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

ARMOYAN BUYS DEBENTURES KEEPS

[MARKOPOLIS]

Adding to his portfolio 

2023-01-2021:22   2023-01-20	$SOT	Armoyan, Sime 3 - 10% Security Holder of Issuer Holder: Armco Alberta Inc. (Control or Direction)	Convertible Debentures 5.25% convertible debentures due 2023 10 - Acquisition or disposition in the public market	$  +$124,000vol  $94.83 each	$1,237,000
2023-01-2021:19   2023-01-19	$SOT	Armoyan, Sime 3 - 10% Security Holder of Issuer Holder: Armco Alberta Inc. (Control or Direction)	Convertible Debentures 5.25% convertible debentures due 2023 10 - Acquisition or disposition in the public market	$  +$38,000 vol  $95.40 each	$1,113,000
2023-01-2021:15   2023-01-17	$SOT	Armoyan, Sime 3 - 10% Security Holder of Issuer Holder: Armco Alberta Inc. (Control or Direction)	Convertible Debentures 5.25% converti

[2young2invest]

What is his rationale behind buying these debentures? They are due in a month, SOT most likley redeam them. Easy ~8%?

[2young2invest]

Just found that maturity most likely will be extended: https://www.businesswire.com/news/home/20221220005779/en/Slate-Office-REIT-Announces-Proposal-to-Amend-Terms-of-its-5.25-Convertible-Unsecured-Subordinated-Debentures-due-February-28-2023

[CanSiamCyp]

This post has been removed in accordance with Community Policy

[2young2invest]

If I were holding only debentures I would vote for extension, cause 9% interest rate is huge. They are voting soon, January 26 is the last day. If extension is not approved SOT can pay with shares instead of cash.

[pennydredful]

9%   is   based   on   the  trading level  of the recently  issued   7.5%   bonds    trading   at  93    which have a yield   to maturity   of   very   approximately    9.00%    . 

[Capharnaum]

If they pay in shares, that's extra dilution well below the NAV. Another failure by the management if that's the case. They should sell assets instead and pay the debentures.

[pennydredful]

Anyone   is naive if  they  believe any NAV  postulated by SLAM  .

[MARKOPOLIS]

Boards sign off on NAV for REITS Armoyan gets control sees clearly its BS Boards directors are in a world of pain

[2young2invest]

They should do many things differently, but, I guess, now their only focus is to get rid of Armoyan.

[pennydredful]

Its    like   Russia   versus  Ukraine.   .  Security holders  are  the ones  in hospitals  and apartment buildings      -----  collateral  damage  is   the euphemism used..

[CanSiamCyp]

This post has been removed in accordance with Community Policy

[pennydredful]

LIkely G.A.  intents   to  force   SOT    to   pay   more   for   these  debs.   by   extracting  more  favourable   terms  .  All   he  needs   33%   to  block it   ,  including   his bonds 

[pennydredful]

G.A.   wins  if   SLAM   issues   units  ,  or   pays  off  the bonds with cash  ,  or  abides  by  the  new terms   he dictates  to SLAM.   It   may   be questionable   whether   SLAM   can   trigger 

[pennydredful]

Issuing  units  price is usually  based  on  a 20  or 30  day volume  weighted  average  and  can  result in the  units  going  into  a so called  "death spiral"   as  bond   holders  wanting cash not  units  start shorting  units     depressing