Toxic Financing Explained We have reviewed countless financing proposal and documents on behalf of our clients over the years. It seems lately that we have had a surge in calls recently asking us to review documents that were for toxic…
Tag: floating conversion rate
A floating conversion rate is a conversion clause that allows for the conversion price to fluctuate with the price of the underlying common stock.
A floating conversion rate lacks a hard floor or ceiling that prevents the conversion price from being above or below a certain price target.