Ann LiptonAug 16, 2023

(h/t @AttractiveNuisance )

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Show threadAttractive NuisanceAug 16, 2023

@annmlipton

Is it fair to summarize the proposed injunctive relief as "go ahead with the conversion on the scheduled date, but when it comes time for the settlement just pay the same amount of stock to APE holders as well"? Thus meaning AMC holders will have gained nothing from the settlement.

Any idea how the court will react?

Show threadAnn LiptonAug 16, 2023
@AttractiveNuisance that's how I read it and absolutely no idea. I mean the usual rule is preferreds get screwed, but I don't know how things play out in this particular case.
Show threadAttractive Nuisance
@annmlipton Thanks! I actually think I worked this one out. The complaint leans completely on Section VI of the Certificate of Designations, but that Section is relevant only to "Common Stock issued by the Corporation after the Closing Date and prior to the Conversion Date". However, here the Common Stock will be issued *after* the conversion date. So I think the complaint will be immediately chucked out.
Aug 16, 2023 at 10:05amWeb