Aug. 23 at 11:12 PM
$LU This is my first post, because I hold a decent size and I'm under water and angry. This extension is ridiculous if you look at the math. At today's rate, lufax has 2859m usd. Repaying Ke An, and paying the penalty will result in 2859 - 468 - 29 = 2362m. Repaying both, will result in 2859 - 468 - 508 = 1883. 1883/2362 ~= 80%. It's not actually that big of a difference if you consider the market cap is lower than that cash. Moreover, the penalty plus the coupon rate is 5.8% + 0.7375% = 6.5375%, even borrowing from bank directly, you can get that rate. If you think of this way, lufax has 1.883 billion cash right now, is the company going to borrow another 500m dollar at 6.5%? What are you going to use that borrowed money for when you already have 1.883b? What risks are you afraid of, that some events will drain the cash to hinder the operation of the company? Moreover, paying this will resolve this long standing loan since 2015 and start clean. Totally worth it, I will vote no.
