unusual market pricing What I find odd is that this market is not pricing the restructuring the way I would expect.
You can buy a pref share (B, C or D) at $0.50 or less right now while the commons are trading at $0.06 bid, $0.065 ask.
The person buying the common at $0.06 is effectively paying $12 per share (100 x $0.06/0.5) for the new common stock.
The person buying the prefs at $0.50 is effectively paying $8 per share (100 x $0.50/6.25) for the new common stock.
My only conclusion is that there is tax loss selling pushing the prefs down although you would think there would be shorting on the common and buying on the prefs to even out the arb.
Thoughts?