A 19-page institutional deep-dive into a novel concept: triple-dips. In this report, we will first understand how triple dips could be created.
In particular, we will start with a review of double-dips, and then walk through three ways for a triple dip to be structured: (i) Subsidiary Structuring, (ii) Intercompany Derivative/Capital Structure Instruments Structuring, and (iii) Contingent Convertible Capital Securities.
Then, we will analyze the real-world case of Spirit Airlines and see the potential of the triple-dip as a revolutionary liability management maneuver.
