RE:Someone Place a Big Bet!Curv
Based on your argument the revolver extension 7 months ago should have caused a technical default to converts when W backed them. If so It would also have been a material event imo. P never mention it so I doubt it was ever an issue.
As to why pros would buy or sell the converts now is a guess. I suppose a hard charger hedge fund could want a seat at reorg table buying 51% of debt and cramming down a result. I doubt W would want to deal with that drama as its easier to just continue to back the revolver that should be about 15 million by now. W has too much to lose by letting go into CCAA imo.
Some hedge funds may be risk adverse to possible bk filing and forced to sell prior to any potential filing per their own rules. Maybe a fund was hedged short against convert long ago and its time to book some profits. It would not a huge loss on actual convert sale after interest was counted especially if that fat short paid big. I think going long the convert here is a great bet. They will most likely get paid and maybe that alone is the incentive to buy.