Convertible the callable bond

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The Lion Corp.(LC) issues a 30 year callable bond which is also convertible to 50 shares of LC common stock. Explain why LC would issue a bond with these features as opposed to just issuing the bond without such options. As a bondholder, would you necessarily convert these bonds when the price of the stock reaches $22? Why or why not? Feel free to give examples in your response.

Reference no: EM13846147

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