Well, Interactive Brokers announced that it would stop offering margin on the warrants several weeks ago, and phased it in over two weeks due to the low liquidity. I think it's pretty clear by the price action that some people were forced out of their positions at bad prices (me included). Lesson learned.
The debt redemption is great news, no reason not to expect more of that to come. Perhaps after a year or so of chipping away at the debt, they will go in for a full refinancing that doesn't put restrictions on dividends or share repurchases.
Take Gannett (GCI:US) as an example of what could happen. Several years ago, they had to refinance debt at 9-10%. After several years of debt reduction and revenue stabilization, they are now issuing debt at 6%. The stock is up 10x from the low, trades at 13x P/E with net debt around 1x EBITDA.
It looks like Yellow Media should be able to pull this off over the next several years. A $60 share price wouldn't be crazy once the cash starts flowing to equity, which puts the warrants at $30+.