I meant what I wrote. I can point you to several "toxic" Convertible Debentures by Asher, Hanover, or TCA Global, and their Loan Covenant's boilerplate always contains a No Distribution" clause.
Example:
I agree that a share dividend would not hurt a toxic lender in the least.
The Covenant I'm quoting, the discount is only 15% off the recent price, but with a "make whole clause" that guarantees a 15% profit. The interest rate on the loan is also 18% annually, on the high side for toxic lending, which has usually low interest rates but sky-high conversion discounts.