Fri, Jul 11, 2014, 12:49 AM EDT - U.S. Markets open in 8 hrs 41 mins

Recent

% | $
Quotes you view appear here for quick access.

Xerium Technologies Inc. Message Board

  • frtgrdn21 frtgrdn21 Mar 4, 2010 11:35 AM Flag

    Sources telling me they will exchange shares

    Basically, they will wipe out current shares and issue 50 million new shares, distributing current shareholders around 9 million and debt holders will keep the rest. Plus our shares will come with warrants attached. So it's like a reverse split. New shares will be priced at $5 a share.
    Any thoughts?

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • Well, we current shareholders are faring much better than I have ever seen in any other bankruptcy.

      • 1 Reply to chb2c
      • I think it's a fair deal. YRCW shareholders went through the same process and debt holders recieved 95% of the company in exchange for their debt. XRM didn't have to go through the BK process, but they did it for two reasons. First one is to make sure they get 100% of the vote from the debt holders. Majority are already on board, so those that had some reservations will be forced to join. They can lose a lot more if they don't agree.
        Second reason is that they wanted to bypass the current shareholders vote for expantion of float and permission for a reverse split. Board of directors or CEO can't initiate a reverse split without our vote. So basically they want to get this whole thing behind them and move on to running the everyday business, without any delay. Filing Pre-Pack BK was the fastest route to achive their goal.

 
XRM
13.66-0.12(-0.87%)Jul 10 4:02 PMEDT

Trending Tickers

i
Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.