Ocado - comment
Ocado’s tender for the 2026 SUNs at 93p/£ looks more attractive than 93p/£ for the 0.875% converts. This makes sense as Ocado will want to favour retiring 3.875% debt over 0.875% converts. The company will spend up to £700m on purchasing the notes (nominal outstanding £1.1bn). Ocado does not want the Convertibles to become current, so holders of the £600m Converts may hold out for a better deal or await a par call before the FY 2023/24 results are published in February 2025.
https://www.ocadogroup.com/media/spubjert/maximum-spend-announced.pdf