Investors in an arcane corner of the bond market are latching onto one important detail lost amid all the chaos surrounding Elon Musks bombshell Tuesday: Even if he ultimately fails in his effort to take Tesla Inc. private, the company could win much-needed debt relief.
Thats because more than a third of the companys approximately $11.5 billion debt was issued as convertible bonds — securities that creditors can exchange for equity if the stock reaches a certain price level. Coaxing investors to take equity, instea…
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