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NYX GAMING GROUP LTD 11 PCT DEBS V.NYX.DB



TSXV:NYX.DB - Post by User

Comment by StockMagicianon Nov 18, 2016 9:49am
172 Views
Post# 25480114

RE:RE:RE:News

RE:RE:RE:NewsI read the new release in a different way.   It looks like the holders of 9 of the 10 million think they are better off taking the 6% extension than taking shares in NYX at 1.39.    That screams that it is going lower to me, so I sold out at the open.   I still like NYX and will hopefully buy back in at a tax loss bottom turn sometime in the next 4 weeks.   Good luck to the longs that have a stronger willingness to hold than I did.

GobbleGobble wrote: I actually really like this move. In plain english for those who are not as financial savvy as others I hope this helps you translate this news release:

A holder(s) that has $1,000,000 of the $10,000,000 (or 10% of this debt) has agreed to swap debt for share at a price of $1.39 per share. What does this mean? It reduces the outstanding debt that NYX has to pay back and also reduces their interest expense burden. IMO this means that the holder of the $1,000,000 of debt saw the $1.39 share price as a steal and wanted to lock in this share price right now... meaning they likely expect the share price to be much higher in the future. 

Also really like the extension as it won't destroy EPS on the next two quarterly reports. 

Seems like the CFO is hard at work to correct the capital structure and make the company more attractive to investors. 

All IMO.

Gobble



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