GREY:DLTNF - Post by User
Post by
Unburgeron Jul 13, 2024 6:55am
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Post# 36131408
SNDL Hostile Takeover
SNDL Hostile Takeover What SNDL is doing is known as a "hostile takeover" through "debt leveraging" or "debt-for-equity swap." Here's how it typically works:
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Debt Purchase: The acquiring company buys the debt of the target company, usually at a discount if the target company is in financial distress.
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Calling in the Debt: Once they own the debt, they can call it in, demanding immediate repayment.
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Control of Assets: If the target company cannot repay the debt, the acquiring company can use this leverage to take control of the company’s assets, often at a lower price than what it would cost in a straightforward acquisition.
This strategy can be a part of a broader hostile takeover effort, where the goal is to gain control of a company without the consent of its management.
Delta-9 is toast they over debt leveraged by an experienced managment team and now the sharks are going to take all there assets for pennies on the dollar.
I sold out of all my DN when John Arbuthnot went on social media calling himself Mr. Dow Jones after the intial stock spike.