Divergence between CBH and CBHG
Primer on my investment outlook
CBHG are 9.5% conv notes, and can be converted to CBH shares on a 1-to-1 basis. Ideally prices should track each other, and CBHG should be at a premium due to its yield. Recently, there has been a divergence and CBHG is quoting 30% cheaper than CBH. Strange!!
CBHG are 9.5% conv notes, and can be converted to CBH shares on a 1-to-1 basis. Ideally prices should track each other, and CBHG should be at a premium due to its yield. Recently, there has been a divergence and CBHG is quoting 30% cheaper than CBH. Strange!!
posted by anmol at 11:52 PM
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