hi sir, can u please explain for me what warrants mean, i have a clue that its like a covertible loan which can be converted to shares but i dont know what it really means.
A warrant is a bit like a ‘gift voucher’. It entitles you to buy shares at a fixed price on a future date. If the share price is higher than the fixed price on that date then you will buy them (and make a profit). If the price is lower you will throw the warrant away 🙂
The difference from convertibles is that you still have your bonds (with convertibles, you get the shares as repayment of the bonds).