DHT Holdings Inc (DHT)

[Kramer_Scarcelli]

Arbitrage is a huge concern for me at this point with this stock. I want to take a position but logic would dictate that everyone would dump their $0.70 + prices shares to take advantage of this offering and then immediately sell them into the market, or, get a nice discount relative to an above $0.70 pps and hold on.

Now, half of the subscription package are preferred shares, so an investor would have to spend twice as much to buy the same amount of shares he "had" at + .7 prices, then sell them, and be stuck with unvested / unconverted preferred shares until sometime next year. Seems needlessly complicated for a stock whose share price is hovering around the offering price anyways...

Is this why the price has not dropped to $0.70 or below yet? Did I answer my own question?....