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Concordia Healthcare Corp. T.CXR.R



TSX:CXR.R - Post by User

Post by visionaryfoolon Oct 19, 2016 1:46pm
113 Views
Post# 25361805

Random thought on debt paydown...

Random thought on debt paydown...
Could the Company not use the proceeds from its $350M debt to buy old debt at a discount? Just throwing out numbers but lets say old debt is trading at 70, if they buy $200M worth, that'll cancel ~$300M of interest payments. They'd be making money on the debt swap. As the Company engages in financial engineering, wouldn't it make sense for them to go down this path?
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