What is the conversion price and ratio of the zero‑coupon convertible notes, and how does it compare to the current LEU share price?

Conversion terms:

- Conversion price: $30.00 per LEU share

- Conversion ratio: ≈ 33.33 shares for every $1,000 of face‑value notes (since $1,000 ÷ $30 ≈ 33.33)

Comparison to the market:

At the time of the pricing announcement (mid‑August 2025), LEU was trading in the $33 – $34 range. The $30 conversion price therefore represents a ~10‑12 % discount to the prevailing equity price. In convertible‑note parlance this “conversion premium” is modest, meaning the notes are relatively inexpensive to turn into stock if the share price stays flat or rises modestly.

Trading implications:

- For note buyers: The zero‑coupon structure locks in a built‑in yield, while the discount conversion price gives upside if LEU rallies above $30. Investors can treat the notes as a hybrid—fixed‑income‑like exposure with equity upside—making them attractive in a low‑rate environment.

- For equity holders: The upside for note‑holders translates into potential dilution if conversion occurs, especially if the stock breaches $30 and accelerates higher. Keep an eye on the conversion‑trigger window (typically a “soft‑call” after a set date) as that can spur conversion pressure.

- Actionable view: If you are long LEU or anticipate a near‑term catalyst (e.g., new contracts, uranium price support), consider accumulating the convertible notes to capture the coupon‑free yield and a built‑in upside. Conversely, if you are short or wary of dilution, a short‑term put spread on LEU or a covered‑call strategy can hedge the risk of note conversion while still benefiting from any price appreciation.