Morning Commentary: Convertibles secondary quiet: Medallia, Fiverr gains continue

By Abigail W. Adams

Portland, Me., Oct. 12 – Trading volume was light in the convertibles secondary space on Monday with bond markets closed and many accounts on vacation.

There was $35 million on the tape a little over one hour into Monday’s session, a source said. Recent deals were in focus.

Medallia Inc.’s 0.125% convertible notes due 2025 continued to improve in active trading early Monday.

The 0.125% convertible notes were changing hands at 108.25 with stock off.

There was more than $6 million in reported volume.

Medallia’s stock traded down to $31.35, a decrease of 2.49%, shortly before 11 a.m. ET.

While the 0.125% notes were below par until early October, they rose alongside stock and the broader market last week.

Fiverr International Ltd.’s 0% convertible notes due 2025 continued to shoot higher on an outright basis as stock added to its gains.

The 0% convertible notes were up 2.5 points outright with stock up more than 5% early Monday.

The notes were changing hands at 110 with about $5 million on the tape.

Fiverr’s stock was changing hands at $170.93, an increase of 5.81%, shortly before 11 a.m. ET.

While trading volume was light, equity markets continued their rally on optimism over better-than-expected earnings reports in the weeks ahead.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.