Q: These Dundee series 4 preferred shares tanked during the past week after Dundee announced plan to exchange them (redeemable in June 2016) to class 5 shares redeemable in June 2019) - http://dundeecorp.com/pdf/2015-12-10-QandA.pdf
The exchange incentives are clearly not sufficient considering the fact that these pref shares now have junk rating (re prefblog.com). What is the most concerning is that the company is now offering extra payment to shareholders who vote in favour of exchange (see Globe and Mail article here: https://t.co/HseE5rIvF8). I would never think something like this is even legal in Canada... What's your opinion of this?
The exchange incentives are clearly not sufficient considering the fact that these pref shares now have junk rating (re prefblog.com). What is the most concerning is that the company is now offering extra payment to shareholders who vote in favour of exchange (see Globe and Mail article here: https://t.co/HseE5rIvF8). I would never think something like this is even legal in Canada... What's your opinion of this?