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

A Good Move IMO

[Detailoriented1]

They recently sold a property for more than last NAV so that supports the share price. They just bought an A level property with 30% vacancy and will start to fill those spots up and increase rental cash flow. They could have issued shares for this and diluted us but they issued debentures. If they are smart, they will do a small amount of NCIB with the excess from the debentures (and any over allotment) to make it look like they are on our side and supporting the stock. Do I care that conversion price on debenture is 5.50? Nope because if this gets to 5.50, I am well above my purchase price. They likely could have had a higher conversion price but that would have meant a higher coupon attached to the debenture. And excess cash from this can be used to fund dividends as well if it is temporarily needed. With 3 top level underwriters on this, it also gives us a little exposure to their advisors who may discover the stock. GLTA

[Detailoriented1]

but I should have added that I will still vote against this management in the spring as they need replaced.

[Ladislav3]

There is 0% chance of an NCIB. They will use every spare cent to buy new properties and keep earning that management fee.

[theinvestor22]

I think investors' opinions of this NR are likely to be affected by their pre-existing attitude toward the company itself.  As a real estate deal, this looks quite good.  The financing, while high, can be taken out later when rates come down, leaving a longer term asset financed at a reasonable rate.

[Malpeque2]

Of course they got a good Cap Rate.   Even a bit higher than the interest expense on the covert,  regardless of how it's financed.   BUT,   it's Chicago.    In Illinois.     As the Donald would say............a $H1THole city on a $H1Thole state.  Job growth in the City of Chicago has got to be bad relative to about any other

[SNAKEYBOY]

One disposition or aquisition isnt going to make or break a reit with a 1 billion dollar real estate.  Im just here for aromyane to give us $5+ and move on

[Malpeque2]

In the word of Canadian underperforming   REIT's this one "takes the cake".    Highest divie yield.    Lowest Price to Book,   which is supposed to be some reasonable approximation of NAV under IFRS.     Highest debt/equity,   lowest price to FFO.    Highest  Debt/EBITDA or Debt/FFO.    The

[SNAKEYBOY]

Well Aromayne is here to change that.....PATIENCE

[CanSiamCyp]

This post has been removed in accordance with Community Policy

[pennydredful]

they   opened   the  door   for  a  5.00  offer   by   selling    a conv   at   5.50    (  equivalent  of 5.00  roughly )    .   They  ignored    the   8.50    NAV.       The   fact