I wrote an article about Tecnoglass that was published on Seeking Alpha and it should now be accessible for everybody to view after a 24 hour embargo. I think the Tecnoglass warrants are currently a compelling opportunity because the company is in the process of launching an exchange offer that allows warrant holders to exchange 2.5 warrants for 1 share. The stock is currently trading at $11.71 while the warrants can be bought for $3.95 which means that you can effectively buy the stock at $9.88/share, a discount of 16%. It’s not quite as simple as that since the warrant exchange has been delayed multiple times already. But since the warrants have a strike of $8.00 they have an intrinsic value of $3.71, so the downside is limited and you get exposure to a rapidly growing company that is cheaply valued compared to its peers. But I’m not going to recap the whole article, if you want to know a bit more I suggest you read it.

Disclosure

Author is long Tecnoglass warrants