Parity/intrinsic value

For instance, given the bond par value of 100 and the conversion price of 2.6, the conversion ratio is around 38, that is the investor receives for each bond 38 shares. The parity or intrinsic value is defined as the ratio between the share price and the conversion price (or conversion ratio) and is given by Equation (9.2) ... 

The parity or intrinsic value of a convertible refers to the value of the underlying equity, expressed as a percentage of the nominal value of the bond. Parity is given by equation (13.2). 

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