B Riley to Sell New Baby Bonds

B Riley Financial has announced a new 2 million share offering of baby bonds.  The notes will have an early redemption period starting 5/31/2020 and a maturity date of 5/31/2023.

This issue contains some bonus payments for early redemptions.  Between 5/31/2020 and 5/31/2021 the redemption is $25.50 plus accrued interest. Between 5/31/2021 and 5/31/2022 the redemption is $25,25 plus accrued interest.  After this date redemption is at $25 plus accrued interest.  While these bonuses appear nice it is likely a tradeoff for a slightly lower coupon.

The anticipated ticker will be RILYH which should start trading in about a week.  There will not be OTC Grey market trading.

The preliminary prospectus is here.

 

 

4 thoughts on “B Riley to Sell New Baby Bonds”

  1. Thanks guys. I love the MagicJack product. Been using it for many years.

  2. Hi Tim,

    Any idea why they are raising this capital and do you plan to purchase or add to a model portfolio?

      1. xerty–you are right. I have no idea how this fits their business plan.

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