Cineplex convertible bond maturing in 2025 pays 5.75% annual coupon, can convert anytime into 90 common shares

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Cineplex convertible bond maturing in 2025 pays 5.75% annual coupon, can convert anytime into 90 common shares of Cineplex Inc. The recent price quote of the bond is 101. Cineplex shares are currently trading at $7 per share and do not pay dividends

Questions:

What is the convertible bond price?

What is the conversion value of the bond?

What is the conversion price of the stock (conversion parity)?

What is the conversion premium, in dollars and as a percentage?

Related Book For answer-question

Principles of economics

ISBN: 978-0538453042

6th Edition

Authors: N. Gregory Mankiw

See More Books

Posted Date: Dec 03, 2020 08:00 PM

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Cineplex convertible bond maturing in 2025 pays 5.75% annual coupon, can convert anytime into 90 common shares

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a Convertible bond price 10Bond Price quote 10101 1010 b Conversion Value of Bond Share PriceNu... View the full answer

Principles of economics

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