Re:MoviePass couldn’t afford to pay for movie tickets on Thu...
by arzt on Friday July 27, 2018 @01:45PM
(#17627705)
No, this is what's termed an "Original Issue Discount" in debt parlance and allows for a lender to earn interest without a cash coupon on the loan. Basically they give them $5mm, but the "par value" of the loan is $6.2mm. So MP actually owes $6.2mm, but only got $5mm in cash up front.
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