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LSDefine

Simple English definitions for legal terms

conversion ratio

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A quick definition of conversion ratio:

Conversion Ratio: The conversion ratio is a number that tells us how many common shares can be obtained by converting a convertible security. It is also the ratio of the face value of the convertible security to the conversion price. In simpler terms, it is the amount of shares you get when you convert a security and how much it is worth compared to the price you paid for it.

A more thorough explanation:

Definition: Conversion ratio refers to the number of common shares that can be obtained by converting a convertible security. It is also the ratio of the face value of the convertible security to the conversion price.

Example: If a convertible bond has a face value of $1,000 and a conversion price of $50, the conversion ratio would be 20 ($1,000 ÷ $50 = 20). This means that each bond can be converted into 20 common shares of the company.

Another example would be a convertible preferred stock with a face value of $500 and a conversion price of $25. The conversion ratio would be 20 ($500 ÷ $25 = 20), which means that each preferred stock can be converted into 20 common shares of the company.

The conversion ratio is an important factor to consider when investing in convertible securities. It determines the number of common shares that an investor can obtain by converting the security, which can affect the potential return on investment.

conversion price | conversion security

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THATS SO FUNNY
i cant i would go crazy
JumpySubsequentDolphin
20:50
i need to know who decided to do that.
JumpySubsequentDolphin
20:50
omg im on a plane weeeee
the devil
youre on a plane??? LSD made the mile high club??
20:50
yo splitterus are you in school already
20:50
it says ur c/o 2027
JumpySubsequentDolphin
20:51
@SplitterusClitterus: HAHAH yes
ur user is hilarioussss and no i just graduated this may and am now applying ---also im out of messages so ill take a lil
20:52
roger dat. see u in heck
im back, r u applying this cycle too
JumpySubsequentDolphin
21:32
this child fell asleep on me
JumpySubsequentDolphin
21:32
im so uncomfortable
just push him off the entire seat
JumpySubsequentDolphin
21:34
LMAOOOO
JumpySubsequentDolphin
21:35
no he’s literally like 8 and he fully just put his head on my bicep and slept
JumpySubsequentDolphin
21:35
he has since moved
22:12
@SplitterusClitterus: me yesterday
gulc baby pls text me back... i miss you ...... :(
22:23
i just went into a discord vc and yelled "YALL I JUST GOT INTO J.M. SCHOOL OF LAW"
22:24
people were getting excited :sob:
22:25
then someone was like "what does jm stand for" and i was like .. well
AHHAHAHAHAHAHHAHAHAHAHAHAH
@JumpySubsequentDolphin: wait this is so cute, also where r u going
JOE MBIDEN
JumpySubsequentDolphin
22:39
@splitty Oregon!
oh yay for what thats so random
JumpySubsequentDolphin
22:45
haha my brother and sister in law live there
so cutie oregon is beatiful
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