Replies to post #60115 on Chemtura Corp (fka CHMT)

[Peanutbuttercup]

I doubt that it will jump that fast in 1 day but who knows. As far as I know, there would be no restriction on how soon you can sell.

[rjhstock]

yes. There will probably be a halt in trading for a time. Your shares will be converted to the new shares according to whatever dilution percentage. The new shares will start trading after that and if the offering price is $20 and dilution is 50%, your new shares will begin trading at $20, but you'll only have half as many shares as you do now.

[sullivot]

I believe CEMJQ will continue to trade until they exit BK and a new stock under a new ticker on an uplisted exchange begins trading (possibly CEM again). What it will be trading for when they come out will depend on what terms are in the POR. I think the #1 question on this board post-POR will be "what will the value be of the new stock"? Assuming equity recovery, it'll likely be a lot higher than 1.25 by the time of the uplist. And if Visteon is any guide, it could trade above 1.25 again even if management shuts out equity, if investors feel the court won't approve the plan as is.

BTW, the fact that the EC did not vehemently oppose the debtors exclusivity extension (which bars the EC from entering a
competing plan until September) is either a good sign, a smart legal strategy to not piss off the company and the judge, or both.
They did make stipulations that their approval is contingent on adequate recovery.