TSX:REI.UN - Post by User
Comment by
DanielDardenon May 25, 2024 10:03am
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Post# 36057193
RE:Rise on News
RE:Rise on NewsJanniem wrote: I am assuming when debentures are sold there will be a rise. Really not concerned. I think of it as an opportunity to buy. Secure company secure dividend.
i am not to knowledgeable about the affect of debentures on stocks,.. any one with input?
Most astute investors would realize that private placements attract “smart money” and are designed for them. The 7 yr. term at < 5.5% speaks volumes IMO given the current rate environment. It suggests a low risk profile for REI firstly. Secondly, it likely indicates that interest rates are about to drop and stay low for a considerable period (7 yrs. ?).
Hope that Helps! Good Luck!