 year at ~5% and the 10 year ~5.5%.