Jan. 24 at 3:29 PM
$TRIB
Part 2
It’s the latter 2 points that I think really matter. These are not there to cover eventualities. They are in the deal because they are going to happen and the debt for equity swap only makes sense if the share price is well above
$5. So I think we will soon see TRIB receive a big cash infusion – probably from Bayer but maybe from a divesture (Barclays are still engaged). Once TRIB get the cash and the price hits the
$5-
$10 range, two things should quickly follow;
1) Perceptive debt for equity swap to cut financing costs, shore up the balance sheet and make TRIB attractive for institutional investors.
2) TRIB rights issue to raise at least
$40M to pay off Korean debt, fund CGM and other opportunities and possibly reduce debt further.
After that, I think Perceptive will offload their new equity into the market and make further debt for equity swaps.
