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Bullboard - Stock Discussion Forum LAKE SHORE GOLD CORP 6.25 PCT DEBS T.LSG.DB

TSX:LSG.DB - Post Discussion

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Post by sens93 on Aug 08, 2014 10:03am

1.40

I personally think well see a pullback here at 1.40, i took some profits at 1.39 expecting to add back a little lower.  I could be wrong , but the debentures come into play at this value.  i know they arent cashsble until sept 2015, but could still add some pause.
Comment by bigdaddycash on Aug 08, 2014 10:37am
no doubt about the dilutive affect if the debentures are converted.  however, this may be somewhat offset by at least a couple of factors: 1) the reduction in financial risk if the $100 MM of debt is taken off balance sheet. 2) back of envelope calc shows the reduction in interest expense result s in approx $36/oz reduction in cost per oz. based on 180,000 oz annual production. --> even ...more  
Comment by borne2run on Aug 08, 2014 10:41am
Re:  debentures My understanding is that the debentures can be converted into shares by the holders at any time.  However, the company can only redeem the debentures at face value after Sep 30, 2015 (and only if the share price is greater than $1.82, in which case the holders would be better off to convert).
Comment by LexMark747 on Aug 08, 2014 2:50pm
The MACD and also the RSI are showing negative divergences which most of the time ( but not always ) means a pull back is imminent. I myself am not trading this stock at all. It has proven in the past few months that it moves forward when ever the hell it wants to ...lol...lol...lol.... but I do believe that $1.39 trade for profiit will prove to be a good idea. It's just not for me. I wish you ...more  
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