Quarterhill Inc T.QTRH

Usual play on conv. deb.

[Fallbackon]

Issuance of Convertible deb. often leads to a temporary large increase in the shorting of the corresponding stock.
The play in question is shorting the stock and buying at least an equivalent amount of the convertible deb.
it is a benign and short term operation and is not dangerous to your health !

[Justhalffull]

That strategy would not work in this situation.  First, we do not know what the debentures will sell for, but it is a certainty it will be above par.  That's where the Raymond Raymond James profit comes from.  So to make money on the debentures, you will get the yield at issue If the sp does not rise, you will have to sell the debentures at par, so lose whatever the premium was

[shareholders1]

With 15 yrs of TSX experience (which department?), JHFFL analysis seems a bit...short. Perhaps mine is too, but... RJ had to enter into the deal for a fee. QTRH's PR refers to use of the "net proceeds". I cannot imagine they are just referring to legal fees. RJ are not going to raise 50m for nothing at all except the chance to flip the 50m to their clients for say 52m. No way