Alexander,
There's still dilution to us. If I understood correctly, the "on a fully diluted, as-if-converted basis" is simply a way of stating the basis of Bain's stake.
This morning, SRCL announced a private debt placement. For some reason that bothered someone, and allowed me to get in at 15 1/2. My financial training tells me this is a good thing: when equity is issued (the converts), debt increases the leverage again, putting the balance back into the balance sheet. The price, of course, is more expense per quarter. They're doing this while interest rates are still reasonable, historically. If management produces big numbers with the acquisitions, then all this dilution and expense will have been worth it.
Now we watch for operational excellence.
go2net.newsalert.com
Cheers, Tuck |
