The re-sale trigger price means that if the positive share price of the re-sale issuer falls to the re-sale trigger price, the company will re-sell the re-soldable debt and will not continue to occupy the money. Simply put, when the stock price of the listed company remains depressed, if the price remains below the return price, the listed company will have to pay back, i. E. The debt will be cancelled later. But at this point, we'll notice the prices of the companies listed below。
Of the reversible debt, the most important thing is to trigger the price, the lower the price, the less easy it is to re-sell, the higher the possibility of the issuer assuming the obligation to recover the reversible debt. Thus, the return price would have a significant impact on the net value of the debt-transferable bonds. If a listed company wished the holder to transfer the stock, it would set a lower return price and then the listed company would not need to pay back。
1. Foreclosure trigger is the right of the company to redeem all or part of the non-diversionable debt at the face value of the bonds plus the interest accrued during the current period, if, during the current issue, the closing price of the company's shares is not less than 130 per cent of the current transfer price for at least 15 consecutive trading days。
1. Foreclosure is the right of the issuing company, which, when the foreclosure clause is triggered, is entitled to redeem the market's reversible debt or not. Foreclosure generally occurs in the context of large increases in company stock prices, which are pre-empted to prevent investors from converting into more stocks and dilute shareholders ' equity。
Re-sale is an investor's right and may or may not be resold. Re-sale generally occurs in the context of a significant decline in the company's share price, and the issuing company provides an opportunity for investors to stop losses in advance. Debt service is also possible when bonds mature。
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