Honda had something like 27 million shares of common stock in XMSR, or about 10% of XM Satellite Radio. As of today, Honda will sell off almost 10 million shares Class A common stock to Bank of America. The transaction relates to approximately half of the 10% notes held by Honda.
Following the transaction, Honda will continue to have ownership on an unhedged basis of approximately 17.5 million shares of XMSR. Someone from Honda will continue to sit on the board of directors.
Wonder what’s going on?
Leave a comment