ABS a.b.c. learning centres limited

floorless conver

  1. 3,424 Posts.
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    $600M of ABC notes convert to a fixed dollar amount not number of shares.. asking for disaster. Massive profit able to be generated from shorting stock and buying floorless converts.

    Apparently CBA bought $360M of them.

    At a share price of $2.14 the floorless notes convert to 37.5% of ABC. At $1.15 or so they take control of the company.

 
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