Eso solo lo saben los insiders... :)
Este es el primer regalo pre Navidad... y va a despertar a muchos que no daban un duro por WMIH... well THINK AGAIN!!!
It appears to me that KKR is getting a great deal on their initial $10.55 million investment for preferred stock for $1.10 that converts to common. Common is already up to over $1.40. Also they will have options to buy another 61.4 million shares of common at an average price of $1.375 per share. So if I am reading this right , KKR will have the opportunity to own almost 72 million common shares with a purchase price of around $1.32 per share. They also will be able to capitalize the company by buying $150 million in notes now and with an option to buy another 1 Billion worth of stock later (probably preferreds).
However, I am not at all upset that KKR is getting a deal You have to make an attractive offer to get anyone interested. What we have now is basically 6 Billion of NOL's which are only worth something if can get someone to invest in the company. We have to offer a deal to get someone to invest. Basically we are offering KKR a chance to own about 25% of the company for an investment of around $1.32 per share while KKR is offering us a way to unlock the values of the NOL's. KKR isn't investing $1.32 per share to make back $1.32 per share. They expect the value to go way up from there. Most of these big money firms are hoping for a rise of at least 5 times and maybe 10 times on their investment. I think we are looking at maybe $6.50 to $14 per share down the road. That may not be the $50 some here were hoping for but it is a whole lot better than $1.10 we were at Friday.