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

Looks like stockholders are getting screwed again

[MikeKet]

These terms of amendment don't make sense at all and definitely enrich the debentures holders at the expense of the stockholders. I don't think they should be making such drastic moves given that they are currently undergoing a strategic review.

 

One possible explanation of why they are doing this is that they don't want certain holders of the debentures to convert into stock because they are worried how they will vote.

The March 31st meeting can't come soon enough.

[pjn0987654321]

It could be with all the interest rate hikes that 9% for a debenture is not so extreme.  I haven't seen a new debenture issue in a while.  Some companies are faced with maturities though. The old conversion price was at $10.53.  There was not much worry of them converting into stock but it goes to show how SLAM has destroyed unitholder value.  Yes, the March 31st meeting

[pennydredful]

They  have   to match   the   existing   7.5%   debenture   trading  about    93    and   yielding   approx.   9%    to  maturity    and conv   at     5.50 . 

[Malpeque2]

They don't have to match it.    They bought a property in the US and told us all what a great deal it was............at 8.7% cap rate.      Financed somewhat with a 7.5% debenture,  the spread sucks.  Now at 9% debenture we have a negative spread on the margin on that purchase of that asset.  You mean to tell me their are NO saleable assets in the

[pennydredful]

The answer  to  your  3rd   paragraph    tells  you  why   you   should  sell   your   units   as   their   calculated   NAV    is    pie in the sky.