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Tale of Transcentury CEO exit, Sh8b Debt
Rank: New-farer Joined: 11/20/2015 Posts: 16 Location: Iraq
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Did Transcentury's long serving CEO throw in the towel upon realization of been unable to offset the approaching maturity of Sh8 billion dollar-denominated convertible bond that is due in two months time?
“I struggle to understand how Trans-Century, a company whose market capi-talisation is Sh2.4 billion, is going to raise Sh8 billion to redeem these deep ‘out of the
money’ convertible bonds,” Aly-Khan Satchu," 
The meltdown Link.Mganga haagizi Mchicha.
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Rank: Member Joined: 1/31/2007 Posts: 304
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the_cabal wrote:Did Transcentury's long serving CEO throw in the towel upon realization of been unable to offset the approaching maturity of Sh8 billion dollar-denominated convertible bond that is due in two months time?
“I struggle to understand how Trans-Century, a company whose market capi-talisation is Sh2.4 billion, is going to raise Sh8 billion to redeem these deep ‘out of the
money’ convertible bonds,” Aly-Khan Satchu,"
The meltdown Link. This is a clear story of what not to do with borrowed money
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Rank: Elder Joined: 7/21/2010 Posts: 6,194 Location: nairobi
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Hot potato,exercise caution when handling it. "Don't let the fear of losing be greater than the excitement of winning."
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Rank: New-farer Joined: 11/20/2015 Posts: 16 Location: Iraq
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moneydust wrote:the_cabal wrote:Did Transcentury's long serving CEO throw in the towel upon realization of been unable to offset the approaching maturity of Sh8 billion dollar-denominated convertible bond that is due in two months time?
“I struggle to understand how Trans-Century, a company whose market capi-talisation is Sh2.4 billion, is going to raise Sh8 billion to redeem these deep ‘out of the
money’ convertible bonds,” Aly-Khan Satchu,"
The meltdown Link. This is a clear story of what not to do with borrowed money Bearing in mind that the founders were the Kibaki golf buddies, there could be a similarity of economic/political patronage they enjoyed during that era and now the tables overturned. Mganga haagizi Mchicha.
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Rank: Member Joined: 1/31/2007 Posts: 304
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the_cabal wrote:moneydust wrote:the_cabal wrote:Did Transcentury's long serving CEO throw in the towel upon realization of been unable to offset the approaching maturity of Sh8 billion dollar-denominated convertible bond that is due in two months time?
“I struggle to understand how Trans-Century, a company whose market capi-talisation is Sh2.4 billion, is going to raise Sh8 billion to redeem these deep ‘out of the
money’ convertible bonds,” Aly-Khan Satchu,"
The meltdown Link. This is a clear story of what not to do with borrowed money Bearing in mind that the founders were the Kibaki golf buddies, there could be a similarity of economic/political patronage they enjoyed during that era and now the tables overturned. I may not dispute the political patronage angle.However, what is very clear is that they put their money into very risky investments which in the end did not bear any fruit.Cash was basically incinerated.
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Rank: Elder Joined: 7/21/2010 Posts: 6,194 Location: nairobi
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moneydust wrote:the_cabal wrote:moneydust wrote:the_cabal wrote:Did Transcentury's long serving CEO throw in the towel upon realization of been unable to offset the approaching maturity of Sh8 billion dollar-denominated convertible bond that is due in two months time?
“I struggle to understand how Trans-Century, a company whose market capi-talisation is Sh2.4 billion, is going to raise Sh8 billion to redeem these deep ‘out of the
money’ convertible bonds,” Aly-Khan Satchu,"
The meltdown Link. This is a clear story of what not to do with borrowed money Bearing in mind that the founders were the Kibaki golf buddies, there could be a similarity of economic/political patronage they enjoyed during that era and now the tables overturned. I may not dispute the political patronage angle.However, what is very clear is that they put their money into very risky investments which in the end did not bear any fruit.Cash was basically incinerated. it was not a rehearsal it was a performance, they must pay back "Don't let the fear of losing be greater than the excitement of winning."
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Rank: Elder Joined: 11/27/2007 Posts: 3,604
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mlennyma wrote:Hot potato,exercise caution when handling it. This counter seems like it will be trading at the same price with Mumias during Easter. That amount of money is not one that a person could collect from the shareholder's wallets. They need a quick way around it. at least to save the situation. African parents don't know how to say sorry.. the closest you will get to a sorry is a 'have you eaten'
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Rank: Chief Joined: 8/4/2010 Posts: 8,977
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TCL convertible bond now similar to KQ's fuel hedging gamble gone horrible. $15/barrel oil... The commodities lehman moment arrives as well as Sovereign debt volcano!
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Rank: Member Joined: 1/31/2007 Posts: 304
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mlennyma wrote:moneydust wrote:the_cabal wrote:moneydust wrote:the_cabal wrote:Did Transcentury's long serving CEO throw in the towel upon realization of been unable to offset the approaching maturity of Sh8 billion dollar-denominated convertible bond that is due in two months time?
“I struggle to understand how Trans-Century, a company whose market capi-talisation is Sh2.4 billion, is going to raise Sh8 billion to redeem these deep ‘out of the
money’ convertible bonds,” Aly-Khan Satchu,"
The meltdown Link. This is a clear story of what not to do with borrowed money Bearing in mind that the founders were the Kibaki golf buddies, there could be a similarity of economic/political patronage they enjoyed during that era and now the tables overturned. I may not dispute the political patronage angle.However, what is very clear is that they put their money into very risky investments which in the end did not bear any fruit.Cash was basically incinerated. it was not a rehearsal it was a performance, they must pay back They should just handover the company to the bondholders and hope that they will agree for it to be the final settlement.Anything else does not make sense..including a rights issue
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Rank: Veteran Joined: 8/28/2015 Posts: 1,247
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moneydust wrote:mlennyma wrote:moneydust wrote:the_cabal wrote:moneydust wrote:the_cabal wrote:Did Transcentury's long serving CEO throw in the towel upon realization of been unable to offset the approaching maturity of Sh8 billion dollar-denominated convertible bond that is due in two months time?
“I struggle to understand how Trans-Century, a company whose market capi-talisation is Sh2.4 billion, is going to raise Sh8 billion to redeem these deep ‘out of the
money’ convertible bonds,” Aly-Khan Satchu,"
The meltdown Link. This is a clear story of what not to do with borrowed money Bearing in mind that the founders were the Kibaki golf buddies, there could be a similarity of economic/political patronage they enjoyed during that era and now the tables overturned. I may not dispute the political patronage angle.However, what is very clear is that they put their money into very risky investments which in the end did not bear any fruit.Cash was basically incinerated. it was not a rehearsal it was a performance, they must pay back They should just handover the company to the bondholders and hope that they will agree for it to be the final settlement.Anything else does not make sense..including a rights issue @mlennyma are you ready for this. Someone call nyambane to say it better here, relinquish your shares and then walk home pockets inside out or what?  . That is capitalism cannibalism at it best. Russian style. ,Behold, a sower went forth to sow;....
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Tale of Transcentury CEO exit, Sh8b Debt
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