... option pricing theory) and the bond component. This case introduces the topic of convertible securities. Student and instructor worksheet files are available for use with the case and teaching note. bonds capital structure debt policy financial liability management option pricing Other...

..., and Angelo, Gordon & Co., had offered to invest $125 million in MicroStrategy in the form of a floating-rate convertible bond. This investment constituted a new type of venture investing called private investment in public enterprises (PIPE). While Saylor welcomed the offer, he was concerned...