Morning Commentary: Iconix convertibles improve after COO exit; Chesapeake up with oil prices

By Stephanie N. Rotondo

Phoenix, April 20 – Iconix Brand Group Inc.’s convertible bonds were trading actively early Monday as investors reacted to word of a manager exit.

A trader noted that the stock underlying the debt was down more than 10% at mid-morning.

The trader pegged the 2.5% convertible notes due 2016 at 105 versus a $28.00 share price.

“The bonds look like they are getting a little better,” the trader said. “Should be a nice name for people.”

On Friday, Iconix said in an 8-K that Seth Horowitz, chief operating officer, was leaving the position he had held for only one year.

The New York-based brand management company does not intend to refill the role. Horowitz’s duties will instead be absorbed by the broader team.

Meanwhile, in the world of convertible preferred stock, Chesapeake Energy Corp.’s 4.5% cumulative convertible preferreds (NYSE: CHKPD) were up a good bit in early trades.

The shares were trading at $89.95, up 2.97, or 3.41%, at mid-morning.

The gains came as oil prices continued to edge higher.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.