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Gold/Mining/Energy : Gold and Silver Juniors, Mid-tiers and Producers -- Ignore unavailable to you. Want to Upgrade?


To: loantech who wrote (74011)10/17/2012 8:38:20 AM
From: tyc:>  Read Replies (1) | Respond to of 78416
 
Hi Tom, LSG's $100M financing allows delta hedging because it was a convertible debenture. I don't think that KGI's financing is convertible... The hedging involves shorting the common and being long the convertible which has an embedded warrant. (the shorting dulls the upside but the profitable buy-back of shorts on declines compensates.)