This is not good news for us IFN shareholders in the short term. I've seen them do this kind of offering 2-3 years back as well. They usually do the offering much below the current price and below NAV. I'm expecting the offering will be near $25.7 to $26 if they do it soon. The stock will drop to 26$ and then bounce back later.
IFN should trade close to NAV or 2% below NAV (when IFN is redeemed, Blackstone charges 2% fee).
The MMs know of this stock offering and shorted this stock with a 10% premium. Add another 20 to 30% dilution due to RIGHTS issue, IFN is soon heading to $20 even if the Indian Markets do not creater. If the India's Sensex corrects 20%, IFN should fall below $15 soon
It seems MMs shorted this stock at highs $29s and should cover below $20 or $15 depending on the Indian Markets!!
I do think money managers rallied IFN 10% above NAV because they knew of the rights offering..but $15 level is highly improbable....$23-24 should be very strong support...and offering should be near $26.