I have'nt done a Black-Scholes option pricing calculation but the cost of rolling over the US$80M for little over a year is around $20M (int, redemption bonus/options). What a shocker. Even the "undrawn" $20M working cap fascility cost 10c options just to rollover for just $8M!
They still have a debt problem, Goldman want their money back and any profit, it they make some, goes to loan-shark interest rates. How the hell are they actually going to pay down debt?
Nice trade for me, took great profits and set a nice short for the ride back down.
goodluck
I have'nt done a Black-Scholes option pricing calculation but...
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