I concur with Gerkin2 and it is nothing about inside info it is more about analysing the announcements. The previous announcement concerning amendment of the trust deed also allowed AZZ to increase the amount of notes to $100 million, therefore it is likely that shareholders will be given the opportunity to purchase notes which have a 10% coupon and can be converted into three shares. I assume this has more to do with tax than a capital raising. ie the company is shortly going to receive $300 million on which it might have to pay tax if it does not work a way to reduce the tax. Now I am no tax expert here but I believe that instead of paying a special dividend the company will return/issue notes to shareholders. Anyhow we will soon see what is the case.
AZZ Price at posting:
46.5¢ Sentiment: None Disclosure: Held
