We have now around 4 mln shares of HILTON 8% QUIBS on market (IPO was for 8 mln, and 50% were recalled when Hilton was sold to BX). Last two months, a huge portion of float - more than two mln - changed hands. It's very unusual for the stock which was always traded 2-5K per day - but now every day (without exception) between 10K and 100K shares are changing hands.Ones there was a transaction with quantity shown "more than 1 mln". Definitely somebody accumulates shares - an individual or a company. I do not understand where they get so many shares - who is willing to sell shares (which definitely worth $25-$27) for $21. I also do not understand quantities - it's never (for example) 10,000 shares or 40,000 shares - it is always, without exceptions, some strange numbers. Today for example we had 5 transactions:10,625 shares, then 43,096, 54,395 etc. I tried to buy 1000 shares - broker gave me $22.00 price. I tried to sell shares - they gave me $20.70.
I believe a redemption call is likely for the balance of the Hilton debt. Blackstone should be able to replace the debt at a much lower rate than its current cost of 8% since it made the tender back in 2007.