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Ivanhoe Mines Ltd T.IVN

Alternate Symbol(s):  IVPAF

Ivanhoe Mines Ltd. is a Canada-based mining, development, and exploration company. The Company is focused on the mining, development and exploration of minerals and precious metals from its property interests located primarily in Africa. Its projects include The Kamoa-Kakula Copper Complex, The Kipushi Project, The Platreef Project., and The Western Foreland Exploration Project. The Kamoa-Kakula Copper Complex project stratiform copper deposit with adjacent prospective exploration areas within the Central African Copperbelt, approximately 25 kilometers (km) west of the town of Kolwezi and about 270 km west of the provincial capital of Lubumbashi. The Kipushi mine is adjacent to the town of Kipushi in the Democratic Republic of the Congo (DRC) approximately 30 km southwest of the provincial capital of Lubumbashi. The 21 licenses in the Western Foreland cover a combined area of 1,808 square kilometers to the north, south and west of the Kamoa-Kakula Copper Complex.


TSX:IVN - Post by User

Comment by ororossoon Mar 17, 2024 6:42pm
175 Views
Post# 35937501

RE:RE:RE:RE:Time to force conversion of the convertible debenture

RE:RE:RE:RE:Time to force conversion of the convertible debentureI think you are missing the point. 

Of course it is IVN 's option to force the conversion as you have noted above.  They can pay cash but the cash payment is equal to the US$ value of 134.5682 shares, not $575 million in cash.  There is no way IVN has that much cash to convert with cash.  They will have to use shares to convert.  The number of shares will always be the same.  They can do nothing and let the debt mature in April 2026 but the principle will be the same. 

So the question is do they convert the bonds now and issue the predetermined number of shares and see what happens with the shorts or do they do nothing and wait.  

IVN has more options available to it now that it is in production and bringing Kipushi and Platreef into production.  It should be able to  access the high yield market just like FM did.  FM raised $1.6 B at about 10% interest rate.  IVN should be able to do much better, as they have no debt other than the convertible and are now a $20 B Cad company.  Lots of options available for the company going forward.
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