Convertible bonds have been commonly used by many businesses as a means of obtaining funds from investors/lenders.
Convertible bonds that offer equity settlement option instead of full cash redemption, allows investors to increase their returns through participation in equity interest, while the issuing company benefits from lower borrowing costs and cash outflows. This flexibility is considerably critical for businesses at the expansionary phase.
Convertible bonds with equity conversion feature may give rise to both liability and equity balances in the book of the issuer. If not properly thought through, entering into such financial instrument may affect your organisation’s financial position significantly.
This breakfast talk aims to give participants a basic understanding of how generic convertible bonds work and relevant factors to be considered when valuing the instruments. It covers the fundamental accounting treatment under current financial reporting framework. An illustration of how the fair value calculation of a convertible bond in its simplest form will be presented to facilitate participants’ understanding. The talk also encourages participants to share their experiences about practical issues from the perspectives of either the issuer or holder of the instrument.
8 Shenton Way #05-01, AXA Tower
9:00am - Registration
9:15am - Breakfast Served
9:30am - Key Features of Convertible Bonds
10:00am - Factors Affecting the Fair Value Calculation of Convertible Bonds
10.30am - Current Accounting Treatment for the Instrument
11:15am - Fair Value Calculation Illustration and Case Study
12:00pm - Q & A
*Personal laptops are recommended but not compulsory.
Who Should Attend?
C-Suite, accoutants, finance personnel, investment team, auditors and business owners.
For enquiries, please contact:
Tan Jun Yong
+65 6221 0338 (Ext. 863)
Breakfast Talk with Crowe: Convertible Bonds