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Old 02-15-2017, 11:36 PM   #185
BigCrippyZ
 
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BigCrippyZ got the bus to Rep Town and repped it up real bad at the rep shop (100,000+)BigCrippyZ got the bus to Rep Town and repped it up real bad at the rep shop (100,000+)BigCrippyZ got the bus to Rep Town and repped it up real bad at the rep shop (100,000+)BigCrippyZ got the bus to Rep Town and repped it up real bad at the rep shop (100,000+)BigCrippyZ got the bus to Rep Town and repped it up real bad at the rep shop (100,000+)BigCrippyZ got the bus to Rep Town and repped it up real bad at the rep shop (100,000+)BigCrippyZ got the bus to Rep Town and repped it up real bad at the rep shop (100,000+)BigCrippyZ got the bus to Rep Town and repped it up real bad at the rep shop (100,000+)BigCrippyZ got the bus to Rep Town and repped it up real bad at the rep shop (100,000+)BigCrippyZ got the bus to Rep Town and repped it up real bad at the rep shop (100,000+)BigCrippyZ got the bus to Rep Town and repped it up real bad at the rep shop (100,000+)BigCrippyZ got the bus to Rep Town and repped it up real bad at the rep shop (100,000+)
Quote:
Originally Posted by The CyNick View Post
I'm happy to have that debate, since I've done this as part of a start up. I would guess the finer details would go over the heads of most here. I'm curious, how you feel the convertible note will hurt the WWE going forward? I'm a free market type of guy (crazy, right?), So to me if the market has the stock at or near us 52 week high, that would indicate investors are not concerned.
The day after WWE's announcement of the notes, WWE's stock, which reached a near annual record high close the day prior, fell and remained below $19 for over a month. Sure, it was temporary, but WWE investors were at least initially concerned about the possibility of dilution of their stock.

What you're also failing to address is that WWE, not the note purchaser, has the option to convert these notes to common stock. While that's good for WWE in regards to the debt, in the event they can't repay the notes by 2023, it's actually bad for their existing investors and potentially for WWE's future stock value. If WWE elects or simply has no better alternative but to convert the notes to common stock, this will dilute the stock for existing shareholders and decrease the stock value.
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