GREY:ALEAF - Post by User
Comment by
rad10on Dec 17, 2021 12:53pm
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Post# 34241168
RE:RE:RE:Debentures now BOGO
RE:RE:RE:Debentures now BOGOCowering...... Lol you are such a rookie......
The equity is worthless, the enterprise value isn't. Whoever holds the secured facility owns the future equity, undiluted.
Would you rather own 10-15% of diluted near worthless equity, or have your debt converted to 100% of the recapitalized new equity? Existing shareholders and unsecured debenture holders are wiped out. Assume the enterprise value remains the same......
I appreciate you are clueless in this area, these concepts aren't for everybody. The apex predator is the secured lender.....
Toweringmars wrote: These lenders hold millions in equity bozo.
You wouldnt cut off your left foot to save the right one.
Well, you would maybe... Perhaps try and weasel your way out by offering friends and families foots.
Hows your uncle?
quote=KeyserShoze]Never mind the 12%... These lenders will grab the facilities for pennies on the dollar.
rad10 wrote: 50 cents on the dollar....
They are telegraphing a recapitalization. Seasons greetings folks. Secured line of credit holders with their 12% interest rate must be salivating.... should be a good Christmas for those guys. The turkeys are getting stuffed!!!!
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