Cleveland Cliffs Inc (CLF)

[sts66]

Conversion rate is critical here - if it's too low, or doesn't have some variability built in (if that's possible for a stock that doesn't pay a dividend), it will cap the price for years as note holders short against the converts with total safety. Hopefully they'll also have terms where CLF determines when they can be converted instead of giving note holders the option. Almost wish they would have just diluted instead of issuing converts to prevent shorting against the box, although at this pps it would have been painful - thus my hope the convert price is much higher than current pps.