Replies to post #432084 on InterDigital Inc (IDCC)

[jealmc79]

“Explain to me how shorting the stock increases the rate of return for the bond holders.”

Pretty much Convertible Bond 101 here. I suggest Googling it. I don’t feel like typing it out for you.

[jealmc79]

“explain to me what debt IDCC has that does not go away upon conversion of the bonds”

Who said the debt doesn’t go away? If the stock price goes above $110 when converted then the conversion will cause dilution. Check page 29 of the 10q.