Bandwidth has repurchased another $20.8m of its 2028 convertible notes below par, and $6.7m of the original $250m will be left

Almost none of the bond is left.

Bandwidth told the Securities and Exchange Commission at 10.31 on Monday morning that it has repurchased approximately $20.8m aggregate principal amount of its 0.50 percent convertible senior notes due 2028, in open market transactions, at a discount to par value. The repurchase price will be paid in cash. Once the trades settle, approximately $6.7m of principal will remain outstanding, from an initial issued balance of $250m.

That is 97.3 percent of the issue gone, before its 2028 maturity. The filing gives no history, so how much of that came out in this round and how much in earlier ones is not on the face of it.

What else is not on the face of it: the price. "At a discount to par value" is the whole of the disclosure, with no figure, no yield and no counterparty. The dates of the individual trades are absent too, and so is any statement about where the cash came from.

The hedge outlives the notes

Bandwidth bought capped call transactions from financial institutions when the notes were issued. Contracts of that kind are written to blunt the dilution a convertible causes if it converts, and the filing states that all of them are expected to remain in effect notwithstanding the repurchases.

So a company that has retired all but $6.7m of the notes is still carrying the instruments it bought against them.

The item was furnished rather than filed, in the usual formula: the information is not deemed filed for purposes of section 18 of the Exchange Act. Daryl E. Raiford, the chief financial officer, signed it.