Just over a week ago YieldReport alerted readers to the mayhem being wrought upon the two series of notes issued by Crown Resorts in a piece titled “Crown Note 13% Yield Not for the Faint-Hearted”. In that article it was mentioned the series 2 notes had hit a new price low of $69.50 before finishing the day a little higher.
The notes have a $100 face value so a 30.5% discount is quite impressive. But it is not quite as impressive as the 34.5% discount the latest closing price of $65.50 represents or the 37.50% discount present when the notes hit $62.50 during the day.
The major issues surrounding the notes have already been covered so they won’t be rehashed here but it seems as if the current market for these notes are still trying to find a level where the uncertainty surrounding the redemption date is offset by such a sizable discount.