I think you were the first person to discover this good news. That's why it wasn't brought up. Thank you for sharing this data. That is what I look to this MB for. ( Although I must say, I use Ignore here more than any other for my stocks MBs).
With Goldman's new BDC probably shopping for investments, this could get very interesting and very profitable with the right pricing by PSEC! Especially with Isaacman's connection.
Thanks for the information, budmasterbud
One way to redeploy some of the the 900 million in funds would be a stock buy back. It seems this would yield 19% immediately and be very stockholder friendly... raising PPS closer to NAV, lowering the amount of managements fees and give them warehoused stocks they could sell again when PPS is at least equal to NAV and they find worthwhile investments. Thoughts?
Good thought. If the rights are cheap, buy more and get more stock at the discounted price, then hold for dividends and /or sell when goes public at full price. Thanks for the idea.
Still think your post is one of the most informative in recent weeks on this board. Please continue to help others make the right choice and counteract the misinformation spouted by the trolls!
Thanks for adding to your original post. I agree with you that a larger the discount on the shares of PYLD to shareholders, more positive the shareholder response. It would also go a long way toward repairing management's tarnished image.
By far the best explanation of the situation that I have seen. It would be nice to see a larger discount (30-40%) for stockholders on the rights. That would certainly create greater demand for the PYLD stock from present holders of PSEC by giving them a cushion when buying the stock. Otherwise, I see present holders seeing the 18% discount as market pricing for PYLD with an unknown market value when the IPO is done and the stock goes public. Does that make sense?
Anyway, thank you for the informative post. I would like to know what you think of the above thinking.
Looks like I was wrong. Nothing new! Seems it will be late this quarter before anything happens with the spin off of the CLOs. The next event will be the earnings report in May.
The rights will be tradable so they will have a value, according the N2 , but the details on pricing, discount to shareholders, ratio of shares, etc. are not filled in yet. The question is, are the CLOs worth many times their asset value within PSEC, when the are spun off ( as the company argues)?
True. I'm thinking they might release the final SEC filing just prior to the web presentation. Hoping they actually have some real news that is good for shareholders, not just another marketing/ PR presentation! They need to change how they treat us.