Concordia Healthcare Corp. T.CXR.R

Almost $500M in the Bank

[Lumberfeverlong]

These bankruptcy rumours are completely absurd. The company has enough liquidity to continue as a going concern for the foreseeable future. If any deal is to be made that would require bankruptcy counsel advice at this stage, it is one where the company makes an offer to unsecured bond holders at a substantial discount to their face value which would be funded by a new tranche of secured debt. That my friends would be very bullish as overall indebtedness would likely be reduced significantly if enough unsecured bond holders accepted the offer. I don't have clarity on the volume of trading on the unsecured bonds over the last several months. However, if there has been a lot of turnover, that would mean that the average cost basis on the bonds is likely well below face value making the chance of success of execution of such a strategy more likely. 

I would appreciate anyone's insight on whether a siginificant amount of the bonds have changed hands during the last several months.

[JoeDev]

Hi. I m a fairly new stockmarket guy. Does anyone know exactly why CXR halted today. Is there any concrete news??? Please let me know. Am holding cxr. Thanks Noe

[DanKwong1958]

Halt was a volatility halt when shares started to plummet when the news came out on debtwire about the Bondholders forming an ad hoc committee and retaining Akin Gump Bankruptcy Counsel. That's from what I gather at least.  Anyone has more to add or correct me, please do.

[JoeDev]

Again. I m an old guy.Just recently started Playing the stockmarket. Not that experienced. Is that a fact about the bondholders And if so so does that mean the stock will be headed down again?? Should I sell????

[Health123]

JoeDev wrote: Again. I m an old guy.Just recently started Playing the stockmarket. Not that experienced. Is that a fact about the bondholders And if so so does that mean the stock will be headed down again?? Should I sell???? No one will tell you whether to sell or not. The equity is worthless based on what is happening in the debt market, but how it gets there is anyone's guess. In reply

[JoeDev]

Thanks Man. Anything helps. Got burned a few times. But I like to take chances. When you look at vrx. It went down than up again several times. Was hoping at 3 bucks + it would bounce to 6 or so with the Trump rally. Shoulda dumped at 4.50 maybe or maybe someone is loading up. These halts should have to publish what the news was that caused the halt...shouldn t they??

[Health123]

VRX is more contentious as it falls.   They have assets that they can divest (Salix, Bausch and Lomb) ... Not so much the case for Concordia because they bought "old, unloved" drugs as part of their business model ...  then jacked up the price.   Because Ackman is masterful at PR, they have more help with the "up" and a lot of AM's are still buried.  In

[AllAboard711]

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[DeathPool]

Its already a death pool in case you haven't looked at the chart.  And take it from me - I know a death pool when I see one.  So now you are speaking for Oberman?   Does he have a voice himself because I didn't hear him on the conference call and yet I heard their legal counsel Francesco Tallarico.  Can Oberman make the debt disappear like a magic act?  Has he

[AllAboard711]

This post has been removed in accordance with Community Policy

[JoeDev]

I m hoping. I bought more at 3.85.

[JoeDev]

So you don t think this new CEO who just sold a company he had is capable of finding some company to maybe take over CXR. CXR could sell some of its assets and cover some debt. And make it a little more attractive. Copper is keeping my head above water. Vectorvest said HBM was a sell at 4 bucks + last mth... I held on and look at it now. I know its a long shot...cxr...but I like to gamble...a bit.

[JoeDev]

So you don t think this new CEO who just sold a company he had is capable of finding some company to maybe take over CXR. CXR could sell some of its assets and cover some debt. And make it a little more attractive. Copper is keeping my head above water. Vectorvest said HBM was a sell at 4 bucks + last mth... I held on and look at it now. I know its a long shot...cxr...but I like to gamble...a bit.

[TraderBen]

Trading copper is a lot different than a drug company that isn't linked to the price of a commodity.  Concordia was up for sale from March of this year in case you didn't know that and no deals were struck.  The recent note offering was the last resort when they couldn't sell themselves.  if you are a skilled trader, you may be able to make some money but it is consensus

[TraderBen]

Oh and be quick.  There is a pool going on when they file for Chapter 11 and one guy just said Thursday.   I'm not sure if he meant this Thursday, lol.

[JoeDev]

yeah. You re most likely right. But I made 42000. In 2 days 2 yrs ago on a trade everybody said was garbage. But for the most part. I think you re right about this one. I ll dump tmr if I get the chance.