Invesque Ord Shs T.IVQ

Special meeting of debenture holders

[Nstrat]

Looks like the company has requested a special meeting for the Jan/22 debenture holders to vote on some proposal.  Personally I'm only interested in having them repay my principal and accrued interest on maturity.

[Capharnaum]

I agree, let them issue a new set of debentures/extra shares if that's what they want to do, and repay the debentures. I do have a fair number of debentures and I'll be sure to vote accordingly.

[Capharnaum]

Just to add, hopefully it's a opt-in situation, where you can decide to walk away if you want or you can take their proposition.

[Capharnaum]

The terms just came out and imo, they are pretty bad. I'll vote against the proposal. The interest rate is 6.25% while you can have an effective interest rate of around 8% (+ potential capital gain) for the V debentures series. The $6 USD proposed conversion price is a premium of 350% compared to the closing price, basically hot air... I would have expected 8% interest and a conversion around

[2young2invest]

Well, I owe like 0.15% and was planning to get my money and move on as well. Questions is who owes the rest 99%? :) They will redeem $10M of debenures though. Anyway, what are the possible reasons for this proposal might be? Kicking the debt down the road doesn't sound like a very prudent strategy to me.

[Capharnaum]

I looked up and there doesn't seem to be any one big holder. So if the smaller owners vote "no" (in a proportion of 33.3%+), they will have to redeem it. They probably want to keep a cash cushion and don't want to go to the market, so they are trying to fool the debenture owners into a cheaper than market alternative. The "V" debentures are a way better deal on the

[2young2invest]

Makes total sense what you are saying, IF you only hold their debentures. But I'm also holding some common and suddenly it's not that simple anymore. Redeeming now and then have a cash crunch in the future will hurt the stock even stronger and/or longer, as minimum.

[Capharnaum]

It doesn't matter if you hold commons. Getting paid at the end of Jan would let you reinject the cash in cheap shares for a much better future appreciation then holding the debenture. They will find another way to finance things.