Replies to post #495858 on Mr Cooper Group Inc (COOP)

[wamuvoodoo]

Dont tell me your going with the same conversion ratio as ee got in past

[ron_66271]

LuckyPanda, What if,

WMIH issued new Preferred shares for old P's and K's Preferred shares? Just before the take-down the P's were trading around $1,300 each.

The old P's and K's Preferred shares are a secondary offering of the TPS, Trust Preferred Securities, The Caymans Series I,J M,N.

The Trusts are still performing and producing Monthly Revenue of Cash and has accumulated funds for 9 years like all of the other Trusts. This pool of Trusts and funds belongs to TPS, P's and K's.

WMIH can use the WMIH new commons for released old WMI commons, and therefore conserving the WMIH commons for other events.


HLCE,
Ron

[wamugold]

Panda do you foresee a big sell off by the hedgies shortly after conversion? Thats a sure way to screw the little guy again!!

[JusticeWillWin]

Not to mention that with a stock-for-value swap (if meaningfull assets come back) it would be no problem to use all the $5.9 billion of NOLs in a very short timeframe completely IMO.

Another very nice "side effect" IMO!

Of course only if there are assets and a stock-for-value swap!

Yes, I'm starting to lean towards all shares. Of course, that is not my preferred payout as I think it will be a bitch to cash the shares out with everyone else at the same time. However, it may happen due to my tax deferment speculation.

Of course the shares will not be worthless. They'll represent the full value of all returning cash plus remaining illiquid interests. However, in the short run, you may see plenty or hair raising price instability as a lot of retail may rush to the door in the early months to cash out. But if you hold, I thini the shares will be worth more in a year or two than straight forward cash liquidation right now.