Slate Office REIT 9 00 Convertible Unsecured Subordinated Debentures Exp 28 Feb 2026 T.SOT.DB

RE:RE:RE:RE:RE:An offer from GA

[TVR]

Re: Change of Control:

Depending on the specifics of how a change in control is defined it would appear that anyone who wants to make an offer for the existing equity units, including Armoyan or SAM, would have to buy out the debentures as well.  Since that is unliklely to happen it would appear the debenture holders are the ones who decide whether or not any recapitalization proposal is acceptable.  Seems like this limits the options of Armoyan and SOT.UN management to proposals that involve an equity injection in some form but do not result in 'change in control'. However, since an equity injection alone is unlikely to be large enough to resolve the variouis debt defaults the debenture holders will probably be asked for something (probably equity conversion) and in return they are going to want to end up with a very large % of the equity in the REIT along with a regular 'dividend' payout to replace the lost debenture interest.  Restructuring/changing the debenture interest rates, maturity, etc. is not an option since it does nothing to change the debt ratios.

If anybody knows what is going on with the debenture holders I would love to know who is representing the debenture holders group in the restructuring process.