Exela Surges on Plan to Swap Common Shares for Convertibles (1)

(Updates with terms and premarket trading)

Exela Technologies shares jump 17% in U.S. premarket trading after the software company offered to let investors swap their common stock for new convertible preferred shares.

• Exela valued the exchange at $1.25 a share; the offer covers up to 100 million shares of its common stock
• Holders can exchange blocks of 20 common shares into a $25 liquidation preference, 6% cumulative dividend, voting, convertible preferred stock
• Common shares tendered will be retired, reducing share count by approximately 20.6%
• NOTE: Exela shares have dropped 60% YTD; the stock can be volatile amid touts on social ...