Another buy limit order cleared today.
music selection: “L-O-V-E” — Nat King Cole
Today, I bought the iHeartMedia 10.000 coupon, 15JAN2018 maturity bond for 63.000 cents on the dollar. This is a “C” rated bond with a historical average recovery rate of 83.89 cents on the dollar. I should do well. I paid 7 dollars in commissions and 33.89 in accrued interest.
iHeart carries a lot of debt but I think they should have no problem rolling forward the 2018s as they have trophy assets. They can also sell some radio properties to raise funds in an emergency. I wouldn’t want to be in anything with a maturity greater than five years out for them as the economics of the business appear to be in a long term decline. But this near term bond strikes me as a good buy.
Devour your prey raptors!