Slate Office REIT 9 00 Convertible Unsecured Subordinated Debentures Exp 28 Feb 2026 T.SOT.DB

The People Managing this Company have to be Either Crooked

[Malpeque2]

Or Dumb,   or perhaps BOTH.

You can't buy a property in the US for $19.8M US and tell me what a great cap rate you got on the property and that it was a great investment of our proceeds at 8.7% Cap rate, in October,   and then 2 months later tell me you have to Refi and extend the debentures,  which are less risk to the holder than Shareholders taking the risk on the Chicago Property,  and give them 9% interest!!    Yikes!!

Secondly,   IF your running a strategic alternative process than jut about any offer on any property that hits a Cap Rate of something less than 9% is better to sell and take the cash and use the proceeds to buy down the Convert.  Debenture as much as possible.  Instead of reissue at 9%!

Thirdly,    any property that is not mortgaged that can be mortgaged,  or any property that can be refi at more money,    and at a lower rate than 9% is a better deal to do and again use the proceeds to buy down the Converts rather then extend them at 9%.

For this deal to make sense the manager has to have no properties that are unencumbered or no ability to refi for more money on any properties at better than 9% rate.    I don't believe it.

What I do believe is that the holder(s) of the converts are either related parties to the insiders of the company,  the managers being SLAM,  or are SLAM themselves,  or some other entity controlled by SLAM,  or one or two degrees of seperation from SLAM.    

Good cause for SLAM to be terminated from the Managment Agreement IMO if they propose this NONSENSE!

[pennydredful]

BINGO!   It   would  seem  to  indicate that   they  have  no saleable  properties   that  would  sell  for  any more   than   a fire sale price!   They   knew  this  obligation   was on the horizon.